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Networks of illicit trade in counterfeits use many modern solutions, including e-commerce, a tool that offers numerous advantages for consumers and businesses. The COVID-19 pandemic has accelerated both illicit trade and its misuse of the online environment.
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.
Networks of illicit trade in counterfeits use many modern solutions, including e-commerce, a tool that offers numerous advantages for consumers and businesses. The COVID-19 pandemic has accelerated both illicit trade and its misuse of the online environment. This report uses a tailored, statistical methodology to assess the misuse of e-commerce for trade in counterfeit goods. It also presents key government actions and industry initiatives to counter this risk.
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.
Networks of illicit trade in counterfeits use many modern solutions, including e-commerce, a tool that offers numerous advantages for consumers and businesses. The COVID-19 pandemic has accelerated both illicit trade and its misuse of the online environment. This report uses a tailored, statistical methodology to assess the misuse of e-commerce for trade in counterfeit goods. It also presents key government actions and industry initiatives to counter this risk.
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 examines the potential for the misuse of small parcels for trade in counterfeit and pirated goods. It presents the legal and economic contexts of the operation of express and postal services. It also looks at the available data on volumes of small consignments, via postal and courier ...
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 study develops and applies a rigorous methodology to estimate the incidence of counterfeit and pirated items in world trade.