Competition Law at Bhutan
Competition Law in Bhutan
Bhutan’s competition law framework is relatively new and evolving, reflecting its emerging market economy and emphasis on fair trade practices.
Overview of Competition Law in Bhutan
As of now, Bhutan does not have a comprehensive standalone Competition Law similar to many countries. However, competition-related issues are addressed through:
1. Trade and Industry Policy & Regulations
The Ministry of Economic Affairs (MoEA) oversees trade and market regulation.
Various sector-specific rules and policies encourage fair competition and protect consumer interests.
2. Consumer Protection Act (Draft & Principles)
Bhutan is working toward more formal consumer protection laws, which typically include provisions against unfair trade practices.
These laws help prevent deceptive business practices and unfair competition.
3. Trade Practices and Anti-monopoly Provisions
The government discourages monopolistic practices and price manipulation through regulatory oversight.
Promotion of SMEs and equal opportunity in business is a key objective.
4. Bhutan Competition and Consumer Protection Bill (Draft Stage)
There have been efforts to draft a Competition and Consumer Protection Bill aimed at:
Prohibiting anti-competitive agreements (cartels, price fixing).
Preventing abuse of dominant position.
Regulating mergers that could reduce competition.
Establishing an enforcement authority.
This bill, once enacted, will provide a formal legal framework similar to other competition laws worldwide.
5. Enforcement and Institutional Framework
Enforcement currently happens through general trade regulations and the Ministry of Economic Affairs.
No independent competition authority exists yet.
The Royal Government of Bhutan is working toward strengthening regulatory mechanisms in the near future.
Summary
| Aspect | Status in Bhutan |
|---|---|
| Standalone Competition Law | Not yet enacted (draft in progress) |
| Consumer Protection | Emerging, draft laws under consideration |
| Enforcement Authority | Ministry of Economic Affairs |
| Key Focus | Fair trade, SME promotion, market fairness |
| Merger Control | Not formally regulated yet |
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