Prime Minister Dr Manmohan Singh has stressed on an architecture of sound competition policy to meet the challenges of growth, development and poverty reduction faced by Brazil, Russia, India, China and South Africa, BRICS, countries.

Inaugurating 3rd BRICS International Competition Conference in New Delhi today, Dr Singh said government should not use its legislative and fiscal powers to give undue advantage to its own businesses over the private sector. Observing that shielding public sector enterprises from competition may lead to several distortions which are against norms of fair competition, he called for freeing them from bureaucratic control and giving them greater functional autonomy.

Dr Singh favoured competition-neutral policies saying that competitive procurement markets would help save resources and release funds for development. The Prime Minister said there is a need for building credible institutions for sustained and equitable growth.

In his key note address, Corporate Affairs Minister Sachin Pilot highlighted the benefits flowing from a competitive market system. He said competition encourages affordable products and services, serves as an invisible check on quality and leads to innovation. Besides, competitive markets are also relatively resilient to adverse economic conditions.

Mr Pilot stated that calibrated regulation protects consumer interest and can become an engine of economic growth, which is very essential for poverty reduction efforts across BRICS countries.