The Ethiopian Commercial Code 1243/2013 (“Commercial Code”) was amended to include a section on mergers and divisions. The Commercial Code now regulates amalgamations or takeovers. It has a narrower application than the Trade Competition and Consumer Protection Proclamation (No 813/2013) (“TCCP”).
The Trade Competition and Consumer Protection Authority (“TCCPA”) is working on additional regulations to provide guidance on the application of the TCCP.
However, Proclamation No. 1263/2021, which is expected to be published and enacted into force in early 2022, transfers the powers and liabilities of the TCCPA to the Ministry of Trade and Regional Integration. The TCCPA has already, in practice, ceased to be an independent authority, and has replaced its name with that of the Ministry of Trade and Regional Integration. The TCCPA also uses the Ministry’s name in its official communications and documents. To the best of our knowledge, Proclamation No. 1263/2021 has yet to come into force.
Although the Competition Law of Ethiopia (“CLE”) has no express provision relating to market inquiries, the TCCPA may conduct such inquiries, as the TCCP empowers it to perform any activity necessary to attain its objectives. That being said, in practice, and to the best of our knowledge, there have not been any formal market inquiries initiated by the TCCPA in any sector or industry.
The TCCPA has given warnings to entities in the cement, brewery and pharmaceutical sectors.
No.
Yes. The TCCPA has carried out dawn raids, particularly in the cement, brewery and pharmaceutical sectors, and has given warnings to the entities. Dawn raids have been largely undertaken against businesses that are alleged to be engaged in price-fixing.
No.
No.
Not to the best of our knowledge.