Implementation Of CCP Laws Can Cut Prices By 30pc: Rahat Kaunain
Faizan Hashmi Published January 16, 2023 | 08:08 PM
Competition Commission of Pakistan (CCP) Chairperson Rahat Kaunain said on Monday that complete implementation on competition laws would reduce the prices of essential items by 25 to 30 percent, end the cartel of different sectors and convert the Pakistan's economy into a functional economy
LAHORE, (UrduPoint / Pakistan Point News - 16th Jan, 2023 ) :Competition Commission of Pakistan (CCP) Chairperson Rahat Kaunain said on Monday that complete implementation on competition laws would reduce the prices of essential items by 25 to 30 percent, end the cartel of different sectors and convert the Pakistan's economy into a functional economy.
She expressed these views in a discussion programme with members of Lahore Economic Journalist Association (LEJA) here. LEJA Presidnt Muhammad Sudhir Chaudhry, other office-bearers and members were also present.
Rahat Kaunain added that since Pakistan was passing through difficult economic situation, the enforcement of competition laws was need of the hour.
The competition laws protected the consumers' interests and made consumers day to day life easy, she said and asserted that an effective enforcement was the only way to protect the consumers. She called for making a National Competition Policy to create awareness among the stakeholders. Furthermore, a regulatory tribunal should be established which would deal the cases related to the regulators, as this would speed up disposing of the cases with the regulators and improve overall investment and business environment, she added.
She also shared the details of different inquiries against the cartels and uncompetitive behaviors of various sectors, adding that commercial banks were cooperating with the CCP.
Rahat Kaunain mentioned that CCP could be more effective with the support of the other government regulators. Mutual cooperation of the all government regulators was vital for improved service delivery of government to the public, she added.
On cement sector inquiry, she said that for south region (Punjab and KP) cement plants were completed and for north region (Sindh and Balochistan), All Pakistan Cement Manufacturers Association took stay from the court, which was still not vacated.
The inquiry of power Distribution Companies (DISCOs) procurement of raw materials (transformers, steel structures, meters and cables) through tenders were underway. The court decision in poultry industry price cartel was very positive and it would pave way for future decisions, she added.
Similarly, the CCP had initiated an inquiry of six mega players of property and real estate of Islamabad-Rawalpindi on deceptive marketing for ensuring up to 400 percent returns to the investments made in their projects, she said and added that the CCP would expand the scope of this inquiry to other parts of the country after its completion.
Rahat Kaunain observed that people invested in the plots and properties with guaranteed growth and returns so that other sectors remained unattractive for investment. She suggested that government should facilitate and incentive the other sectors so the people made investments there and discouraged investments in real estate and property business through policy regulations.
She mentioned that price fixation in the fertilizer sector was possible which ultimately impacted positively all the agriculture produce and consumers. The inquiry of the automobile sector was also underway, and Pakistan was lagging far behind from India on safety regulations of automobiles. Indian automobile ensuring over 70 percent safety regulations in vehicles while Pakistan was still stood at 11 percent, she cited.
The CCP had recommended the provincial governments to review wheat regulations, procurement, and flour mills quota as there were loopholes in the whole process, she added.