Africa gears up for the enforcement of competition laws
12/02/2010

With the South African competition authorities dishing out staggering fines, the latest being Pioneer Foods, which were fined by the Competition Tribunal in the amount of just under R200 million, other African countries are gearing up to enforce competition law in their respective countries.

The Namibian Competition Act came into operation in March 2008, although the competition authorities that are envisaged in terms of the Act are only slowly coming on line now. The Act is similar to the South African Competition Act in some respects, and certainly incorporates the effects doctrine in respect of which the Namibian Competition Act shall, subject to certain exceptions, apply to all economic activity in Namibia and/or having an effect therein. There are however some important differences between the two Acts and one is cautioned from applying the considerations one would apply to the South African Competition Act holus bolus to the Namibian Competition Act.

Botswana has stepped up the ante by moving from having a policy concerning competition law (National Competition Policy for Botswana (2005)) which, inter alia, is aimed at protecting the benefits generated by competition from erosion by anti-competitive practices in a deregulated environment, to what is soon to be a Competition Act. The Competition Bill No. 17 of 2009, was presented to parliament in December 2009.

Mozambique and Angola, like Botswana, have competition policies in place but are behind Botswana in implementing competition acts of their own. It seems however that Angola is hot on the tails of Botswana following a statement made by Economy Minister Manuel Nunes Junior who said in December 2009 that Angola plans to ramp up its campaign to rein in inflation by introducing a new competition law in 2010 to stop companies from manipulating prices.

With a presence in Africa, and experience in respect of competition laws in Africa, Adams & Adams is well positioned to provide you with the advice you seek in respect of competition laws in Africa.