Guatemala: Finally a Law on Competition?

The authorities have until November 31, 2016 to approve a law for the promotion and defence of competition.

Tuesday, January 12, 2016

The European Union needed to demand a Competition Law in the Association Agreement with Central America in order for Guatemala, the only country in the region not to have rules in this area, to bring the country up to date in this area.

Alejandro Williams, Deputy Minister of Investment and Competition, told Diario de Centroamerica that the initiative will be handed over to the authorities who assume office on January 14, and then it will be forwarded to Congress. The Law on the Promotion and Protection of Competition, as the project will be known, must be approved before the November 31, a deadline established in the trade agreement.

The project is being worked on by the law firm Integrum, using bases that have to do with defense and promotion of competition, the creation of an overseer, and the elimination of private barriers, including monopolies.



More on this topic

Costs of Not Having a Competition Law

August 2019

The lack of a competition law in Guatemala could expose the country to sanctions from the European authorities, since it is a requirement demanded in the regulations of the Association Agreement with the European Union.

Since the end of 2016, the Association Agreement (AdA) required Guatemala to have a law on the matter, since in 2019 a Central American competition authority would have to be created.

Guatemala: Draft Law on Competition

May 2016

The bill presented to Congress creates the Superintendency of Competition which will be able to investigate business practices in order to punish them if they are anti-competitive.

From a statement issued by the Ministry of Economy:

The Minister of Economy, Ruben Morales, presented the draft Competition Act to Congress, to regulate Articles 43, 119 and 130 of the Constitution of the Republic, in order to promote economic efficiency and fulfill the commitment made in the Association Agreement with the European Union.

Will Guatemala Have a Law on Competition Some Day?

August 2014

The only country in the region that does not have policies on competition needs to legislate before November 2016 in order to trade with the European Union using the Association Agreement.

Year after year the Guatemalan private sector insists on the need for a competition law to help promote foreign investment and to establish a regulatory framework to prevent market barriers and benefit consumers.

Guatemala In Need Of Competition Law

March 2010

It is the only country in the region that lacks a law to regulate market competition, a requirement for negotiating with the European Union.

The Economy Ministry plans to send this initiative to Congress in the first half of 2010.

From Elperiodico.com.gt: “… the country will have to speed up its passing to comply with this regional commitment. The agreement with the European Union could come into force in 2012”.