a tripartite report - Unctad

204 VOLUNTARY PEER REVIEW OF CLP: A TRIPARTITE REPORT ON THE UNITED REPUBLIC OF TANZANIA – ZAMBIA – ZIMBABWE
The only course that touches competition issues
is the Master of Business Administration, in a subject
called Business Law. Competition is not yet
a standalone course or module and pleaded for
UNCTAD assistance to establish a course and have
visiting lecturer ship to assist in the establishment
of the course.
6.0 INTERFACE BETWEEN
COMPETITION AND
TRADE POLICIES
Currently the presence of tariff division at CTC
demonstrates the interaction between the two
policies. The co existence of the two functions at
CTC has been with some manageable challenges
that perhaps require a permanent solution so that
each of the two can operate optimally.
6.1 Examination of the Merger
between Competition and
Tariff Commission
Section 34 C of the ZCA empowers CTC with powers
to make investigations into any tariff charge or
any matter related thereto, which causes threats to
cause detriment to local industry in order to ascertain
whether any tariff charge needs to be revised
and the extent of any such revision, for the purpose
of providing assistance or protection to local
industry and redressing any imbalance in trade
between Zimbabwe and any other country. The
policy objective of tariff as administered by CTC
is therefore geared towards protectionism which
may operationally be reduced into barriers to entry.
In the contrary, the aim of competition policy and
law is to promote effective competition in markets,
whereby in assessing the level of competition in a
market, factors including the actual and potential
level of import competition in the market and the
barriers to entry i.e. ease of entry into the market,
including tariff and regulatory barriers. Tariffs are
therefore a factor which may affect competition in
the market (Mitchell 207 , 2003).
While it is debated to what extent tariff measures
and co existence with competition under the administration
of CTC pose a serious potential for
very purpose of enacting a competition law in the
economy.
Tariff decisions are made by the Minister whereas
competition issues are dealt with by the Board of
have shown that administratively, tariff as a function
of the CTC, has not been given the prominence
it deserves owing to the fact that it was one
of the merged institution to form CTC and that it
per cent) see Table 1 above.
It was also reported that tariff related issues are
also dealt by the Ministry of Industry and Commerce,
Ministry of Finance and the Zimbabwe
Revenue Authority. At the CTC, like competition,
tariff function is equally understaffed to discharge
the extended mandate that include anti dumping,
subsidization and safeguards. Broadly construed,
its placement at CTC can be looked as a replication
that constrains the economy wide competition
mandate which is solely done by CTC with
exceptions in some regulated sectors.
Despite being provided in the ZCA, issues of anti
dumping, subsidization and safeguards have never
been dealt with at the CTC for the past ten (10)
years of their existence in the ZCA.
6.2 Effects to the Implementation of
Competition Policy and Law
staff, there has not been any open policy clash
so far despite the existence of potential for such
deepens, it is expected that the volume of transactions
will grow and increase the probability of controversial
matters (in so far as coexistence of tariff
and competition is concerned) that are lodged
before the CTC.
ers
are of the view that the reasons for the merging
of the Tariffs and Competition Commissions
still exist, mainly citing that the CTC still rely on
trade development levy to fund its operations. The
between the tariffs and competition mandates do
exist, there are also complementarities, adding
that the contradictions will be managed whilst the
complementarities are enhanced.