Competition Law promotes or seeks to maintain market competition by regulating anti-competitive conduct by companies. After independence of India there were massive changes in economy and trade. Globalization had begun and hence there was a need to maintain the law and order in the trade practise.

In 1969 the Monopolies and Restrictive Trade Practices Act (MRTP Act) came into force that was based on the philosophy of the Article 38 and Article 39 under the Directive Principles of State Policy of the Indian Constitution that stated the state to secure a social order for the promotion of welfare of the people and certain principles of policy to be followed by the state.

The MRTP Act basically safeguarded and prevented monopolistic trade practise, restrictive trade practise and unfair trade practise.

The MRTP Act then underwent amendments in 1974, 1980, 1982, 1984, 1986, 1988 and 1991. The further amendments in the year 1992 and 1994 were based on the recommendations of Sachar Commitee that recognized the business module of advertisements and sales ,and also pointed out about the problem of fictitious bargain that was marketed to the consumers.

During 1990 and 1991 the economic reform in India took place hence there was the concept of Liberalization, Privatization and this urged the need of new competition law. In 1999 after the guidelines of the World Trade Organization (WTO) were released government of India formed a high level committee whose major focus was the competition policies of the nation.

The committee was named as the Raghavan Committee. The committee then recommended the setting up of competition commission and winding up of MRTP Commission as the MRTP Act no longer made relevance with the changing socio-economic situation.

In November 2000 a new Competition law draft was prepared and presented to the government and the competition bill was introduced in the parliament. It was futher then passed and The Competition Act was enacted in December 2002. Hence the MRTP Act was repelled and replaced by the Competition Act of 2002.

The Competition Act established a quasi judicial body which is bound by the rule of law in giving decisions, namely the Competition Commission of India(CCI).
THE CCI has all the powers of a civil court for gathering evidence.

The Act is governed by major three elements:

1. Anti Competitive Agreement
2. Abuse of Dominant Positions
3. Combinations.

Award Winning Article Is Written By: Ms.Gargi Ganguli

Authentication No: SP226367004281-20-0922