Hindi for counterfeit - kalpita
Tamil for counterfeit - poli

Background
India’s counterfeit market value is $6.07 billion with auto parts comprising a major part of this – an astounding 37% of all auto parts sold to the public are counterfeit! (source: Havocscope Global Market Indexes). At $1.275 billion, the market value of counterfeit software in India is also high, in 2007 reflecting a loss of $2,025 million (source: 2007 Global Software Piracy Study). Globalisation in India has brought the positives of increased commerce and opened the country up for direct foreign investment, which is of course very good news for the Indian economy. However, India’s status as a low-cost manufacturing base also opens it up for use by counterfeiters as a prime location for the production of counterfeit goods both for domestic sale and export. Soap, shampoo, toothpaste, food, auto parts, as well as the more obvious items such as software, music and movies, have all been and continue to be counterfeited and, with consumer hunger for branded goods at an all-time high, business is booming for the Indian counterfeiters.

The counterfeit medicines market in India is also flourishing and there have been some horror stories, such as that of 30 children dying in 1998 due to the consumption of paracetamol cough syrup prepared with diethylene glycol (a toxic chemical used in antifreeze). According to the WHO, in 2002 India’s pharmaceutical companies suggested one in five medicines sold in India’s major cities was fake. They claimed a loss in revenue of between 4% and 5% annually. The industry also estimated that illegal drugs had grown from 10% to 20% of the total market.

India’s famous ‘Bollywood’ film industry is also under threat with piracy and counterfeiting proving to be such a menace that the very existence of the industry is at stake.

Adding fuel to the fire is the flow of counterfeit goods from China, which are making their way into the country through the sea ports as well as from Nepal, Bangladesh and Burma. Policing the long boundaries that India shares with its neighbouring countries is a very difficult task and, unfortunately, lax border controls are encouraging the counterfeiters to extend their operations. So-called ‘porous borders’ are threatening the Indian economy as well as its national security.

The country’s global reputation is suffering. India is featured on the United States Trade Representative Priority Watch List for 2008 and there is strong international concern that India’s IP protection and enforcement is inadequate and by no means meets the counterfeit issue that the country is facing today. Although there are laws in India against counterfeiting, their enforcement is tedious and lengthy legal proceedings often yield no results.

Legislation
The good news is that, despite having a massive problem with counterfeiting, the Indian government is taking the problem seriously and formulating methods and means to deal with it. Important changes have been made to the country’s IP laws and more changes are in the pipeline. On September 15, 2003, the New Trade Marks Act came into force, which has upped the punishment and fines for counterfeiting. Increased public awareness of counterfeiting issues has been created through lobbying by various brand owners association and education programmes, which has also led to a greater understanding of IP issues among law enforcement authorities.

The Indian pharmaceutical industry and government have been somewhat in denial about the country's domestic counterfeit drug problem,  accusing Western multinationals of besmirching  their good name in a bid to protect themselves from the dangers of generic competition. However India does seem to be waking up to the issue because in January 2011 the procedure as stipulated by the Drugs and Cosmetics Act for tracking and tracing of export consignments of pharmaceutical drugs was amended specifically to impede the activities of exporters of spurious pharmaceuticals. The new legislation requires exporters of pharmaceutical products to build track and trace capabilies into their exported medicines using barcode technology as per GS 1 global standards. Click here for further details of the amended Drug and Cosmetics Act.

Click here for more detailed information on Indian IP law and redress available under the Indian Legal System.

Time can only tell whether the measures currently being activated are going to be sufficient to redress the counterfeiting issue, or whether the counterfeiters will find new ways to dodge the legal system and perpetuate and increase their Indian counterfeiting empires.

Products to look out for
Pharmaceuticals
In May 2008 the Times of India published an article claiming that India, a “rising star in the pharma firmament”, may be awash with counterfeit drugs. Counterfeit versions of an array of modern drugs in areas like cancer, erectile dysfunction, cardiology, cholesterol lowering, hypertension and genitourinary infections have all been found. These counterfeit drugs are making their way across the pharmacy counter and into consumers, so remember to be extra vigilant when purchasing both prescription and non-prescription products when travelling in India. If you have a particular condition that requires you to take regular medication, read up beforehand to find out whether your drug has been counterfeited and what you should look out for. Retain the packaging from medication that you have brought with you so that you have something to compare it with.

DVDs and software
From the latest blockbuster to the newest bestseller, any movie you like is available on the streets of Mumbai, and most of the products are pirated. Music and movies are some of the industries worst affected by piracy in India. Considering that Bollywood, for many a national icon for India, makes many more films than Hollywood but without nearly the same profit, it seems rather sad that this industry should be made to suffer through the actions of counterfeiters and we certainly discourage you from giving your support by buying the pirated movies.

Nehru Place in New Delhi, a hub for IT products, has been named by the US Trade Representative as "among the world's biggest markets for pirated items". Housing over 1,500 shops, company distributors and retailers, dealing with all kinds of computer peripherals, hardware and software, Nehru Place is one of the largest computer markets in India, so it's hardly surprising that a place of this size poses siginificant regulation problems. Its official listing in the USTR report and the subsequent negative publicity may however highlight the issue and  help reduce the problem.

Microsoft software is also a hot counterfeit product and the company has recently stepped up its action against software pirates. In 2007 Microsoft took enforcement action against two leading dealers in the Delhi region, based on evidence that the dealers were selling computers already loaded with pirated software.

Click here to read an interesting article about initiatives in India to curb the spread of counterfeit DVDs and software.

Alcohol and cigarettes
On the Burmese border with India, counterfeit alcohol and cigarettes are making their way across. These products have very attractive prices but the effect is not so pleasant; fake Marlboro that taste horrible and fake Scotch whisky that will give you a stomach upset. It’s a while back now, but in 1981 one single batch of bad ‘hooch’ led to 300 deaths in Bangalore. If you want to avoid counterfeit alcohol or cigarettes, and their nasty side-effects, make sure you are buying the genuine product – price being the first key indicator, packaging being the second.

Auto parts
Though not something to necessarily affect travellers to the country, India is steadily becoming a global hub for fake auto parts. Fast-moving components like air filter/cleaner, spark plugs and brake pads are favourites among the counterfeit dealers because these are in high demand and consumers look for cheaper options. This trade continues, despite the risk of serious accidents that fake parts carry.

Books
Pirating of books is recognized as a big problem in India. In Mumbai children weave through the traffic at intersections, peddling their wares of counterfeit books to the passengers. Photostatted copies of major best-sellers are readily available, but police crackdowns and raids have highlighted the illegality of these operations and these vendors are notoriously camera shy and can quickly disappear into the crowd if they get spooked. Raids have been carried out, notably in New Delhi, arrests have been made and vast quantities of pirated books have been confiscated. It is realised that India is in danger of getting itself a bad reputation through the ready availability of pirated books and the authorities are taking the matter seriously. Having said that, India is an excellent place to purchase low cost but genuine English language books from reputable bookshops. This is because India has had a long standing tradition of appreciating international literature and printing or publishing books on the subcontinent.

Printer cartridges
Illegal manufacturing and sale of fake printer cartridges is big business in India, with Hewlett Packard and Canon both falling victim to this. As ever, the quality of the counterfeit versions is severely reduced and, although cheaper, both you and your printer will ultimately benefit from buying the genuine item. Click here to read more about initiatives to encourage consumers to avoid fake printer consumables.

Fake railway tickets
Be on your guard for fake railway tickets because recently there has been a spate of these, most notably in the Utar Pradesh area of northern India where an anti-fraud team and special task force have carried out spot checks on trains, the Times of India reported in June 2008. According to this article, the people operating fake-ticket rackets target passengers travelling in general compartments of long distance trains that go towards Delhi, Ludhiana, Rajpura, Jalandhar, Ambala, Jammu Tavi, Chandigarh and Mumbai. The tickets are sold from smaller stations such as Shahganj, Akbarpur, Gosainganj and Faizabad. The fake tickets cost between Rs 8 to 10 per passenger. Apparently passengers of general compartments are more vulnerable because they do not pay attention to the facts like who is selling tickets to them and what the standard price for a ticket is. Indian railway stations are notoriously hectic and stressful places and tourists are particularly vulnerable to the fake ticket racketeers, so make sure you purchase your ticket from reputable agents or railway station offices and keep any issued receipts.

Fake gold
Never buy gold from street vendors. The classic trick is to show potential customers a piece of genuine gold and then you get sold fake bricks at a very attractive price. The swap is made very speedily and you won't get a chance to spot the difference until the scam artist is well on his way.

Changing money
Tourists are warned that changing money through unauthorised persons is not only illegal but also involves the risk of receiving counterfeit currency. Exchanging foreign money other than through banks or authorised money changers is an offence. No Indian currency whatsoever can be imported or exported, except for Rupee travellers’ cheques.

Shopping in Mumbai
In 2006 Versace opened its first boutique in Mumbai at the upmarket Hotel ‘JW Marriot’ shopping mall. Hugo Boss, Burberry, Cartier, Chanel, Louis Vuitton and Tommy Hilfiger outlets all opened up previously in the capital city; a sign that India’s market for luxury goods is on the rise. Luxury retailers are also drawn to India because, surprisingly, it does not have a big problem with counterfeit luxury goods.

A walk down the Colaba Causeway in Mumbai, right behind the Taj Hotel and the Gateway of India, reveals lanes packed with vendors selling the latest Hindi and Hollywood hits. They’re nearly all counterfeits and the fact that they are poor quality and purchasing them contributes to the damage currently being inflicted on the Indian film industry, should be enough to put you off! And there is just so much else of much better quality to spend your money on in Mumbai.

Most of the Handicrafts emporia and bazaars are located in the downtown area. Avante, opposite the Regal Cinema, carries a collection of well-priced souvenirs. Crawford Market, famous for flowers, fruits, meat and fish is also a fascinating place to visit.

Colaba Causeway and Fashion Street are the places to go for clothes shopping. Except for the Government emporia or some of the elegant boutiques, bargaining is the done thing.

Breach Candy and Kemps Corner, down the hill from the Hanging Gardens are also popular for clothes shoppers.

Chor Bazaar (Thieves Market) is the place to go for antiques, but bear in mind that the Government of India does not allow antiques over 100 years old to be exported out of the country.

At the oddly named Mutton Street flea market you will find an eclectic mixture of wares ranging from teak and rosewood furniture to crockery, glassware, porcelain, paintings, beads, lamps, masks. You are expected to bargain!

Zaveri Bazaar (Jewellery Market) and Mumbai’s oldest bullion market, is famous for its diamond, gold and silver jewellery.

Besides the markets, Mumbai also has plenty of department stores where familiar brands are available: Eternia at Breach Candy, Shopper's Stop on S.V. Road in Andheri Chembur and Mulund and Crossroads near the Haji Ali Durgah at Tardeo.

Organisations
Confederation of Indian Industry (CII)
IPR Cell has a special initiative against Counterfeiting & Piracy

Federation of Indian Chambers of Commerce & Industry (FICCI)

Associated Chambers of Commerce and Industry in India (ASSOCHAM)

Organization of Pharmaceutical Producers of India (OPPI)
Released Special guidelines for Anti-counterfeiting

Indian Drug Manufacturers’ Association (IDMA)
Special Seminars / initiatives on Anti-counterfeiting thru its Regulatory Affairs / Drug Control sub committee