The Competition Act was promulgated to promote and maintain competition in South Africa in order to, amongst others:

  • promote the efficiency, adaptability and development of the economy;
  • to provide consumers with competitive prices and product choices;
  • promote employment and advance the social and economic welfare of South Africans;
  • expand opportunities for South African participation in world markets and recognise the role of foreign competition in the Republic;
  • ensure an equitable opportunity to participate in the economy;

In the Health professions, there are typically restrictions on entrance and on work reservation of such professionals. A restrictive practice is defined as any practice that by arrangement or legislation has the effect to limit the production or distribution of any article or service. These limitations prevent the developing of new markets where an unmet demand often already exists and causes an elevated artificial price-level. Legislation of this nature often prevents a profession or a branch thereof to revolutionize and expand the availability and affordability of the service to the entire population. Restrictive measures reduce both quantity and quality of health services and has retarded technological development.