How organisations can benefit from track and trace technology?

There are numerous instances when organizations can do nothing about situations like theft, robbery, fire, etc. All they suffer is the irreversible damage caused to them. It takes years and sometimes decades to recover from that loss.

However, companies can take different measures for security and safety. Besides they can also secure their supply chains. With the mammoth development in technology new cutting-edge measure is being adopted by the company across the world. Nowadays companies can effectively monitor and manage their supply chains and can look out for any loopholes with exact accuracy.

One of the major threats faced by organizations across the world is that of counterfeiting. Duplication or counterfeiting can take place at any stage of the supply chain. The supply chain of a company encompasses different stages; therefore, it is challenging to monitor each of them. In addition, it is not possible to check individual errors or problems in the supply chain.

Lately, different kinds of technologies are being used to fight the menace of counterfeiting or duplication along with the management of supply chains. The combination of IT technology and holographic technology is being used by organizations across the world. A recent example is the bar codes and QR codes along with holograms which helps to perform multiple functions including track and trace, supply chain management, reward management, inventory management, marketing management among others.

Digital authentication with a QR code or barcode takes place on the single product, pack, case and pallet level. Different and unique QR codes are difficult to copy and provide impeccable security on each level of the supply chain. Holostik is a frontrunner of anti-counterfeiting solutions and caters a plethora of holographic and digital authentication solutions for safeguarding the supply chains. The security holograms along with digital authentication solutions help in providing a multi-layered security approach  to the product and the organization.

To get the best track and trace solutions call us on +91-7857857000 or mail us at connect@holostik.com.

Counterfeiting on the global level-An overview

Counterfeiting or duplication is a growing problem across the world. It badly affects the government, businesses, and consumers. People across the world are suffering from the menace of duplicate products which is regularly authenticated by different reports and news coming from different parts of the world.

Market experts believe that the growing globalization is the main reason behind rampant duplication. They say that in order to increase their manufacturing capacity and hire cheap labor big companies shifted their base to developing and third world countries. However, the major problem in these areas was that of lack of anti-duplication regulation and poor IP laws.

This made the way for counterfeiters and they were easily able to steal technology to manufacture duplicate goods. With the passage of time, they became more organized and took counterfeiting on a much larger scale.

According to a report by OECD (Organisation for Economic Co-operation and Development) United States, Italy, France, Switzerland, Japan, and Germany are the hardest hit countries, with the majority (83%) of fake goods originating (not surprisingly) from China and Hong Kong. European brands are among the most impacted, with an estimated 5% of all goods imported into the European Union (EU) being fake. This represents as much as $118 billion.

With the growth and penetration of internet technology counterfeits are now being sold on different internet platforms. According to the International Trademark Association, “Criminals prefer to sell counterfeits on the Internet for many reasons. They can hide behind the anonymity of the Internet with the Dark Web even their IP addresses can be hidden. The Internet gives them the reach to sell to consumers globally-outside of the national limits of law enforcement.”

The global problem of counterfeiting must be addressed on multiple fronts with collaborative efforts of the government, industry players and anti-counterfeiting solution providers.

UK police warn YouTubers against promoting counterfeit makeup

UK police recently warned Youtubers against promoting counterfeit makeup. The police believe that counterfeit makeup is jeopardizing the health of the consumers. Authorities say that fake cosmetics have been found to contain toxic elements like mercury, arsenic, lead and rat droppings. The police said that counterfeit makeup products which are being sold abundantly online can leave users with infections and burns. The warning has been issued after many YouTubers posted videos using counterfeit products to see their comparison with authentic brands.

Charles James the famous US fashion blogger tried to create a signature look with counterfeit cosmetics in a video which was watched more than six million times. The famous UK daily ‘The Telegraph discovered numerous videos on YouTube viewed by children as young as 11 and one from UK YouTube vlogger which had more than 700,000 views. In many videos, the viewers were not warned about their content.

Detective Inspector Nick Court of the City of London Police’s Intellectual Property Crime Unit said: “We’re concerned that popular YouTube stars are using counterfeit makeup in their tutorial videos. This not only puts them at risk of infections, rashes and burns, it could also encourage their followers to use the same harmful products.

He also said, “It’s great that YouTubers are calling out counterfeit makeup for not giving shoppers the same quality as the genuine brands. We are however keen to make sure they don’t expose themselves to health risks in the process.”

Source: Telegraph.co.uk

The link between counterfeiting and organized crime

International law enforcement and market experts have established a close link between counterfeiting and other forms of criminal activities. It has been found that the counterfeiting business helps criminals to fuel other illegal activities and vice-versa. EUROPOL (European Union Agency for Law Enforcement Cooperation) has even warned that counterfeiting is an increasingly attractive avenue for organized crime syndicates to diversify and increase their illicit businesses.

It has also been found that counterfeiters use similar routes and modus operandi to supply counterfeit goods as they do to smuggle drugs, firearms and human trafficking. Profits from other crimes and illicit activities also help in the production and distribution of counterfeit goods. Many reports from different countries have established the fact that profits from crimes like drug trafficking and other crimes were used to promote the business of counterfeiting and, similarly proceeds from the sale of duplicate goods were used to promote the criminal’s other illicit activities.

One of the main reasons why criminals choose counterfeiting over other criminal activities is due to its favourable ratio between potential profits and possible risks. According to Executive Director, UNODC (United Nations Office on Drugs and Crime) Yuri Fedotov, “In comparison to other crimes such as drug trafficking, the production and distribution of counterfeit goods present a low-risk/high-profit opportunity for criminals. Counterfeiting feeds money laundering activities and encourages corruption. There is also evidence of some involvement or overlap with drug trafficking and other serious crimes.”

As per trade, reports counterfeiting is now placed amongst the highest income sources for organized criminal activities. Counterfeiting or duplication also helps in money laundering by providing a platform through which criminal organization can invest the proceeds of their illicit activities. In a nutshell, organized crime syndicates use counterfeiting as a medium to optimize their other criminal activities.

DRI arrests two people with fake currency notes

The Directorate of Revenue Intelligence (DRI) recently caught two people with fake currency notes of the denomination of Rs 2,000 from the Surat railway station.

DRI has got a tip-off about a man who was possessing counterfeit notes of Rs 2000. The accused had arrived from a station from Muzaffarabad, Bihar with a stack of 100 duplicate notes worth Rs 2 lakh.

The accused Vinod Nishath is a resident of Muzaffarabad in Bihar. He revealed that the counterfeit notes were delivered to him from Bangladesh and that he had boarded a train to deliver it to a person in Surat.

Vinod’s mobile phone was constantly ringing and the man on the other side was Mohammed Mehfooz Shaikh. The DRI officials asked Vinod to answer the phone and call Shaikh to the railway station. When Shaikh arrived, he was immediately caught.

The DRI official said that both the accused were presented before the district sessions court for obtaining their remand and were later send to Lajpore central jail for 14 days under judicial custody.

Source: TOI

The impact of counterfeiting on the Indian apparel industry

The local clothing industry is the second biggest supporter of the retail business after FMCG. It is valued around Rs 3 lakh crores. The popularity of global brands, changes in inclinations from non-branded to branded, a quickly developing economy and a substantial youthful purchaser base in has made India a profoundly lucrative market. The broad communications and web-based social networking infiltration, the young are getting to fashion conscious. This has opened uncommon doors for the retail showcase.

Market specialists say it is exceptionally hard to evaluate the extent of fake attire. There are numerous manufacturing plants situated at non-descript areas associated with fake items. A large number of them deliver duplicates of multinational brands as edges are high. The movement tricks shoppers as well as the state exchequer. As per insiders, Delhi is the centre of fake items as about 70% fake items start from the national capital.

It’s not a surprise that we usually see cheap grade apparels at different market locations and street shops. As per trade reports, apparels are the second most counterfeited products after footwear across the world. According to Global Brand Counterfeiting Report 2018, “The amount of total counterfeiting globally has reached to 1.2 Trillion USD.”

Apparels are one of most counterfeited products and counterfeiters have copied many famous and costly brands. It is usually difficult to recognise counterfeit apparels at one glance. Some of the best ways through which counterfeit apparels can be determined are its quality of the fabric, stitching, quality of packaging, discrepancies in tags and labels.

Counterfeit apparels can only be stopped with unified efforts of the manufacturers, retailers and consumers at large. Many big brands are using different anti-counterfeiting measures to prevent counterfeiting of their products. This will certainly help them in safeguarding their brand image and prevent further loss.

Man prints fake currency with the help of YouTube tutorial

Inspired by a YouTube tutorial on printing fake Indian currency, a man named Ravi Sandhu printed fake notes in the denominations of Rs 2000, Rs 500 and Rs 200.

He first started to circulate them in interiors of Punjab, but after an action by the police, he shifted his base to Delhi. He used to circulate fake currency at weekly markets and liquor shops. Police have confiscated his set-up and fake notes, with a total value of Rs 1.38 lakh. Sandhu confessed, that till date, he has printed fake notes with a total value of Rs 10 lakh

He also revealed that the Punjab Police had earlier arrested him in connection with the fake current racket. After coming to Delhi, he had become more careful in his activities and would change his hideout every three months to avoid being caught. DCP Monika Bhardwaj said that an FIR has been registered against Sandhu for printing fake currency and, the case is still ongoing to know if Sandhu had any accomplices.

The accused would download pictures of the notes and then take printouts on normal paper. The notes were cut with precision, crumpled and were kept in damp places to make them look original.

The fake currency racket was busted when police got a tip-off about his activities in a weekly market. A police team comprising of a Sub Inspector and others were formed and traps were laid at different places. Sandhu was caught when he reached a shop with the fake notes.

A senior officer said that they seized 64 fake currency notes in the denomination of Rs 2000, 17 notes of Rs 500 and eight notes of Rs 200. If you analyse carefully you can easily identify the difference in the quality of the note, paper and thread when compared to original currency notes.

Source: TOI

 

The ill-effects of counterfeiting on the auto-component industry

For the past few decades, there has been an unprecedented rise of counterfeit automotive parts in the automotive industry. The trend not just jeopardizes the health of the consumers but also brings down the growth of the manufacturers. Of late, authorities from across the world have seized huge amount of counterfeit automotive parts at different stages of the supply chain.

A large amount of such counterfeit automotive parts, confiscated by officials, are from China. In the last few years, the trade of counterfeit auto parts has jolted the automotive manufacturers across the world.

According to a report by FICCI on Illicit Trade, “The Indian auto component industry suffered a loss of INR10501 crores in 2014 due to grey market which increased from INR 9198 crores in 2012.”

Market experts cite various reasons behind the growth of counterfeiting in the automotive industry which include, ease of manufacturing, packaging and import of products, higher margins on the sale of counterfeit automotive parts, uninformed customers buying counterfeit automotive parts, availability of technology to copy products, lower cost of duplicate product and short replacement cycle of some products.

Due to the above-mentioned reasons there has been an exponential growth in counterfeiting of automotive parts and has deeply troubled the automotive industry, government and last but not least consumers. Let’s discuss these impacts in detail:

Impact on manufactures: Automotive manufacturers have to bear the brunt of counterfeiting. The sale of counterfeit automotive parts brings down the sale of genuine products drastically. Moreover, there is a loss to the image of the manufacturers due to faulty and poor-quality cheap products.

Impact on government: The Indian government lost INR 3113 crores in the year 2014 compared to INR 2726 crores in the year 2012. The government suffers a huge amount of losses due to evasion of taxes by forgers or counterfeiters.

Impact on consumers: Did you know that 20% of traffic accidents are caused by counterfeit automotive parts? The figure was revealed by Automotive Component Manufacturers Association (ACMA) a few years ago. So the most diabolic impact of counterfeit automotive parts is that it plays with the life of consumers.

Authorities seize counterfeit Crocs footwear in West Bengal

Lately, enforcement operation authorities have seized hundreds of counterfeit Crocs footwear along with shoes and bags from local stores in Kalimpong and Siliguri in West Bengal.

Crocs is a world leader in innovative casual footwear for women, men and children, today announced that recent raids in West Bengal, India, resulted in the seizure of hundreds of pairs of counterfeit Crocs products, including bags and footwear, as well as two arrests. The raids are part of Crocs’ proactive anti-counterfeit enforcement campaign with local authorities.

The raids were carried out at New Shalimar Shoes at Kalimpong and against Jay Maa Trading Company at Siliguri in West Bengal. The owners of the stores were arrested and will be produced in legal proceedings.

Sara Hoverstock, Crocs’ Associate General Counsel said, “Crocs takes its intellectual property very seriously and will continue to aggressively protect the brand against those who unfairly trade off Crocs goodwill.”

A report by OECD states that footwear was the topmost traded fake item at 22% in the year 2016.

Source: Securingindustry.com

Hooch tragedy in Barabanki claims 16 lives

After the ill-fated death of 16 people in Barabanki, UP due to the consumption of spurious liquor the Uttar Pradesh police have arrested three people whereas the UP Government has announced a compensation of Rs 2 lakh each for the deceased. Until now, the police have arrested three people and a salesman who was involved in the sale of spurious country made liquor however, the search of the owner is still underway.

Moreover, the police officials are also conducting raids at different locations to confiscate more stock of similar liquor brands which led to the death of consumers. Meanwhile, the State Government has formed a three-member committee headed by Uttar Pradesh Excise Commissioner to further investigate the matter. The committee has to submit its report within 48 hours to the State Government.

As of now, the district administration has suspended District Excise Officer, Excise Inspector, Ramnagar Circle Officer, and Station House Officer have been suspended with immediate effect. Among the deceased include four members of the same family. Most of the victims belong to Raniganj village in the Ramnagar region of Barabanki district.

Source: First Post