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ZIMBABWE to take care of themselves. It is a law that regulates private relationships between individual consumers and businesses that sell those goods and services (Antle 187 , 1995). The preamble of the ZCA provides for “... the prevention and control of restrictive practices, the regulation of mergers, the prevention and control of monopoly situations and the prohibition of unfair trade practices; and to provide for matters connected with or incidental to the forego- consumer protection in the preamble, but it is common knowledge that the ultimate objective of competition law and policy is promotion and protection of consumer welfare through control of anticompetitive practices. It may also be construed that the consumer related provisions in the ZCA came about through the last part of the preamble “… and to provide for matters connected with or incidental to the foregoing ...” Consumer protection covers a wide range of topics, including but not necessarily limited to product liability, privacy rights, unfair business practices, fraud, misrepresentation, and other consumer/ business interactions. Consumer protection laws are therefore a form of government instrument aimed at protecting the eight acclaimed universally accepted consumer rights. consumer protection. It however has a number of Sections on consumer welfare and protection that are scattered in various Parts of the ZCA. These include three unfair business practices as follows: (i) misleading advertising, (ii) false bargains, and (iii) distribution of commodities or services above advertised price. Almost all consumer protection related provisions be considered in issuing orders and are basically related to pricing of goods and services. These include the following: one of the effects that determines an anticompetitive practice is the “enhancing or maintaining the price of any commodity or service “as provided under Section 2; 185 (b) orders made by the Commission against restrictive practices include: (i) requiring the offender to publish lists of prices, or otherwise notify prices; as provided under Section 31 (1) (c); (ii) regulating the price which the offender may charge for any commodity or service as provided under Section 31 (1) (d); (c) factors considered by the Commission when making orders include the promotion of “the interests of consumers, purchasers and other users of commodities and services … in regard to the prices, quality and variety of such commodities and services” provided under Section 32 (1) (b); (d) the Commission does not regard a restrictive practice as contrary to the public interest if: (iii) that restrictive practice is reasonably necessary, having regard to the character of the commodity or service to which it applies, to protect consumers or users of the commodity or service, or the general public, against injury or harm Section 32 (2) (a); (iv) the termination of the restrictive practice would deny to consumers or users of the commodity or service to which the enjoyed or likely to be enjoyed by them Section 32 (2) (b). In practice, among the three unfair competition issues, it is only misleading advertising that has been dealt with by the CTC. There are 10 cases that have been disposed between 1999 and 2010; provisions for the two other issues have not been put to test. Currently, the Ministry of Industry and Commerce is in the process of enacting a substantive consumer protection law for Zimbabwe. The proposed Consumer Protection Bill will soon be discussed by a wider set of stakeholders to allow for collection of their views on the proposed bill with a view to improve on the provisions. Two stakeholders interviewed on the subject who have happened to see the proposed bill have indicated that the Consumer Protection Law will be administered by a body to be established by itself and not the competition ZIMBABWE
186 VOLUNTARY PEER REVIEW OF CLP: A TRIPARTITE REPORT ON THE UNITED REPUBLIC OF TANZANIA – ZAMBIA – ZIMBABWE authority. Shall that be the case; these consumers relate provision will be out of place in the ZCA. Zimbabwe had a consumer watchdog, the Consumer Council of Zimbabwe (CCZ) established in 1975 way before the Competition Act enacted. the Council is currently registered under the Registrar Societies, but it is lobbying for its establishment under the new Consumer Protection Law which would give them more powers in executing their mandate. CCZ receives funding from the Government. Objectives of the CCZ include protecting consumers, protecting manufacturing standards, improvement of consumer awareness through education and settlement of disputes between consumers and suppliers. Regarding their functions, CCZ prepares and disseminate “monthly basket” that provide for prices of selected goods and services, an exercise that aims at monitoring prices in urban areas. CCZ also conduct research and disseminate relevant information to the public among other duties. In the overall, its functions entail educating the consumers to understand their rights and obligations so that they have a degree of self protection and are in makers in a bid to ensure that they make policy and laws that protect them. the Mass Action Act of 1992 which makes provision for consumers to jointly seek legal redress, Small Claims Court Act which is mostly accessible to low income groups who cannot afford to pay for legal fees in ordinary Courts, Consumer Contract Act of 1994 which protects consumers against unfair contracts, Health Professions Act, Food and Food Standards Act, Competition Act of 1996 as amended in 2001 which encourages and promotes competition in all sectors of the economy and the Patients Charter which seeks to create an environment of mutual understanding, participation and humane treatment of patients. came about as part of their effort in championing for the protection of Zimbabwe consumer. 2.5 Price Control This function was introduced to the CTC in 2001 by the Competition Amendments Act. During the course of its insertion, there was a debate as to how it should be done so as ensure the CTC is not statutorily empowered to either prescribe or as provided in Section (5) (h) of the ZCA that the industry or business that the Minister directs the to the Minister”. Despite being provided for in the ZCA, this function has never been done as there has never been any Ministerial Directive to the CTC to execute such an activity for the past ten years. This is a good reason to drop it from the ZCA because it really isn’t a common feature to be dealt with regularly in the manner it is prescribed. It can be dealt with indirectly through the core competition provisions. Similarly, it should not be construed that CTC is empowered to set prices in its orders regarding restrictive business practices according to Section 31 (1) of the ZCA. 3.0 INSTITUTIONAL ISSUES: ENFORCEMENT STRUCTURES AND PRACTICES 3.1 Competition Policy Institutions 3.1.1 The Competition and Tariff Commission CTC is established by Section 4 of the ZCA, Com- more than ten members appointed by the President (under Section 6) for a period not exceeding three (3) years (under Section 8). Section 11 throws in, a controversy by providing that the Minister may appoint a member to constitute a quo- a member, if such a scenario would affect a quorum (a condition precedent). The process preceding the appointment is not elaborated in the ZCA. More controversy is observed when the Minister
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Page 174 and 175: ZIMBABWE FULL REPORT ZIMBABWE
Page 176 and 177: ZIMBABWE TABLE OF CONTENTS PREFACE
Page 178 and 179: ZIMBABWE This report is part of the
Page 180 and 181: ZIMBABWE With the growing political
Page 182 and 183: ZIMBABWE of restrictive practices,
Page 184 and 185: ZIMBABWE competition authorities do
Page 186 and 187: ZIMBABWE divided according to geogr
Page 188 and 189: ZIMBABWE The Commission in 2006 whi
Page 192 and 193: ZIMBABWE (under Section 9); basical
Page 194 and 195: ZIMBABWE Full scale investigation i
Page 196 and 197: ZIMBABWE (ii) to produce any book,
Page 198 and 199: ZIMBABWE The fact that CTC has a co
Page 200 and 201: ZIMBABWE tariat of technocrats, who
Page 202 and 203: ZIMBABWE Table 2: Number of Competi
Page 204 and 205: ZIMBABWE Regarding the handling of
Page 206 and 207: ZIMBABWE (Emphasis by the author) b
Page 208 and 209: ZIMBABWE Section 5 (1) (f) that pro
Page 210 and 211: ZIMBABWE Whilst the arguments can b
Page 212 and 213: ZIMBABWE Anti competitive agreement
Page 214: ZIMBABWE by conducting its case det
Page 227: Printed at United Nations, Geneva -
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