Minister of Commerce, Industry and Trade Manqoba Khumalo says large companies operating often make it difficult for small-scale businesses to trade and compete effectively.
He said the Eswatini Competition Commission (ESCC) and Eswatini Standards Authority (ESWASA) were positioned as pillars of economic development, hence the hope that they would address this challenge by bringing solutions that will ensure that small and medium enterprises (SMEs) are able to participate meaningfully without being suppressed by bigger businesses.
This was revealed during a meeting between the Eswatini Competition Commission, Eswatini Standards Authority and the Ministry of Commerce, Industry and Trade House of Assembly Portfolio Committee members held at the Hilton Garden Inn yesterday.
Khumalo said when a company acquires a certain establishment, it was important to take note of the people that were contracted by the previous owner.
He said these are some of the issues that needed to be monitored by ESCC and ESWASA, hence the urge to deepen collective understanding of the two key institutions that play a vital role in the development and growth of the economy.
He said their role as legislators was critical in ensuring that these institutions were empowered through sound legislation, adequate resources and policy support to effectively deliver on their mandates.
He emphasised the importance of fully appreciating the work undertaken by these institutions, the challenges they face and the strategic contribution they make.
“Eswatini is pursuing an ambitious development agenda centred on economic growth, industrialisation, employment creation, consumer protection and improved living standards for our people.
Achieving these objectives requires more than investment alone; it requires strong institutions that ensure markets function effectively, products meet acceptable quality standards and consumers are protected,” Khumalo said.
Khumalo added that ESWASA serves as a national standards body and its mandate extends beyond developing standards with the responsibility for promoting quality infrastructure, conducting conformity assessments and facilitating certification.
He said they also ensure that products and services available in markets meet recognised standards of safety, quality, reliability and performance.
He further noted that the work of ESWASA touched the lives of ordinary Emaswati every day.
When consumers purchase electrical appliances, food products, construction materials, children’s toys or other goods, they expect these products to be safe and fit for purpose.
Khumalo added that businesses similarly require standards to ensure consistency, quality assurance and competitiveness.
Without effective standards, he said consumers become vulnerable to unsafe and substandard products, while legitimate businesses struggle to compete fairly against inferior goods entering the market.
As the economy becomes increasingly integrated into regional and global markets, he said standards have become a prerequisite for trade because products that comply with internationally recognised standards are more likely to access export markets, attract buyers and compete successfully beyond the country’s borders.
“ESWASA is not merely a regulatory institution. It is an economic development institution that contributes directly to industrial competitiveness, export growth, consumer confidence and investment attraction,” Khumalo added.
Khumalo emphasised the important work of the Eswatini Competition Commission (ESCC), which is entrusted with promoting and maintaining fair competition in the economy.
He said its role is to ensure that businesses compete through efficiency and quality rather than through anti-competitive conduct.
He also said competition policy is often misunderstood as a purely regulatory issue whereas in reality, it is a powerful economic development tool.
He noted how competitive markets encourage innovation, lower prices, improve product quality, expand consumer choice and create opportunities for new and emerging enterprises to participate in the economy.
Where competition is weak, he said consumers pay higher prices, innovation is stifled and economic opportunities become concentrated among a few market players, hence the critical role played by ESCC in safeguarding market integrity, protecting consumers, fostering investor confidence and supporting economic growth.
He added that ESCC’s work aligned closely with government’s commitment to promoting inclusive economic development, supporting entrepreneurship and creating opportunities for micro, small and medium enterprises (MSMEs).
Through the enforcement of competition and consumer protection laws, he said the commission helped create a level playing field that allowed businesses of all sizes to compete fairly and contribute meaningfully to national development.
“Together, these institutions help create an environment where businesses can grow, consumers are protected, and the economy remains resilient and competitive.
Their contribution is directly aligned with government’s development priorities under the ‘Nkwe’ Programme of Action, particularly in relation to economic growth, employment creation, poverty reduction, industrial development and economic empowerment,” further stated Khumalo.
Other presentations made were on the Intellectual Property Act and from the Department of International Trade.
The presentation provided insight into the progress achieved thus far and the opportunities that intellectual property presented for the nation’s economic transformation agenda.
Khumalo said since the enactment, significant strides had been made in establishing a modern framework for the protection of innovation, creativity and intellectual assets.
Through its coordination of trade negotiations, management of trade agreements, promotion of exports and facilitation of market access opportunities, he said international trade plays a critical role in ensuring that the country derives maximum benefit from regional integration arrangements and the global trading system.
