Counterfeiting costs economy billions

The International Chamber of Commerce has published a report in which it states that product piracy and counterfeiting "is growing at a more dangerous rate than ever" and is costing the world economy an estimated $600 billion (£336 billion) a year in lost sales. The Paris-based group, which has affiliates in 140 countries, recommends that governments take action to curb damages. The report further states that small and medium-sized businesses rely on intellectual property rights. "Design rights, copyrights, patents and trademarks are essential for numerous industries...such as textiles, toy, publishing, biotechnology and retail," said the report.

According to the report India's consumer goods were losing 15 percent of their market share to counterfeiters, while California loses approximately £34.5 billion to counterfeiting and piracy. A recent study mentioned in the report indicated that the European Union had lost about $9.1 billion in tax revenues in the apparel and footwear sector to counterfeiters.