CCI plans market research unit to check unfair practices
To strength its efforts to keep a tab on anti-competitive practices, fair trade regulator Competition Commission plans to set up a dedicated market research unit.
New Delhi: To strength its efforts to keep a tab on anti-competitive practices, fair trade regulator Competition Commission plans to set up a dedicated market research unit.
The Competition Commission of India (CCI) has been cracking down on unfair trade practices, such as cartelisation and abuse of dominant market position, across sectors. The watchdog, which comes under the Corporate Affairs Ministry, also takes up cases on suo moto basis.
"With a view to ensure cohesive integration of economic analysis into the enforcement of the Competition Act, 2002, the Commission is contemplating having a dedicated Market Research Unit with assistance of some external agency...," according to a Ministry document.
Most of the market research studies are given to external entities at present.
A dedicated market research unit would help the Commission to have better understanding about a particular sector.
Recently, the Commission had come out with a study on onion markets in the country which was done by the Bangalore-based Institute for Social and Economic Change (ISEC). The study, which focused on assessing competitiveness in major onion markets of Maharashtra and Karnataka, revealed inefficiencies that were negatively impacting farmers as well as consumers.
Other studies commissioned by CCI include competition law and Indian pharmaceutical industry, competition concerns in concession agreements in infrastructure sectors.
CCI Chairman Ashok Chawla had earlier emphasised the need for a robust competition policy and law, especially in a liberalising economy where the government gradually withdraws in favour of private economic agents.