Competition Authority Launches 2014/15 Annual Report

The Competition Authority’s 2014/15 annual report was launched today, 20^th October 2015. Launching the report during a press conference, the CEO Mr. Thula Kaira said the Authority’s operations are expected to create a business environment that is unfettered by any conduct, arrangement or understanding that prevents, restricts and distorts competition. He said the Authority made a number of interventions in the market that added value to consumers, business and Government through enforcement and advocacy activities.

“On enforcement, following the removal of barriers to entry, we witnessed four new market participants in the physiotherapy equipment, sugar supply, the cash-in-transit and alarm & response market and the electrical supply markets respectively. Further, two bid-rigging cases were successfully investigated and referred to the Commission by the end of the financial year. Both cases coincidentally affect Government procurement and were tenders worth P117 million for sugar beans and another worth P10 million for infant formula milk” Kaira said.

However the enforcement process was not without bottlenecks as cases in the car panel beating cartel were withdrawn following discovery that the respondents had not been served with Notices of Investigation, while for others there were some procedural errors.  Kaira said to address this, the Authority engaged in re-training of staff in investigations as well as streamlining the coordination of investigations. Further, the Authority engaged KPMG as internal auditors to review the investigation process and their recommendations have been under implementation.

The Authority also intervened in a number of mergers. “Our target was 35 mergers and we handled 32 (down from 33 in 2013/14). It is estimated that the Authority facilitated the injection of over P145 million into existing businesses in Botswana (i.e., expansion of existing businesses). It further facilitated technological and skills transfer, creation and retention of 740 jobs, as well as citizen empowerment” said Kaira.

On Communications and Advocacy, the Authority engaged in a number of national and international activities. “At national level, we engaged in a number of activities on our own as well as in partnership with our strategic partners such as DCEC and PPADB, These engagements focused primarily on awareness around bid-rigging detection and prevention. Such training included Central and Local Government procurement units, parastatals and suppliers to Government. Our adjudication cases also brought a lot of publicity both in the mainstream and social media. These activities earned the Authority the ‘Most Media Visible Parastatal’ award from the Ministry of Trade and Industry” Kaira said.

Mr. Kaira said at regional and international level the Authority has continued to be part of the SADC Competition and Consumer Policies Committee, the Africa Competition Forum, the International Competition Network and the UNCTAD Intergovernmental Group of Experts (IGE) on Competition Law and Policy.