In a bid to spread consumer awareness against the menace of smuggling and counterfeit products, FICCI-CASCADE (Committee against Smuggling and Counterfeiting Activities Destroying the Economy) organised a seminar in Chandigarh on ‘Curbing Counterfeiting and Smuggling –an imperative for Indian Economy.’
The seminar was inaugurated by Shivraj Patil, Governor Punjab and Administrator U.T, Chandigarh. Rajinder Gupta, Chairman FICCI Advisory Council (Northern States and Chairman Trident Group) welcomed the delegates.
Patil said that awareness and cooperation are the effective tools to check counterfiet and smuggling of goods in the country.
Highlighting the problems of counterfeit, fake and smuggled goods and their impact on the economy, Patil said that this is a very complicated problem which can be solved by all those who are involved in the activities of producing commodities and goods, services and intellectual property, traders and media.
Patil added that consumers and those who used these items if they are made aware what they are purchasing what they are paying for they would definitely protect themselves.
The Governor said that it should be made possible for central and State Government and Administration to consider what kind of policy should be drafted to check the menace of smuggling and counterfeit products.
The seminar brought out the fact that Tobacco sector continues to account for the highest revenue to tax percentage loss to the Government at over 60 percent and Punjab is no exception. Punjab is one of the fastest growing markets for illegal and tax-evaded cigarettes in the country.
The goal of a criminal behind counterfeits, piracy and the smuggling is to make illegal profit from the reputation of an established and trusted name or brand and to deceive the consumer.
The theft of ideas and the sale of counterfeit goods threaten economic opportunities and financial stability, suppress innovation and destroy jobs, he added.
According to the FICCI study on “Socio-economic Impact of Counterfeiting, Smuggling and Tax evasion in seven key Industry Sectors” the estimated annual Tax loss to Government in the year 2012 is estimated at Rs26, 190 crores. The study further estimates an annual sales loss to industry at a whopping Rs1, 00,000 crores.
Emphasising on cooperation between government and traders, Patil said to check counterfeit and smuggling of goods, cooperation between Governments, industry, traders in the consumer is required.
The branded business has to be kept in some limits as business is also responsible for counterfeit.