Combating Counterfeit and Substandard ICT Devices 17-18 November 2014 Geneva Technology Debate, Part 2: ICT Industry Perspectives and AntiCounterfeit/Substandard Technologies and Systems Glenn Jones ICC – BASCAP & HP Global Anti-Counterfeiting Program Geneva, Switzerland, 17-18 November 2014 • Connect across industry sectors • Pool resources • Amplify business voice • Establish issues as public policy priority • Push for allocation of resources, high standards and stronger enforcement • Improve awareness Geneva, Switzerland, 17-18 November 2014 Geneva, Switzerland, 17-18 November 2014 Magnitude of the IPR Problem • Total global economic value of counterfeit and pirated products is estimated to reach $1.77 trillion by the end of 2015. • International trade, including goods passing through FTZ, accounts for more than half of counterfeiting and piracy or $960 billion. • Counterfeiting and piracy are estimated to cost G20 governments and consumers over $125 billion every year. • Approximately 2.5 million jobs have been destroyed by counterfeiting and piracy. Geneva, Switzerland, 17-18 November 2014 Risks and Dangers of Counterfeits • • • • • • • • No longer just fake luxury goods. Counterfeit medicine in Europe is worth an estimated €10.5 billion a year. The World Health Organization (WHO) estimates 10% of all drugs counterfeit, over 30% in developing countries. Counterfeit electrical goods in legitimate stores. Perfume, cosmetics and body care products. Fake tobacco, alcohol and food products. • Low quality; potentially dangerous materials/ingredients. Vehicle and other spare parts. Military components – missile guidance systems, aircraft, weapons, etc. Geneva, Switzerland, 17-18 November 2014 Counterfeiting and Piracy: a lucrative market for organized crime The emergence of organized IP crime Factors contribute to organized crime’s entry into IP crime: • • • • Profit vs. risk Often modest legal penalties Lax enforcement of IP crime The transnational nature of IP crime Geneva, Switzerland, 17-18 November 2014 Information – Knowledge – Advocacy Reports on: • IP Guidelines for Business • Consumer Attitudes and Perceptions on Counterfeiting and Piracy • IP: Powerhouse for Innovation and Economic Growth • Impact of Counterfeiting on Governments and Consumers Geneva, Switzerland, 17-18 November 2014 Information – Knowledge – Advocacy Controlling the Zone: Balancing facilitation and control to combat illicit trade in the world’s Free Trade Zones Geneva, Switzerland, 17-18 November 2014 Confiscation of the Proceeds of IP Crime: a modern tool for deterring counterfeiting and piracy Country and Regional Initiatives Kenya Ukraine Geneva, Switzerland, 17-18 November 2014 Turkey India Russia Public Awareness “Fakes • Cost More, I Buy Real” Global awareness campaign • Helps consumers understand the real health and safety risks associated with counterfeit goods • Offers ways for consumers to consciously take steps away from purchasing these goods • Available in 26 languages • Being used in Belgium, France, Germany, Italy, Kenya, the Philippines and Turkey Geneva, Switzerland, 17-18 November 2014 Albanian French Turkish Geneva, Switzerland, 17-18 November 2014 Arabic Ukrainian Spanish Technology Debate, Part 2: ICT industry perspectives and anticounterfeit/substandard technologies and systems Panelists: • • • • Mr. Mr. Mr. Mr. Zhou Jian – MIIT China Martin Bernhardt – Sanofi/IFPMA Yves Jobin – SGS Keith Mainwaring – Ukrainian NIS Geneva, Switzerland, 17-18 November 2014