a tripartite report - Unctad
a tripartite report - Unctad
a tripartite report - Unctad
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ZAMBIA<br />
Table 8: Unfair Trading Practices Cases Closed by the Commission During the Period 2007-2010<br />
Commission Decision<br />
No. of Cases<br />
2010 2009 2008 2007<br />
Complainant given refund, or replacement, on defective product 32 45 42 35 154<br />
Case referred to other relevant authorities 11 3 6 5 25<br />
Case closed on grounds of lack of consumer protection concerns,<br />
or no breach of the Act<br />
4 5 1 6 16<br />
Case referred to Small Claims Court 3 2 0 0 5<br />
Case closed on grounds of complainant non-reachability<br />
Case closed for other reasons (such as withdrawal of complaint,<br />
2 0 16 4 29<br />
amicable resolution between complainant and respondent,<br />
and issuance of behavioural directive)<br />
3 0 10 4 17<br />
Totals<br />
Source: ZCC and CCPC Annual Reports<br />
55 55 75 61 246<br />
Fines imposed for the breach of the Act’s consumer<br />
protection provisions amounted to about K50.266<br />
<br />
was paid to the government Treasury as the Commission<br />
is not allowed to keep the money collect-<br />
<br />
on unfair trading practices, against Zambia Breweries<br />
and the MTN Zoning Distribution Agreement<br />
case, were appealed against in the High Court of<br />
Zambia. Both appeals are still to be ruled on.<br />
Most of the stakeholders that were interviewed<br />
<br />
the view that there are more consumer protection<br />
issues in the country than pure competition<br />
issues, and that consumer concerns are more critical<br />
since there are not much serious competition<br />
concerns with the big players. It should however<br />
be noted that consumer concerns by their nature<br />
are generally more transparent and evident than<br />
competition concerns, many of which are not as<br />
visible, e.g., cartel activity.<br />
4.2 Anti-Competition<br />
Practices-Prone Sectors<br />
Sectors that are prone to anticompetitive prac-<br />
<br />
include the telecommunications and broadcasting<br />
services sectors, the agricultural and mining sectors,<br />
and the beverages and cement industries.<br />
With regards the agricultural sector, the Commission<br />
submitted that this sector enjoys a lot of<br />
Total<br />
155<br />
government support and, because of that, there<br />
is a tendency for a number of restrictive business<br />
practices, mainly related to monopolization and<br />
cartelization. The most affected are the sugar,<br />
beef, and to some extent the maize, sub-sectors.<br />
In the mining sector, a number of competition<br />
complaints are now coming through to the<br />
Commission, particularly those related to refusal<br />
to deal. Most mining companies had in the past<br />
ignored the principles of competition in their operations<br />
since the mining industry had traditionally<br />
been exempted from the application of the Zambian<br />
competition law. It is only in the new Act of<br />
2010 that the exemption was lifted. The industry<br />
is therefore still relatively new to the application of<br />
competition principles, and needs intensive education<br />
on its obligations under the new Act.<br />
The beverages and cement industries in both the<br />
COMESA and SADC regions have always been<br />
highly anticompetitive because of their high<br />
concentration levels, and it is therefore not surprising<br />
that those industries in Zambia are also<br />
prone to anticompetitive practices and conduct.<br />
<br />
and market allocation arrangements as the most<br />
prevalent restrictive business practices in the two<br />
industries.<br />
-<br />
<br />
Zambia as prone to anticompetitive practices<br />
and conduct include the insurance services sec-<br />
<br />
ZAMBIA