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.

Beverly Hills polo club cries out for counterfeit chaos

In a probable first, the Delhi High Court yesterday restrained Amazon Export Sales LLC from selling counterfeit products through its Amazon Global Store on www.amazon.in. The action for trademark infringement has been brought by the global brand Beverly Hills Polo Club against Amazon India and Amazon Export Sales LLC (which operates through the Global Store platform of Amazon).

As a background Beverly Hills Polo earlier, this year had claimed that some of Amazon’s sellers were involved in widespread supply and sale of counterfeit goods. “The defendant shall remove forthwith from its platform any URLs which are pointed out by the plaintiff which are selling products in violation of the plaintiff ’s right,” a July 2018 court ruling said so.

The Delhi High Court has also directed Amazon Export Sales LLC to disclose the details of all its suppliers who provide the counterfeit product stock to the Amazon Global Store for further resale. Beverly Hills Polo Club has dragged Amazon to Court claiming that it was knowingly and directly both selling as well as harbouring counterfeiting activities, which were being actively promoted by its Global Store as well as by third-party sellers on Amazon.in.

“Counterfeiting activities on Amazon have seriously impacted the brand in India. Due to the safe harbour provided to infringers by Amazon, we do not have fair access to the Indian market. Due to the rapid expansion of e-commerce shopping in India, of which Amazon is both credible and dominant in India with the offer of cheap and inferior counterfeit products by Amazon’s own store as well as third parties, the Brand has been impacted. Amazon is clearly abusing its dominant position in the Indian market.

There ought to be check and balances under any law such that rights are not unfairly exploited. Despite our continuing notification to Amazon of infringing activities, sold directly by Amazon, as well as by third-party sellers, Amazon has continued its illegal and abusive practices and actively promoted the sale of counterfeit products,” said, Eli Haddad, Founder & Managing Director, Beverly Hills Polo Club.

Sim and San, Attorneys at Law, represented Beverly Hills Polo Club in the matter.

Source: businesswireindia.com

counterfeit clothes

Ludhiana-facing the wrath of counterfeit clothes

Ludhiana- country’s readymade garments manufacturing hub is facing the onslaught of counterfeiting. The city is brimming with copies of prominent brands. It seems so, that little has been done to ward off the rampant duplication taking place in different parts of the city.

Suckhchain Singh Gill Ludhiana Police Commissioner said that the police has not received any complaint against any manufacturer or seller due to which no action has been taken. The police has no direct role to play in it until and unless it receives any complaint after which it will take necessary action under the purview of law.”

Some sources, however, said that the police had registered many cases against counterfeit manufacturers of phoney branded clothes of CK, CK, LV, Chanel, Tommy, Superdry, Adidas, Puma, Nike, US Polo among others. Moreover, cases were registered against a hosiery owner under the Copy Right Act, Trademark Act under Section 420 of the IPC and these cases were registered on the basis of complaints registered by brand owners of the affected companies.  Sources also revealed that the fake brand business is running blatantly and is evading taxes of the government. Surprisingly, most of the times, a customer does not receive the bill of the fake products purchased.

Requesting anonymity, a seller of fake branded jeans said that the brand conscious youth wants to wear such clothes that’s why they are becoming popular. Fake branded clothes use the trademark and logo of the original product while remaining substandard in quality. Duplicate clothes have uneven stitching, rough ends, faulty colours and many other issues which are rarely noticed by people. He said a branded tracksuit which will cost around Rs 10,000 from an exclusive showroom can be bought for Rs 2,000 to Rs 3,000 from Ludhiana markets.

A retailer said that they sell duplicate brands to genuine customers by making them believe that it is an original item. Several markets in the city have a stock of duplicate products worth several crores lying with them.

Source: TribuneIndia.com