Chiwala urges competition in trade

Chiwala urges competition in trade
Written by Kabanda Chulu
Monday, April 20, 2009 4:30:49 AM

ZAMBIA Competition Commission (ZCC) board chairman Bernard Chiwala has said there is need to enhance competition since it takes out inefficiencies and promotes best possible freedoms of trade.

Officially opening a media workshop last Thursday under the theme ‘Understanding the work of ZCC and its role in economic development’, Chiwala, who cited Proverbs chapter 11 verse six, accused company directors in developed nations of being greedy and financially immoral.

“The global economic crisis is not as a result of financial failure but of moral failure and greediness by directors in the developed world and in the book of Proverbs 11verse six, the Bible tells us that ‘the righteousness of the upright will deliver them but the unfaithful will be caught by their lust. So this is exactly what is happening in the economies of the Western world. Unfortunately, everyone has been affected because of their greediness when executing business decisions,” Chiwala said. “But we need competition and fair trading because it seeks out best possible freedoms of trade practices.”

And explaining the mission and vision of the ZCC, board vice-chairman Chance Kabaghe said Zambia needed to encourage fair trading and prohibit the existence of cartels and abuses of dominant positions in the market.

Kabaghe said in a liberalised economy, no country could escape the effects of anti-competitive practices originating within and outside its borders.

“Competition law has become critical in developing countries and transition economies due to the adoption of the free markets economy where there is always the risk of replacing state monopolies with private ones,” said Kabaghe.

“In this regard, we need to encourage competition and encourage fair trading by prohibiting anti-competitive practices, regulate monopolies and concentrations of economic power, prohibit the existence of cartels and abuses of dominant position as well as providing for consumer protection.”