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CAIT hails US move to curb fake goods sales on e-com sites

Jan '20
Pic: Shutterstock
Pic: Shutterstock
The Confederation of All India Traders (CAIT) has welcomed President Donald Trump government’s recent move to come out with new regulations to curb the sale of counterfeit and pirated goods on e-commerce platforms. The new Department of Homeland Security (DHS) rules shift the liability for counterfeit goods from third parties to e-commerce platforms.

CAIT national secretary general Praveen Khandelwal said this is evidence that e-commerce platforms are not only engaging in malpractices but are also promoting counterfeit and pirated goods, because of which their home country too has taken cognizance of this.

CAIT will also ask the Indian government to bring in such a policy. The National E-commerce Policy, expected to be announced by June, should address the problem of counterfeit goods, he was quoted as saying by Indian media reports.

The January 24 DHS document, titled 'Combating Trafficking in Counterfeit and Pirated Goods: Report to the President of the United States', says both private sector and government inputs to the report have shown that the flood of counterfeit and pirated goods now being trafficked to US consumers through online third-party marketplaces is threatening both public health and safety as well as national security.

The lack of effective methods for addressing counterfeit goods stifles US innovation and erodes the competitiveness of US manufacturers and workers. Despite increased efforts of both the government and private sector stakeholders, the trafficking of counterfeit and pirated goods continues to worsen, in both the volume and the array of products being trafficked, the document says.

According to the Global Brand Counterfeiting Report, global sales of counterfeits are growing at 15 per cent per annum and is estimated to touch $1.82 trillion in 2020. The share of e-commerce is stated to be 25 per cent of this number.

Fibre2Fashion News Desk (DS)

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