1 / 11

Roger Nellist Acting Head Growth and Investment Group Department for International Development London r-nellist@dfid.uk

Introduction to the Competition Assessment Framework Seminar on Enhancing Development through a Competition Culture 14 August 2008, New Delhi. Roger Nellist Acting Head Growth and Investment Group Department for International Development London r-nellist@dfid.gov.uk. Why it matters.

sandra_john
Télécharger la présentation

Roger Nellist Acting Head Growth and Investment Group Department for International Development London r-nellist@dfid.uk

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Introduction to theCompetition Assessment Framework Seminar onEnhancing Development through a Competition Culture 14 August 2008, New Delhi Roger Nellist Acting Head Growth and Investment Group Department for International Development London r-nellist@dfid.gov.uk

  2. Why it matters • Why are we interested in (fair) competition? ‘Competition is absolutely essential at every stage of economic development’ (Robert Solow, Commission on Growth and Development, May 2008) • Role for Competition Policy ‘Strong competition policy is not just a luxury to be enjoyed by rich countries, but a real necessity for those striving to create democratic market economies’ (Joseph Stiglitz, Nobel Prize Winner, August 2001) • Reflections on Competition Policy ‘An active competition body is an essential element in the architecture of a modern market economy’ (Indian Prime minister, 2006)

  3. DFID support for Competition Policy • Technical National regimes (inc Peer reviews); Market studies (India, Bangladesh, VN); COMESA RCP; UNCTAD; international Roundtables; Competition Assessment Framework (CAF) • Building a broad-based culture of competition Four major CUTS policy/advocacy programmes in 27 Africa and Asia countries • Research ODI research project (5 countries, using CAF+); CUTS political/economy of competition/regulatory regimes

  4. Competition Assessment Framework (2008) Downloadable at: http://www.dfid.gov.uk/pubs/files/caf-2008.pdf Growth and Investment Group Department for International Development London SW1E 5HE r-nellist@dfid.gov.uk n-godfrey@dfid.gov.uk t-allan@dfid.gov.uk

  5. Competition Assessment Framework (CAF) In part, a response to: “The ‘really big’ distortions to competition are in poor countries” Distortions to competition are not always obvious: “they have to be dug out of each market”; “they are hard to find…(and) significant forces gain from their existence” (William Lewis, The Power of Productivity, 2004)

  6. Competition distortions may be ‘hidden’….. • Some barriers overlooked through familiarity, or accepted without further thought, especially where they are long-standing • Barriers affecting intermediate goods/services may be obscured in price/supply of final goods/services • Significant policy/regulatory barriers may exist at State/local government level in some sectors, but attention may focus on national level ...Need for systematic analysis of the state of competition…

  7. CAF: Design considerations • Practical diagnostic policy tool for use by policy makers and others in developing countries; • Reflects public sector restraints on competition as well as private sector ones; • Recognises role of ‘vested interests’ as well as more ‘technical’ impediments to competition; • Builds on best and evolving good practice, but recognises more limited data, capacity and experience in many DCs; • Developed as by-product of DFID-FIAS partnership with CCI; • Pilot use, to be extended/updated with experience.

  8. The CAF Approach: Summary (1) • CAF poses sets of questions grouped by theme • Select sectors important to economy or consumers • Identify relevant markets, competitors and market structure • Look for barriers to entry (natural, strategic, regulatory, gender) • Do Government policies/institutions hinder competition? (all levels of government, SOEs, public procurement, regulated sectors, trade and industrial policy, unequal enforcement of laws)

  9. The CAF Approach: Summary (2) • Identify vested interests • Look for signs of anti-competitive conduct by firms (abuse of dominance, collusion and cartels, M&As, vertical issues, other) • Drawing Conclusions on state of competition in relevant market, and possible corrective actions • Annexes: Typical competition issues in 8 Sectors (Agriculture, Construction, Distribution, Energy, Finance, Manufacturing, Telecoms, Transport)

  10. Examples of CAF in Use • Some of the CCI market competition studies • Bangladesh and Vietnam • ODI Research Programme (5 countries in Africa and Asia) • CUTS 7Up4 programme countries (West Africa) • UK OFT training programme in recent EU accession countries • National training WSs (e.g. East/Southern Africa) • Growth diagnostics (Making Markets Work for the Poor)

  11. Competition Assessment Framework (2008) Downloadable at: http://www.dfid.gov.uk/pubs/files/caf-2008.pdf Growth and Investment Group Department for International Development London SW1E 5HE r-nellist@dfid.gov.uk n-godfrey@dfid.gov.uk t-allan@dfid.gov.uk

More Related