Uzbekistan Airways and Silk Avia Named Market Leaders
Uzbekistan Airways and Silk Avia Declared Dominant Players in Aviation Market
Uzbekistan Airways and Silk Avia, operated by Uzbekistan Helicopters, have been officially recognized as dominant players in both domestic and international aviation markets. This recognition comes after both airlines exceeded the 40% market share threshold, as announced by the Competition Committee on December 13th.
The Competition Committee’s decision confirms that Uzbekistan Airways holds a leading position in passenger, cargo, and postal transportation services on international routes. Similarly, both Uzbekistan Airways and Silk Avia dominate the domestic passenger transport market with over 40% market share.
According to Article 13 of the Law on Competition, a company or group of entities is considered to have market dominance if they have the ability to influence competition and restrict market access for other operators. This dominance can give them significant leverage in operational decisions, potentially limiting economic freedom for competitors.
The committee has instructed the Department for Control over Economic Concentration and State Participation in the Economy to notify both Uzbekistan Airways and Uzbekistan Helicopters within three days of the ruling.
Market dominance is determined based on specific criteria, including the absence of viable competitors, a market share exceeding 40%, recognition as a natural monopoly entity, or the exclusive right to produce, distribute, or acquire certain goods.
Authorities emphasize that recognizing market dominance is crucial for ensuring fair competition and fostering an equitable business environment. This decision aligns with regulatory measures aimed at preventing market imbalances caused by monopolistic practices.