As per a report published in The Economic Times – Chinese manufacturers are increasingly “faking” popular Indian products of consumer goods giants such as Dabur and ITC, undermining the legitimacy of brands and causing losses worth as much as $5 billion annually.
“China is a big problem everybody is facing”, said S.K. Goel, chairman of the Central Board of Excise and Customs. Goel said the big international brands like Nokia, Adidas, Reebok and Nivea were also widely counterfeited in China and supplied in India and other parts of the world. Chinese manufacturers are also faking drugs, endangering lives of patients. Fake drugs, carrying “Made in India” tags, supplied from China were recently detained in Nigeria and other African countries.
KK Vyas, Delhi’s deputy commissioner of police (crime), said the police have seized and confiscated a lot of fake and counterfeited products of popular brands in the national capital recently. Vyas emphasised on the need for enhancing punishment for unscrupulous manufacturers and importers. “Punishment needs to be enhanced. Also there is need that judiciary addresses these issues quickly”.
“Counterfeiting is a big menace. It is hurting everybody – consumers, industry and the exchequer”, said Anil Rajput, chairman of the anti-smuggling and anti-counterfeiting committee of Federation of Indian Chambers of Commerce and Industry (FICCI).
Before clearing the unethical practice in overseas, Indian authorities must remove counterfeiting products being manufactured blatantly in India, right under the nose of the competent authorities in the capital of India. In Delhi alone, all types of counterfeit automobile products including audio products are available in Kashmere Gate and Karol Bagh markets. All types of fake electrical products and pharmaceutical items are available in Bhagirath Palace. Surprisingly, all these fake products manufacturers have mushroomed in Delhi and have set up huge production facilities mostly in residential areas all over Delhi.
Delhi Police and other controlling authorities for lawful trade like Sales Tax Department and Director Of Industries, are fully aware of these illegal activities but do not take any action against unscrupulous manufacturers because they get paid for turning blind eye to these activities. None of these illegal suppliers and their sellers pay sales tax or income tax to the government and this is huge loss to the exchequer.
Before taking action against the companies located overseas, our police (crime) department along-with Sales Tax Department and other enforcement agencies, should take strict action agaist these manufacturers, which is very easy to do as police stations of all locations know them very well. Only, intent and determination is required to clear this mess, which is lacking.
Before accusing outsiders for the counterfeit products, we must address this problem first in our own home. Hope all the leading companies affected by this problem will endorse my views and will prevail upon the authorities to take remedial action on war footing.