Major Issues in Competition Law in India

Clearly, the bill is indicative of the progressive and dynamic approach of the Indian competition regime. It remains to be seen when the proposed changes will be implemented. Anti-competitive agreements are agreements between undertakings in the context of a commercial transaction which are likely to weaken competition in a given market or enrich one group to the detriment of others. Such anti-competitive contracts are prohibited by the Competition Act 2002. Although India`s competitive regime is relatively young, it has demonstrated remarkable agility and agility to adapt quickly to rapid change. The development of competition remedies and, consequently, the development of case law have indeed suffered since the merger of the competition law appeal body with the ordinary company appeal body; However, given recent structural improvements, it is to be expected that competition complaints will once again take precedence over the Appellate Body. Google`s license agreements meet all three of these conditions. First, it links its Play Store and GMS folder to the Android operating system. Second, it has more than sufficient economic power and presence in the smartphone industry to restrict free competition on the relevant market and to force the buyer/consumer to purchase the product with the tied product.

Third, according to a Reuters report[21], Android-powered smartphones account for around 98 % of the relevant smartphone operating system market and any action taken by Google (as regards the installation/non-installation of a service in the relevant product market) will affect a significant share of trade. (iii) publication of papers and studies aimed at promoting competition and raising awareness of competition issues; Merger regulations are the most important regulations for the merger notification procedure in India. [1] Some of the amendments proposed by the ICC appear to be aimed at addressing problems that have arisen in recent years in the implementation of the merger regime, while others are intended to incorporate the procedures already followed by the ICC into practice. Changes that are currently in the draft, as CCI seeks stakeholder input, are briefly highlighted below. CCI proposes amendments to consolidation rules The Competition Act contains certain rules and regulations for consolidations to ensure that these mergers do not affect competition in the marketplace. These rules are as follows: “Exclusionary behaviour” is a type of anti-competitive behaviour used by a firm to prevent potential and future competition. The Indian Competition Act defines “exclusionary behaviour” as one of the forms of so-called “abuse of market dominance”; The other is “exploitative behaviour.” While exploitative behaviour involves excessive prices or the use of a dominant position to exploit other competitors in the market, foreclosure behaviour includes acts aimed at excluding competitors from the competitive landscape. The Act seeks to establish a direct link between the application of competition law and the representation of competition law interests.

One of the main objectives of competitive representation is to create an environment that fosters business behaviour and more competition in the market structure without ICC penalties. Under the law, the TCC`s advice will be an essential factor in assisting the government in implementing its legislation or policy. By order of section 49 of the Act and building on the trend observed by its colleagues around the world, the TCC strengthened its competitive activities in 2021 by conducting detailed market research and publishing its key findings and observations in the e-commerce, pharmacy and telecommunications sectors. These studies provide in-depth insights into the industry landscapes, inherent specifics, and upcoming competitive trends. They provide an overview of CCI`s regulatory approach to the sector. Market research has increased CCI`s knowledge of the industry, which appears to have resulted in effective enforcement action. The most important developments in Indian competition law are set out below. Competition promotion is an activity undertaken to promote a competitive environment for economic activity. The law mandates the CCI to work on the promotion of competition. For example, an agreement between a manufacturer and a supplier that may influence competition in the market may be qualified as a vertical agreement. 28. What initiatives have CCIs taken to promote competition and raise awareness of competition law? Recently, the Competition Commission of India (ICC) published advocacy papers in the form of a competition assessment toolkit for policymakers, researchers, analysts and competition players.

and a diagnostic kit for procurement officers. This reinforces IHK`s mandate to take appropriate measures to promote the representation of competition interests, raise awareness and provide training on competition issues. The Competition Act, 2002 (the Act), and related regulations and documents, govern the landscape of Indian competition law. Section 3 of the Act prohibits anti-competitive agreements, including horizontal and vertical agreements, which cause or may have significant adverse effects on competition in India. Subsection 3(3) of the Act prohibits horizontal agreements or cartels that fix prices, allocate industries, restrict technological innovation and manipulate bids. Vertical agreements that cause CEAAs, such as exclusivity agreements, tied selling agreements, commercial refusal and resale price maintenance, are prohibited under subsection 3(4) of the Act. Section 4 of the Act prohibits abuse of dominant position, including predatory pricing, denial of market access, imposition of unfair or discriminatory conditions or prices, leverage, etc. In Surinder Singh Barmi v.

BCCI 2017,[30] it was found that BCCI excludes competition by granting itself the power to admit or prohibit new entrants. ICC noted that this is exclusionary conduct, noting that the organization has “created an insurmountable barrier to entry into the relevant market.” [which] amounts to denying market access for the organisation of national professional cricket leagues/events in India and thus contravenes section 4 § 2 (c) in conjunction with section 4 § 1 of the Act. This shows that Google has also sought to eliminate competition by applying the ACC and MADA agreements by engaging in practices that lead to the denial of market access to its competitors[31]. This article was written by Shraddha Jain, a student at Nirma University Law Institute, Ahmedabad. The article deals with anti-competitive agreements, abuse of market dominance, acquisitions and mergers to establish an effective competition regime in India. It also reviews several important decisions concerning the Competition Act, 2002. The promotion of free markets and the elimination of anti-competitive practices are at the heart of any competition law system. For example, India established the Competition Commission of India under the Indian Competition Act (2002) to protect and promote competition in markets, prevent anti-competitive practices and protect the rights and interests of consumers. [1] In the United States, there are two important antitrust laws – the Sherman Act and the Clayton Act – to combat anti-competitive activities. [2] Similarly, the Treaty on the Functioning of the European Union (TFEU) aims to sanction offenders who distort healthy competition in local markets.