ASPA seeks mandatory authentication, anti-counterfeiting laws

With counterfeiting activities growing at the rate of 44 per cent, authentication solution providers on Tuesday sought government intervention to make authentication "mandatory" and enact "specific anti-counterfeiting laws" in the country.

"Counterfeiting is increasing 3 per cent per annum globally. In India, the problem is more severe, it is growing with an alarming rate of almost 44 per cent per year," Authentication Solution Providers' Association (ASPA) General Secretary Arun Agarwal said here.

"No specific anti-counterfeiting laws are in place in the country and using of authentication solution has not been made mandatory," said International Hologram Manufacturers Association's Chairman Manoj Kochar.

The officials of the associations said several countries all over the world introduced laws to tackle the menace of counterfeiting. For example, Canada passed Combating Counterfeit Products Act.

"The Indian government also ought to do something similar," Agarwal told reporters here at the association's 'Make Sure India' campaign.

Citing a study of Ficci-Cascade, Agarwal said the government of India incurred a loss of Rs 26,190 crore in 2011-12, which increased to Rs 39,239 crore in 2013-14, a growth of 49.8 per cent in two years due to counterfeiting activities.

He also said the danger of counterfeiting gets multiplied when it comes to healthcare products including pharmaceuticals, baby-care and skin-care products.

"As per IRACM, a world body that focuses on the issue of pharmaceutical counterfeiting, the global trade in spurious medicines is worth $200 billion. Since India accounts for three per cent of the world market, this makes India's share at $6 billion or about Rs 41,000 crore. This is a huge loss to the industry," Agarwal said.

The counterfeiting activities affected the sales of industries.

According to the association, the total loss of sale to seven industries including FMCG packaged and personal goods, mobiles, tobacco, alcoholic beverages, auto component, computer hardware was at Rs 1,05,381 crore in 2013-14.

Kochar alleged that a majority of the association members are mostly from small and medium sectors and so "our voices are not heard of seriously" at the Centre.

--IANS

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