Are you involved in the purchase or sale of a business
in Tanzania? You and your business could be at risk of very
significant penalties if you fail to comply with the Tanzanian
merger rules.
The framework for competition policy enforcement was created by
the Fair Competition Act 2003 (the Act), which
entered into force in 2004. Section 11 of the Act prescribes that
where there is an acquisition of shares or a business or other
assets within the jurisdiction of Tanzania and the value of the
acquisition is above a value prescribed by an order laid down by
the Fair Competition Commission (FCC) then the
merger is mandatorily referable to the FCC.
The FCC recently published an order, the Fair
Competition,Threshold for Notification of a Merger Order 2006,
confirming the threshold at which anticipated acquisitions of
businesses must be notified to it for clearance under the Act. The
publication of the order is a crucial piece in the jigsaw, not only
in a merger control
