A statement by Ministry of Corporate Affairs, India, stated Cabinet approved MoC, via an exchange of information whi will enable CCI to learn from Japan’s JFTC.
In a breaking development, the Union Cabinet, on July 8, chaired by PM Narendra Modi, approved the Memorandum on Cooperation between the Competition Commission of India (CCi) and Japan Fair Trade Commission (JFTC) to promote and strengthen cooperation in the matter of Competition Law and Policy.
A statement issued by the Ministry of Corporate Affairs stated that the approved MoC, through exchange of information, will enable CCI to emulate and learn from experiences and lessons on its counterpart competition agency in Japan which would enhance efficiency.
“The same will help improve enforcement of the Competition Act, 2002 by CCI. The resultant outcomes will benefit consumers at large and will promote equity and inclusiveness.” MCA statement read.
The MoC will envisage to further strengthen cooperation in the matter of Competition Law and policy through exchange of information as well as through various capacity building initiatives in the areas of technical cooperation, experience sharing and enforcement cooperation.
It is pertinent to note that Section 18 of the Competition Act, 2002 permits CCI to enter into any memorandum or arrangement with any agency of any foreign country for the purpose of discharging its duties or performing its functions under the Act.
The Union Cabinet also approve the Memorandum of Understanding (MoU) between Institute of Cost Accountants of India (ICoAI) and the Association of Chartered Certified Accountants (ACCA), United Kingdom. The MoU is set to provide mutual and advanced entry to the Members of both the institutes via exemptions from appearing in the majority of papers to retain the qualification of the other professional body and to undertake joint research.
Why is Competition Law imperative?
Notably, the CCI’s posses an objective to ensure that combination and abuse of entities and dominance that apply to all investments in India, which is inclusive of foreign investors do not cause adverse effect on competition relevant to India’s market. Foreign investors are prohibited from entering into anti-competitive agreements and from abusing their hegemony too.
Evidently, the provisions under Competition Act, 2002 do not hamper Foreign Direct Investment inflows to the country instead, provides and impetus to these inflows. India’s legislation, hence, reflects a wider study of a positive association between competition laws and foreign investments.