The government of Hong Kong Special Administrative
Region?hopes to introduce the fair competition law bill into
the Legislative Council in the 2008-09 legislative session,
Secretary for Commerce and Economic Development Frederick Ma said
yesterday.
Speaking about the government's plan, Ma said the SAR would
publish a consultation paper outlining the main scope of the
legislation to consult the business sector again in the first
quarter of 2008.
Meanwhile, the business sector expressed their satisfaction
about the city's business environment adding that there was no need
for a competition law.
Speaking after attending a competition law seminar, Ma said the
government would conduct another round of public consultation in
plain language instead of a white bill.
"We will consult the public again," he said. "As I have
mentioned, some small- and medium-sized enterprises (SMEs) have
doubts about the competition and feared the introduction of a
competition law would affect their operation and increase their
costs."
Earlier, Ma delivered a keynote speech to the seminar, saying
the government was still considering if the future regulator should
have the power to determine whether or not an infringement had
taken place and to impose sanctions where appropriate.
Also, the government would decide whether or not the competition
law should regulate mergers, he added, as most overseas competition
laws include merger controls.
Allaying fears of the SMEs, Ma said: "SMEs have very little to
fear as they stand to gain from the competition law, which checks
abusive or anti-competitive practices by bigger firms."
Lawmaker Jeffrey Lam representing The Hong Kong General Chamber
of Commerce in LegCo, said Hong Kong's business environment had
always been very open and liberal.
"There is no need for a competition law in Hong Kong," said Lam,
who is also a member of the Liberal Party. "If the government
really wants a law, the Chamber hopes it is a very clear enactment
that checks anti-competitive behaviours only.
"The SMEs worry that the competition law would not help them as
far as litigation is concerned. In fact, they are more concerned
with monopolistic situations in certain sectors by several big
enterprises."
Mark Williams, associate professor of School of Accounting and
Finance of Hong Kong Polytechnic University, who organized the
seminar, said Hong Kong would be the last developed economy in the
world to have a general competition law.
He said the future regulator should have the power to
investigate if anti-competitive behaviours had taken place, while
mergers control is an integral part of all competition laws in the
world.
Priscilla Lau, associate professor from the Department of
Business Studies of the same university, stressedthe need of a
competition law in Hong Kong.
Without a competition law, the local market, which is so small,
will be monopolized. This would leave very little space for the
SMEs and limit the job opportunities they could offer, she
said.
(China Daily HK edition December 11, 2007)