This study provides an overview of government- and industry-specific measures to address the abuse of online platforms by counterfeiters. In recent years, trading platforms have been instrumental in the growth in e-commerce, but at the same time, they can be abused by illicit trade networks.
This study offers unique up-to-date analysis of the impact on global trade of counterfeit and pirated products, known as "fakes" by the general public. Using statistical analysis and drawing on a global dataset covering almost half million customs data on seizures, the study estimates the huge share of international trade commandeered by counterfeit and pirated goods. In 2013, international trade in such products represented up to 2.5% of world trade, or as much as USD 461 billion. This is the equivalent of the GDP of Austria, or the combined GDP of Ireland and the Czech Republic. Above all, it highlights that right holders, governments and the formal economy as a whole suffer from significant economic and social losses. It also gives an idea about the potential financial revenues collected by criminal networks that are behind such trade.^More specifically, counterfeit and pirated products amounted to up to 5 % of imports in 2013 in the European Union, or as much as EUR 85 billion (USD 116 billion). This suggests that the relative impact of counterfeiting is twice as high for a group of developed countries, such as the EU, than it is for the world as a whole. The scope of the phenomenon appears to be greater than a decade ago. Back in 2008, a previous OECD study estimated that counterfeit and pirated goods accounted for up to 1.9 % of world imports, or up to USD 200 billion, relying on the best data and more limited methods available at that time. In the context of today's revival of international trade in the global economy, there is no shortage of opportunities for counterfeiters and criminals. Counterfeit and pirated trade is a major threat to any modern, knowledge-based economy. Counterfeiting and piracy matter in an innovation driven global economy.^Intellectual property (IP) is a key value generator for firms, helping them succeed in competitive markets. At the macroeconomic level, IP protection and enforcement is one of the main drivers of innovation, which contributes to long term economic growth. Given the fundamental economic importance of IP, counterfeiting and piracy must be directly targeted as a threat to sustainable IP-based business models.
This study examines the value, scope and trends of trade in counterfeit and pirated goods. First, it presents the overall scale of this trade and discusses which parts of the economy are particularly at risk. Next, it looks at the main economies of origin of fakes in global trade. Finally, it ...
This report examines governance frameworks to counter illicit trade. It looks at the adequacy and effectiveness of sanctions and penalties applicable, the steps parties engaged in illicit trade take to lower the risk of detection - for example through small shipments - and the use of free trade ...
This report, one in a series of studies by the OECD and the European Union Intellectual Property Office (EUIPO), enhances understanding of the issues and challenges facing governments, businesses and society posed by the trade in fake pharmaceutical products. Illicit markets for fake pharmaceuticals are attractive for counterfeiters, given the high profit margins, low risks of detection and prosecution, weak penalties, and the ease with which consumers can be deceived into believing that the counterfeit products are genuine. Counterfeit medicines not only cause economic damage for the sector, but are also a significant threat to public health, since fake medicines are often not properly formulated and may contain dangerous ingredients. Fake pharmaceuticals include antibiotics, lifestyle treatments, pain killers, anti-malarial drugs, diabetes treatments and central nervous system medicines.
The expansion of world trade has brought with it an explosive growth in counterfeit merchandise. Estimates put the world total for counterfeit products at about one half trillion dollars annually, although it is impossible to accurately determine the true size of the counterfeit market. What is known is that this illicit trade has infected nearly every industry from pharmaceuticals to aircraft parts. Software and music piracy are easy targets widely reported in the media. In 2007, the Business Software Alliance (BSA) estimated that 38% of personal computer software installed worldwide was illegal and the losses to the software industry were $48 billion worldwide. The Recording Industry Association of America (RIAA) reported a 58% increase in the seizures of counterfeit CDs. Overall, a wide range of industries agree that there is a severe problem with the protection of intellectual property rights (IPR) throughout the world, yet there have been virtually no attempts to describe all aspects of the problem. This work aims to give the most complete description of various characteristics of the IPR environment in a global context. We believe a holistic understanding of the problem must include consumer complicity to purchase counterfeit products, tactics of the counterfeiters (pirates) as well as actions (or inaction) by home and host governments, and the role of international organizations and industry alliances. This book establishes the full environmental aspects of piracy, describes successful anti-counterfeiting actions and then prescribes measures IPR owners should take to protect their intellectual property.
Economists explore the relationship between expanding international trade and the parallel growth in illicit trade, including illegal drugs, smuggling, and organized crime. As international trade has expanded dramatically in the postwar period--an expansion accelerated by the opening of China, Russia, India, and Eastern Europe--illicit international trade has grown in tandem with it. This volume uses the economist's toolkit to examine the economic, political, and social problems resulting from such illicit activities as illegal drug trade, smuggling, and organized crime. The contributors consider several aspects of the illegal drug market, including the sometimes puzzling relationships among purity, price, and risk; the effect of globalization on the heroin and cocaine markets, examined both through mathematical models and with empirical data from the U.K; the spread of khat, a psychoactive drug imported legally to the U.K. as a vegetable; and the economic effect of the "war on drugs" on producer and consumer countries. Other chapters examine the hidden financial flows of organized crime, patterns of smuggling in international trade, Iran's illicit trading activity, and the impact of mafia-like crime on foreign direct investment in Italy.
This timely and exhaustive study offers a much-needed examination of the scope and consequences of the electronic counterfeit trade. The authors describe a variety of shortcomings and vulnerabilities in the electronic component supply chain, which can result in counterfeit integrated circuits (ICs). Not only does this book provide an assessment of the current counterfeiting problems facing both the public and private sectors, it also offers practical, real-world solutions for combatting this substantial threat. · Helps beginners and practitioners in the field by providing a comprehensive background on the counterfeiting problem; · Presents innovative taxonomies for counterfeit types, test methods, and counterfeit defects, which allows for a detailed analysis of counterfeiting and its mitigation; · Provides step-by-step solutions for detecting different types of counterfeit ICs; · Offers pragmatic and practice-oriented, realistic solutions to counterfeit IC detection and avoidance, for industry and government.
