7Update
EnewsLetter Vol. III
Project
Progress
The
first round of national consultations on the project was held in the
capital cities, primarily to sensitise a group of diverse stakeholders
of the objectives and anticipated outcomes of the 7Up3 initiative, in
each project country. During the discourse in these consultations, stakeholders
comprising the National Reference Group (NRG) provided their views on
the Preliminary Country Paper (PCP) that had earlier been prepared by
the research partners, and suggested ways for moving the project ahead
in the respective countries.
Subsequent
to this, the research partners engaged in preparing the ‘Final’ version
of the PCP, incorporating comments received during the NRG meetings.
PCPs
from Botswana, Ethiopia, Malawi, Mauritius and Uganda have since been
finalised and uploaded on the project webpage. (Refer; www.cuts-international.org/7up3.htm).
The PCP from Namibia is currently being finalised by the representative
of the country partner organisation - Namibian Economic Policy Research
Unit (NEPRU).
As
regards, Mozambique, the project implementation process is expected
to speed up following the involvement of Economic Justice Coalition
(EJC) as the new project partner in the country. EJC entered into a
partnership agreement to execute the project, following the termination
of the contract between CUTS and the earlier research partner of the
country: University Eduardo Mondlane.
Currently,
the partners in Botswana, Ethiopia, Malawi, Mauritius and Uganda are
engaged in field surveys to assess the level of awareness of specific
stakeholder groups on competition per se, and analyse their perceptions
of the benefits of a competitive environment for consumer welfare and
economic development. Three stakeholder groups comprising the business
community; consumer representatives; and government and regulatory authority
officials are being targeted for this survey. The outcomes from this
survey would be incorporated into a detailed research document (Country
Research Report on Competition) that would analyse the state of competition
in the project countries in detail, and recommend specific advocacy
and capacity building activities to be undertaken in the next stage
(Phase – II) of the project.
During
the NRG meetings, there were suggestions from the NRG members in some
project countries to undertake sector-specific studies on competition
in the project countries. The 7Up3 Project Coordination and Management
Unit (PCMU) decided to develop a compilation of brief essays on ‘Competition
in Select Agricultural Products Sector’ from the project countries.
It was also decided that in addition to the partner organisations, efforts
would be made to engage members of the NRG in the project country for
developing these essays. It was clearly spelt out to the researchers
engaged with this exercise to develop these essays highlighting the
adverse impact of the lack of competition and/or anti-competitive practices
on marginal farmers/producers of specific agricultural products.
In
an effort to keep the interest among the NRG members alive on competition
and regulatory issues in the project countries and the region, an e-discussion
group called the 7Up3 Forum has been created. This forum has a present
membership base of 214, which is expected to grow with time. In addition
to NRG members from the project countries, project partners, project
advisory committee members, development partners, representatives of
regional authorities and other key personalities have been added to
this e-group. News stories, articles etc. on competition and regulatory
issues from the project countries and the region are being posted on
this forum, to stimulate discussions. It is expected that this e-discussion
group would act as an effective outreach tool both for the project,
and the subject of competition and regulation within the region.
The details
about the project are available in the project web page, www.cuts-international.org/7up3.htm.
News from project
countries………
| COUNTRY
|
NEWS
|
| BOTSWANA
|
Draft
Competition Policy presented in Parliament
The draft competition policy has been welcomed by Members of the
Botswana Parliament, and hailed as a step forward by the government
to stimulate economic development and induce an orderly marketplace.
More…
|
Petrol
still cheapest in Botswana
The formation of a National Petroleum Fund, has helped Botswana
cushion domestic petrol prices, which remain to be one of the
lowest in the Southern African region, in spite of the price surge
in the international market. The Petroleum Pricing and Operational
Committee (PPOC) has been effective in addressing the issue of
pricing, claims the government.
More… |
| Botswana
Mauritius sign investment agreement
An investment treaty signed recently between the governments of
Botswana and Mauritius is expected to increase the volume of trade
between the two countries, and protect the interest of investors.
More… |
| ETHIOPIA
|
Technology
to the aid of coffee producers
The first ever ‘internet-auction’ for African coffee, has yielded
unprecedented returns for the Ethiopian cooperative coffee producers.
The system serves the dual purposes of satiating the thirst of
Western coffee lovers, who are willing to pay the right price
for quality coffee, and providing good returns to the Ethiopian
producers.
More… |
| Ethiopian
carrier enjoys edge over competitors
The Ethiopian Airlines continues to reign supreme in the region
with efficient service delivery, thereby gaining the confidence
of its passengers, most of who have opted to fly the carrier traveling
in and out of the country. Motivated by its profits from the current
year, the airlines company is set to enhance its services to retain
the confidence of flyers.
More… |
Mining
policy to gain benefits from sector
The Ethiopian government is realising the need for a comprehensive
mining policy to gain benefits from the country’s mineral potential.
This view has been endorsed by the Mining Ministry, which considers
that such a policy would help promote the development of the mining
sector, and help people employed in it.
More…
|
| MALAWI
 |
Regulating
tobacco sale in auction floors necessary
Clive Stanbrook, a renowned British lawyer has called the Tobacco
Control Commission to action, for regulating sale of tobacco in
the auction floors in the country. In a report compiled by him,
Mr. Stanbrook has held the structure of the country’s tobacco
market responsible for the existence of anti-competitive practices
in the auction floors.
More… |
| Malawi
telecoms sale put on hold
How can a US$ 750 million company be sold for US$ 31 million?
A question that a Director of the country’s fixed-line monopoly,
Malawi Telecommunications Limited (MTL) asked while reacting to
the government’s plans of selling MTL to a consortium comprising
of domestic and international players. The President has come
to rescue of the company’s employees, by suspending its sale for
the time being, till certain key ‘issues get resolved’.
More… |
Malawi
in need of National Export Strategy
The Malawian Chamber of Commerce and Industry (MCCI) is demanding
a national export strategy for the country. The MCCI claims that
the country cannot grow only by depending on domestic buyers,
and needed to venture out with sellable products, utilising the
‘open-door’ policy of the government.
More…
|
| MAURITIUS
 |
MTML
stays ahead
Mahanagar Telphone Mauritius Limited (MTML), subsidiary of Mahanagar
Telephone Nigam Limited, a Government of India enterprise, intends
to remain ahead as a leading telecom service provider in Mauritius,
aiming to achieve a target of 100,000 lines by the next year.
Pursuing this objective the company recently launched its post-paid
international long distance call service.
More… |
| Beer
Monopoly ends
Black Eagle beer, a recently launched product of Universal Breweries
is set to end the monopoly in the market enjoyed by Mauritius
Breweries. The beer that underwent a pre-launching tasting exercise
has already been reported to earn its place among consumers.
More… |
| Doubts
raised on anti-dumping legislation
Consumer activists have criticised the demand made by business
chambers in Mauritius for introducing an anti-dumping legislation
to regulate unfair trade practices in the country. Doubts have
been raised on the efficiency of anti-dumping policies to work
for the benefit of consumers.
More… |
| MOZAMBIQUE
 |
Steady
signs of progress
Mozambique has shown steady signs of progress and is expected
to sustain a GDP growth rate in the 6-7 % range in the next year
(2006) as well. Experts believe that the country’s success over
the past years has been due to a combination of - surge in infrastructure
projects, increased donor interest and enhanced private sector
engagement.
More… |
Second
wave of reforms on the anvil
The IMF has urged the country’ government to engage in the second
wave of reforms, capitalising on the prevailing conducive environment
that has seen the country progress in the recent past. Welcoming
the advances made by the country, a representative of the IMF
asserted that time was ripe for Maputo to strengthen institutions
and catalyse activities in the private sector.
|
| TNC
adheres to labour norms
Mozambique Leaf Tobacco, a subsidiary of the US based Universal
Leaf Africa Company has assured that majority of the labour force
to be employed in the company’s processing units would be locals,
and not foreigners as alleged by various sources. The Labour Ministry
has welcomed the move, and urged all foreign companies to abide
by the labour legislation in the country.
More… |
| NAMIBIA
|
Grape
industry - a success story
Grapes in Namibia mature in November, earlier than the normal
season of December when grapes mature in all other parts of the
Southern Hemisphere. This gives a competitive edge to Namibian
grapes, and hence the industry has witnessed progressive growth
in recent times.
More… |
Textile
Co. uses and abuses Namibia
The Namibian government granted special incentives to Ramatex,
a Malaysia-based textile company, for establishing its subsidiary
in the country. The Company enjoyed duty-free access to US markets
on account of the AGOA. However, with the lapse of textile quotas,
Ramatex retrenched 1600 local workers. Observers lament that the
benefits from Ramatex’s investment have been meager and do not
justify the support provided by the government for its establishment.
|
Tullow
Oil to cut Kudu stake
Ireland-based oil and gas company, Tullow Oil is all set to cut
back its stake in the Kudu Gas project, that involves treating
and delivering gas from the Kudu fields to a gas-powered electricity
generation station operated by NamPower. This decision paves way
for a new entrant in the country’s largest power generation scheme.
More… |
| Zambia-Namibia
for closer ties
Presidents of the two neighbours have called for greater cooperation
in the areas of agriculture, tourism, mining, education, energy,
transport and communication.
More…
|
| UGANDA
|
Lending
rates plummet amid competition
Experts opine that competition and efficiency in Uganda’s financial
sector has led to a steady decrease in the lending rates of commercial
banks.
More… |
| Cooking
oil companies engage in backbiting
It took the intervention of the Uganda National Bureau of Standards
(UNBS) to clear the grounds off the press war that had initiated
between two rival palm oil companies. The companies had alleged
each other of not complying with food standards regulations, and
bewildering consumers. UNBS warned companies to adopt ethical
practices and to refrain from acts that could mislead consumers.
More… |
| Tax
harmonization required
The Minister of Trade has called for removal of tax imbalances
between countries in the East African region. He asserted that
this measure would help reduce the rampant smuggling of goods
across borders that lead to heavy revenue losses for the government.
More… |
| REGIONAL
NEWS |
Regional
Telecom Network for COMESA
Comtel a regional telecommunications network would connect 22
nations across the continent very soon. The move expected to boost
trade within the region, is supported by the African Development
Bank.
More… |
Tourism
standard for EAC
Kenya, Tanzania and Uganda have adopted industry standards to
evolve a better hospitality regime and attract tourists to the
region. The countries share portions of various wildlife reserves,
and therefore are keen to promote the region as a single tourist
destination.
More…
|
Economic
integration crucial for southern Africa
The South African Reserve Bank Governor, Tito Mboweni has given
a clarion call to all the nations in the region to make efforts
towards economic integration, in order to compete with economic
blocs such as the European Union (EU). He stated that many countries
of the region hold dual membership of COMESA and SADC, which poses
a number of problems for them.
More…
|
SADC
Summit to address development issues
Heads of state and government from all 14 member countries participated
in a summit to address key issues pertaining to regional integration,
poverty alleviation and sustainable development.
More… |
| |
|