Mauritius: Competition Commission gains formal market inquiry powers

Recent amendments to the Competition Act 2007 (Act) have introduced formal market inquiry powers through a new section 51B. These amendments empower the Executive Director of the Competition Commission of Mauritius (CCM) to conduct broad-based examinations of market conditions across the economy, even in the absence of a suspected infringement. To supplement the legislative changes, the CCM published its Market Inquiries Guidelines (CC 8) on 31 March 2026 (Guidelines), setting out a practical framework for how these powers will be exercised.

These developments follow the announcement by Michaël Sik Yuen, the Minister of Commerce and Consumer Protection, at the ICN Merger Workshop 2025 that a new Competition Bill is in preparation. Together, they signal a broader policy shift towards a more proactive competition regime in Mauritius.

Understanding market inquiries

A market inquiry is a formal tool allowing the CCM to examine whether competition is functioning effectively in a particular market or sector. 

Rather than focusing on the conduct of a specific firm, a market inquiry adopts a holistic and forward‑looking approach, assessing a range of market features, including market structure and concentration; barriers to entry or expansion; firm conduct and vertical relationships; regulatory or legal constraints; information asymmetries; innovation; and consumer behaviour.

Unlike traditional enforcement processes, which require proof of a contravention of competition law, market inquiries may result in findings and recommendations even where no individual undertaking has acted unlawfully. This significantly broadens the CCM’s ability to intervene in markets that produce sub‑optimal competitive outcomes.

Scope and triggers

The scope of a market inquiry is wide. Section 51B(3) of the Act makes clear that inquiries may extend to both public and private sectors, including regulated industries. State‑owned enterprises, and markets subject to licensing or concession regimes also fall within the CCM’s remit.

The legal threshold for launching a market inquiry is that the Executive Director has reasonable grounds for suspecting that any feature, or combination of features, of any market in Mauritius prevents, restricts, or distorts competition in connection with the supply or acquisition of any goods or services.

Market inquiries can be triggered by a range of sources, including previous enforcement cases, merger reviews, market monitoring activities, substantiated complaints or referrals from other public bodies, stakeholder feedback, research from academics and think tanks, economic indicators, and internal market intelligence.

Investigative powers

Once initiated, the Executive Director may exercise the full investigative powers under section 52 of the Act, including compelling attendance for interviews, requiring the production of documents, and requesting written information.

In practice, the CCM’s information‑gathering approach is broader and may include stakeholder consultations, engagement with sector regulators, surveys, consumer research, and targeted market studies. Failure to comply with statutory information requests constitutes a criminal offence under the Act.

Process and expected timeline

The Guidelines set out a structured three-phase process for conducting market inquiries.

Phase 1 – Initiation

The Executive Director undertakes a preliminary and informal assessment to determine whether a sector or market is suitable for a market inquiry. Sectors with a history of competition enforcement, sectors of significant economic relevance, sectors undergoing rapid structural or technological change, and sectors subject to regulatory frameworks not designed with competition in mind may all be prioritised. If the threshold of reasonable grounds is met, the Executive Director issues a Notice of Initiation, which is published on the CCM’s website and sets out the objective, scope, background, timeline, and an invitation for stakeholders to provide submissions.

Phase 2 – Inquiry

The CCM conducts detailed analysis of market features, regulatory frameworks, and firm conduct. External consultants may be appointed under section 27 of the Act, and international cooperation mechanisms may be used where relevant.

Phase 3 – Reporting

The Executive Director prepares a Preliminary Report setting out provisional findings and recommendations, which is published on the CCM’s website. Interested parties are invited to submit written comments within 21 business days. The Executive Director may also convene workshops or roundtable discussions with stakeholders after receiving submissions and prior to issuing the Final Report. After considering submissions, the Executive Director prepares a Final Report, which is submitted to the CCM for review and adoption. The CCM may adopt the report or request revisions before adoption. The adopted Final Report, together with any recommendations, is then published on the CCM’s website.

While the Act does not prescribe a statutory timeframe for the completion of a market inquiry, the Guidelines indicate that the CCM will generally aim to complete inquiries within 12 to 18 months, subject to complexity.

Possible outcomes

A market inquiry may result in a range of outcomes depending on the evidence gathered during the inquiry. These may include one or more of the following:

• Competition advocacy and targeted recommendations: The Executive Director may recommend changes to policies, legislation, administrative rules, or the practices of central or local government bodies or sector regulators.

• Consumer and public insights: Market inquiries may generate detailed analysis of consumer behaviour, market transparency, and information asymmetries which may harm consumers. On this basis, the CCM may propose initiatives aimed at empowering consumers, such as switching‑facilitation mechanisms, or measures designed to improve information disclosure and market transparency, enabling more informed decision‑making.

• Subsequent investigations and enforcement action: While a market inquiry is not itself an enforcement proceeding, section 51B(10) of the Act expressly preserves the Executive Director’s power to open a formal investigation at any stage during or after the inquiry. Information uncovered may reveal restrictive business practices, including coordinated conduct or abuse of dominance, warranting separate enforcement action.

• Compliance guidance and voluntary measures: Market inquiries may also serve a preventive function by clarifying which commercial practices are likely to raise competition concerns, thereby facilitating voluntary compliance.

• No further action: Where the Executive Director concludes that there are no market features preventing, restricting, or distorting competition, the CCM may determine that no further action is required.

Engagement and consultation

The Guidelines place strong emphasis on stakeholder engagement. The Notice of Initiation includes a formal call for evidence inviting stakeholders to provide relevant data, views, or documents. The Preliminary Report consultation period of at least 21 business days offers a further opportunity for interested parties, including affected businesses, industry associations, consumer groups, and regulators, to submit written comments, provide clarifications, or raise concerns before findings are finalised. Following the publication of a Final Report, the Executive Director may establish a mechanism to monitor the implementation status of its recommendations.

What this means for business

The formal introduction of market inquiry powers materially expands the CCM’s ability to influence market outcomes in Mauritius. It signals a shift from reactive enforcement towards systemic, sector‑wide scrutiny, even in the absence of allegations of wrongdoing. As a result, businesses may find themselves drawn into competition assessments even where their conduct is fully compliant.

For companies operating in concentrated, regulated, or strategically important sectors, market inquiries will require a more proactive approach to competition compliance, data readiness, and regulatory engagement. They also present an opportunity to engage constructively with the CCM on market features, regulatory constraints, and competitive dynamics that may affect commercial outcomes.

Against the backdrop of anticipated legislative reform and broader policy objectives aimed at enhancing market openness, market inquiries are likely to become an increasingly prominent feature of Mauritius’s competition landscape. Businesses should therefore factor this evolving regulatory tool into their risk assessments and stakeholder engagement strategies.

Richard Bhagwan-Bryce is a partner in the Cape Town office who advises in various aspects of competition law including merger and behavioural matters and has experience across a number of industries. He is trusted by clients to handle complex and challenging matters in a number of African jurisdictions. Chetan Ancharaz is an associate in the Moka office of Bowmans in Mauritius. Nazeera Mia is a Knowledge and Learning Lawyer at Bowmans and a member of the Competition practice in Cape Town. She has experience in competition law across the rest of Africa.