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Competition Policy and Public Procurement in Developing Countries

Author

Listed:
  • Rod Falvey
  • Annamaria La Chimia
  • Oliver Morrissey
  • Evious Zgovu

Abstract

Measures to support Competition Policy and enhance the efficiency of Public Procurement can enhance the impact of regional integration agreements. The first part addresses Competition Policy - measures employed by government to ensure a fair competitive market environment. Competition policy aims to ensure that markets remain competitive (through anti-trust or anti-cartel enforcement) or become competitive (through liberalisation). For a variety of reasons, competition is often restricted in developing countries and there are benefits from establishing some level of competition policy. Although the literature does not provide a blueprint, it provides guidance on the most useful ways to incorporate Competition Policy in regional agreements. The second part addresses issues in opening up public procurement and outlines the main potential sources of welfare gains. Open and transparent procurement can bring gains in terms of price reduction, competition and reduced corruption. While developing countries recognize these benefits for domestic policy, they appear opposed to including procurement commitments in international agreements.

Suggested Citation

  • Rod Falvey & Annamaria La Chimia & Oliver Morrissey & Evious Zgovu, 2008. "Competition Policy and Public Procurement in Developing Countries," Discussion Papers 08/07, University of Nottingham, CREDIT.
    • Handle: RePEc:not:notcre:08/07
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    File URL: https://www.nottingham.ac.uk/credit/documents/papers/08-07.pdf
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    References listed on IDEAS

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    1. Oliver Morrissey, & Evious Zgovu, 2007. "The Impact of Economic Partnership Agreements on ACP Agriculture Imports and Welfare," Discussion Papers 07/09, University of Nottingham, CREDIT.
    2. Evenett, Simon J. & Hoekman, Bernard M., 2005. "Government procurement: market access, transparency, and multilateral trade rules," European Journal of Political Economy, Elsevier, vol. 21(1), pages 163-183, March.
    3. Ajit Singh, 2006. "Competition and Competition Policy in Emerging Markets: International and Developmental Dimensions," Chapters, in: Philip Arestis & John S.L. McCombie & Roger Vickerman (ed.), Growth and Economic Development, chapter 12, Edward Elgar Publishing.
    4. Oliver Morrissey, 2008. "Investment Provisions in Regional Integration Agreements for Developing Countries," Discussion Papers 08/06, University of Nottingham, CREDIT.
    5. Chris Milner & Oliver Morrissey & Evious Zgovu, 2008. "Trade Facilitation in Developing Countries," Discussion Papers 08/05, University of Nottingham, CREDIT.
    6. Alexis Jacquemin & Peter J. Lloyd & P.K.M. Tharakan & Jean Waelbroeck, 1998. "Competition Policy in an International Setting: The Way Ahead," The World Economy, Wiley Blackwell, vol. 21(8), pages 1179-1183, November.
    7. Rod Falvey, 1998. "Mergers in Open Economies," The World Economy, Wiley Blackwell, vol. 21(8), pages 1061-1076, November.
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    Cited by:

    1. Takano, Guillermo, 2021. "The competitive performance of public-private partnership markets. The case of unsolicited proposals in Peru," Utilities Policy, Elsevier, vol. 72(C).
    2. Juhász, Péter & Tátrai, Tünde, 2024. "A közbeszerzés piaci fejlettségének és hatékonyságának megítélése Magyarországon [Assessing the development and efficiency of public procurement in Hungary]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(4), pages 444-463.
    3. Oliver Morrissey, 2008. "Investment Provisions in Regional Integration Agreements for Developing Countries," Discussion Papers 08/06, University of Nottingham, CREDIT.

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    Keywords

    Competition Policy; Public Procurement; Regional Integration;
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