Antimonopoly law applicable: YLKI<\/p>\n
JAKARTA (JP): Analysts said on Thursday the new antimonopoly
\nlaw, despite its many shortcomings, should be welcomed because it
\nwas badly needed to ensure fair competition in the market.<\/p>\n
\"Although the law still has many loopholes it is still
\napplicable,\" said deputy chairman of the Indonesian Consumers
\nFoundation (YLKI) Agus Pambagio.<\/p>\n
He acknowledged that the law was far from perfect but its
\nimplementation would still be able to protect small companies
\nfrom unfair competition from the bigger players.<\/p>\n
The government's plan to enact the newly passed consumer
\nprotection law will complement the implementation of the
\nantimonopoly law, he said.<\/p>\n
President director of CS Consultant Gary W. Christian said
\ndeficiencies were only to be expected in the law.<\/p>\n
\"In fact, in terms of statutory law, the Indonesian
\nantimonopoly law is far more detailed than the U.S. statutes on
\nthe subject.\"<\/p>\n
He said it would take years to improve the law in order to
\nprevent monopolies and other unfair competition practices, but it
\ncould be done in line with good implementation.<\/p>\n
\"The United States has adopted an antimonopoly law since 1890
\nand, after several revisions, the current law is still not
\nperfect. There are several cases that still cannot be settled,\"
\nhe said.<\/p>\n
\"But we never stop improving the law.\"<\/p>\n
The antimonopoly and unfair competition law, passed by the
\nHouse of Representatives in February and ratified by President
\nB.J. Habibie on March 5, includes the prohibition of a company
\nfrom holding more than 50 percent of the domestic market.
\nViolators face Rp 100 billion (US$11.76 million) in fines and
\nsix-month jail terms for the executives.<\/p>\n
The enforcement of the law, which will become effective 18
\nmonths after ratification by the President, will be overseen by a
\nBusiness Competition Supervisory Commission, whose members will
\nbe appointed by the President following prior approval from the
\nHouse.<\/p>\n
The law stipulates, however, that a company will not
\nnecessarily be sanctioned if the independent commission
\ndetermines that the more than 50 percent market share was gained
\ndue to efficiency and the company did not abuse its dominant
\nposition to restrict new market entrants.<\/p>\n
Economist Sri Mulyani Indrawati said that despite its
\nweaknesses, an antimonopoly law would give more business
\nassurance to companies operating in Indonesia.<\/p>\n
The law, she said, provided an assurance to all parties who
\nwanted to enter business.<\/p>\n
\"A certainty in doing business is one of the key factors
\nneeded to attract foreign investors to the country. And,
\npreviously, it fully depended on what the authorities wanted,\"
\nshe said. (gis)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/antimonopoly-law-applicable-ylki-1447893297",
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