The Fair Competition Act was among the economic bills passed by the House of Representatives last week. The bill was in the priority legislative agenda of both the House and the Senate.
The fair competition bill, principally authored by Speaker Feliciano Belmonte Jr., seeks to prevent monopolies and protect the economy from unfair competition practices.
When passed, the proposed act will establish a National Competition Policy that will encourage fair and free economic competition by prohibiting the abuse of market dominant positions and the excessive concentration of economic power by regulating improper concerted acts and unfair business practices.
The National Competition Policy will be implemented by a Philippine Competition Commission under the Office of the President of the Philippines.
Industry and trade groups had earlier batted for the formulation of such a policy. According to the Joint Foreign Chambers of the Philippines, a well-crafted competition law will level the playing field for investors in the Philippines and spur business activity in the country.
An atmosphere of free and fair competition will compel businesses to maintain and improve their competitive edge by minimizing production and distribution costs as well as by investing in research and development and innovative measures. Consumers ultimately benefit with so many competing offers to choose from, selecting those goods and services best able to meet their needs, the industry group added.
The other measures approved by the House were a bill amending the Cabotage Law and the proposed Philippine Archipelagic Sea Lanes Act.
The Cabotage Law relates to the entry and movement of foreign cargo vessels between ports within the country.
On the other hand, the Archipelagic Sea Lanes Bill seeks to allow the “continuous, expeditious, and unobstructed transit” for vessels engaged in economic trade with the Philippines and neighboring countries.
Photo: From blog.heartland.org