In Mexico, the competition policy stems from article 28 of the Constitution, that sets forth the right of the society to  benefit from the effects of market competition.  This article expressly prohibits the monopolies and monopolistic practices, and states that mergers contrary to public interest shall be avoided in the awarding of public services and goods of federal domain.

The application of competition policy actually starts in June 1993, when the Federal Law on Economic Competition (LFCE, for its acronym in Spanish) came into effect. This is the regulation that makes effective the Constitution mandate regard to the individual warranty to access into the market competition.  

The LFCE has the aim to protect the competition process and free market with the prevention and elimination of the monopolistic practices and activities that constrain  the efficient performance of markets.  

Free trade agreements signed by the Mexican Government usually contain a specific chapter on competition matters and, furthermore, bilateral agreements on competition matters have been signed with several countries.

In addition, several sector laws grant specific powers to the CFC, especially regarding the determination of competition conditions in specific markets, as well as for approval of participants in Government bidding and privatization processes.

The CFC, in an effort to contribute to the improvement of the study on economic competition matters, created a basic legal compendium, which can be downloaded through the link found on the right side of this page. The work contained in the compendium should not be understood as an official interpretation of the CFC regarding legal texts and it cannot be used to link the CFC for any reason at all. The CFC invokes its powers to apply the provisions regarding economic competition without regard to this document.