South Africa: Building Inclusive, Resilient and Competitive African Markets

Earlier this month, policymakers, regulators, practitioners, academics and stakeholders from South Africa, across the continent and beyond gathered in Johannesburg for stirring conversations on the role of competition policy in driving structural transformation and building inclusive, resilient and competitive African markets.

There were several key takeaways from various panels across two days of the 20th Annual Competition Law, Economics and Policy Conference

1. Township and rural markets: a growing focus

The Competition Commission’s Township and Rural Economy Research Report (here) signals a growing focus on township and rural markets. From the Commission’s perspective, traditional assumptions about geographic market definition may not always hold in these areas, with consumer travel patterns, access to retail channels, exclusivity arrangements and routes to market playing an increasingly important role in competition analysis.

2. Cross-border merger review: the AfCFTA competition framework takes shape

The AfCFTA Competition Protocol envisages a continental competition authority for transactions of genuine continental significance, with notification triggered at USD 1 billion combined African turnover or assets and at least two parties each have turnover or assets of at least USD 150 million. The framework provides for a capped filing fee, defined review timelines and referral mechanisms for regional effects. The Protocol is not yet in force, but the architecture for a new layer of African merger control is taking shape.

3. Navigating multi-jurisdictional filings: cooperation without harmonisation

The discussion highlighted growing cooperation among competition authorities through pre-notification engagement, information sharing and confidentiality waivers. However, coordination does not require identical outcomes across jurisdictions. Different national objectives, public-interest frameworks (where applicable) and market conditions mean that divergent decisions can be reached.

Authorities, including in regional blocs such as COMESA, are aware of the challenges posed by overlapping jurisdiction and continue to discuss means to reduce the regulatory burden.

4. Public interest considerations in merger control will remain a feature in South Africa and other African jurisdictions

The Tribunal has prohibited only 17 mergers in 27 years. The discussion highlighted the role that employee share ownership schemes, supplier development funds and other merger conditions can play a positive role in addressing public-interest concerns arising from mergers, while allowing transactions to proceed.

However, uncertainty about the scale and scope of potential public interest commitments and concerns about extended large merger review time periods, remain a concern for deal makers, especially in South Africa, given the capacity constraints of the Tribunal.

5. Competition policy and industrial policy are converging

The conference reflected a growing view that industrial development and competitive markets are mutually reinforcing objectives.

Discussions highlighted how competition-policy tools, including block exemptions, market inquiries, merger control and regulatory reform, can support economic development while preserving market contestability.

Strategic sectors such as critical minerals, energy, logistics and digital markets featured prominently in this discussion.

6. AI enters mainstream competition enforcement

Competition authorities are increasingly deploying AI, machine learning and advanced data analytics to support cartel detection, procurement screening, market monitoring and investigative efficiency.

The discussion also highlighted emerging questions around governance, explainability and the use of AI-generated evidence in litigation.

7. Pro-competitive regulatory reform: removing barriers and opening markets

The OECD ranks South Africa as having the highest level of product-market regulation, approximately double that of the next most regulated country.

Licensing systems, permitting processes, infrastructure regulation and administrative barriers featured prominently in discussions on market access, investment, entry and economic participation.

Heather is co-head of Bowmans’ Technology Sector and a partner in the firm’s Competition Practice, based in Johannesburg. Judd is a partner in Johannesburg and a trusted expert in pan-African competition law who handles complex transactions and matters across the continent. Nazeera is a Knowledge and Learning Lawyer in the Cape Town office and a member of the Competition Practice at Bowmans.