Canada and Mexico Sign Cooperation Agreement on Competition Law Enforcement

OTTAWA, November 15, 2001 — Today, Konrad von Finckenstein, Commissioner of Canada's Competition Bureau, announced the signing of a cooperation agreement on competition law enforcement between the governments of Canada and Mexico. The agreement was signed last night in Veracruz, Mexico, by ambassadors from both countries.

"We now have competition agreements in place with both our NAFTA partners," said Mr. von Finckenstein, "Our agreement with Mexico clearly shows that competition authorities from all three NAFTA countries want to ensure that anti-competitive business practices do not detract from the benefits of free trade."

The Canada-Mexico competition agreement is similar to the 1995 competition agreement between Canada and the United States, which sets out a framework for notification, coordination and cooperation on enforcement activities, exchange of information and avoidance of conflict. Mexico signed a similar agreement with the United States last year.

"We have completed the process of establishing cooperative frameworks for competition law enforcement within the NAFTA region," said Mr. von Finckenstein, "This announcement is good news for business and consumers."

Canada's agreement with Mexico will promote cooperation and coordination between competition authorities in both countries. It will also lessen the possibility and impact of differences in the application of their competition laws in an increasingly globalized economy. Consumers in both countries stand to benefit from enhanced competition in terms of prices and product choices.

The agreement is part of ongoing efforts to ensure that the Competition Bureau has the tools to deal with cross-border anti-competitive activities. In the past decade, there has been an increase in international conspiracies and in cross-border mergers. This upward trend in activities, that may affect more than one country, demonstrates the need for a high degree of cooperation among antitrust agencies in order to ensure compliance with and effective enforcement of competition laws.

The agreement will come into force after it has received Senate approval in Mexico, which is expected early in the new year.

The Competition Bureau is an independent law enforcement agency that promotes and maintains fair competition so that all Canadians can benefit from competitive prices, product choice and quality service. It oversees the application of the Competition Act, the Consumer Packaging and Labelling Act, the Textile Labelling Act and the Precious Metals Marking Act.

For general public enquiries, please contact:

Competition Bureau's Information Center
1-800-348-5358

For media enquiries, please contact:
Tim Weil
Senior Communications Advisor
Communications Branch
819-953-9271 or 613-296-2189 (cell.)