Competition Commission of India (CCI) has emphasised on the need to adopt National Competition Policy. The Commission Chairman Ashok chawla was speaking at a seminar on ‘National Competition Policy; Second Big Wave of Reforms,’ organised by Consumer Unity & Trust Society (CUTS) International at Delhi recently.
Chawla emphasised that the competition law is an essential tool for enforcement against anti-competitive practices but the policy is much larger.
It is important for countries such as India, where States play a major role in the economic sectors and the policy paradigm in the liberalised still tilts towards State control, it is important to adopt National Competition Policy (NCP) for India.
The competition policy is important to tackle entry barriers that are inbuilt in the system and leads to more robust economic welfare and provide governance to the country.
Arun Maira, Member, Planning Commission of India, emphasised on political-economic challenges in implementing a policy. He said that redesigning of institutions is needed to address these challenges and generating growth which is what the Planning Commission of India is attempting at the moment.
Pradeep S Mehta, Secretary General of CUTS said that many countries have adopted such policies which has resulted in higher growth and thus public welfare enhanced. Mehta gave an overview of a recent study that CUTS has undertaken which advocates for certain interventions that can help remove competition distortions that exist in the markets.
Andrew Soper of British High Commission, New Delhi, added that UK firms are increasingly interested in India from a trade and investment perspective, and hence it was necessary for British High Commission to get a better understanding of the prevailing business environment in some of these key sectors.