The fight against counterfeiting: Annual Report 2011 (IPERICO

IPorta – 3rd thematic workshop
Date: 13th of March 2013
IPorta – 3rd thematic workshop
Topic: IPR enforcement
Topic: IPR enforcement
Location:
The 2013
British Library Conference Centre, Lo
London, 13th
of March
AGENDA: March 13th, 2013
Time
Subject
The fight against
counterfeiting:
Annual Report 2011
09h00
Welcome speech
(IPERICO REPORT)
09h15
Gianluca Scarponi
Head of Unit - Anti-Counterfeiting Policy09h30
Division
Ministry of Economic Development
Department for Enterprise and Internationalisation
Directorate-General for the Fight against Counterfeiting
Italian Patent and Trademark Office (UIBM)
Introduction, 3rd thematic workshop (Activity 1)
Aim of the workshop, concept and structure etc.
IPR enforcement and INNOVACCESS network
Panel 1: Cooperation with external IP intermediaries/
European Commission
Making IPR Work for SMEs Updated report, Oct. 20
Background, aim, results and future plans
Civil enforcement of intellectual property rights. Pub
consultation on the efficiency of proceedings and
accessibility of measures. Concept and preliminary r
Introducing myself and my Office…


The DG for the Fight Against Counterfeiting –Italian
Patent and Trademark Office (DGLC-UIBM) of the
Ministry of Economic Development, has been
established by a Presidential Decree in November
2008, as a structure of the Department for Enterprise
and Internationalization
The DG is formed by 12 Divisions, 4 of them are
dedicated to the fight against counterfeiting:




Anti-Counterfeiting Policy
Assistance and Support to the Enterprises Against
Counterfeiting;
Counterfeiting Monitoring
Institutional Coordination
2
Index

Why does counterfeiting really
matter?

A glance to the research framework

IPERICO: what’s for?

IPERICO REPORT 2011

2012 first information

IPERICO WEB: information service for SMEs
3
Why does counterfeiting really matter?
A fake is a theft
“To steal: to take a person’s property
secretly and without right”
(Oxford Dictionary).
To steal an innovative idea could be more “efficient” and
“effective” than a goods theft, because the idea can
multiply resources for the future
4
Why does counterfeiting really matter?
The advent of organized criminal groups
managing these activities has multiplied the
number of goods subject to unauthorized
replication,
thereby
leading
to
the
“ evolution ”
of counterfeiting and its
transformation into a large scale trade
…not only luxury brands…
“If it’s being made, it’s being faked”
5
Index

Why does counterfeiting really matter?

A glance to the research framework

IPERICO: what’s for?

IPERICO REPORT 2011

2012 first information

IPERICO WEB: information service for SMEs
6
A glance to the research framework
Exhaustiveness is a very important requirement of the
National Accounts. Unfortunately, the UNRECORDED
ECONOMY represents a serious obstacle to the
fulfillment of this requirement.
The resulting lack of exhaustive coverage has different
consequences for both producers and users of these
estimates (and for POLICY MAKERS too).
Thus, the improvement and expansion of sound
statistics should be the main objective. Since the
improvement process will take time, in the
meantime the reliance on indirect techniques
could be the solution, ensuring transparent
procedures.
7
A glance to the research framework
“We were never sent here to be
perfect. We were sent here to make
what difference we can.”
President Obama,
during the State of the Union address,
TIME, Vol. 181, No. 7/2013, page 5
8
A glance to the research framework
MACROECONOMIC TRENDS AND CONSUMERS
BEHAVIOUR
Counterfeiting in Italy: scale, characteristics and
in-depth examination (Report 2012)
in cooperation with CENSIS, a primary research institute,
responsible for a yearly Report on the Social Situation in Italy
(in 2011 the 45th Report)



The economic and fiscal value of counterfeiting
Counterfeit Goods Demand Analysis
Three sectorial focuses (Shoes and Leather goods;
Cosmetics; Design)
9
A glance to the research framework
MACROECONOMIC TRENDS AND CONSUMERS
BEHAVIOUR
The economic and fiscal value of counterfeiting
(2010)
Overall turnover (overall consumers spending for
fake goods in the domestic market) = 6.9 billion €
Overall loss of employment (due to the
counterfeitining «black» economy) = 110,000 jobs
Loss of revenue for the Tax System (counterfeiters
don’t pay direct and indirect taxes) = 4.6 billion €
10
A glance to the research framework
CONSUMERS PERCEPTION OF COUNTERFEINTIG
AND PIRACY
CONSUMERS OF FAKE GOODS DECLARED:
SATISFACTION
NO SHAME
NO PRICK OF CONSCIENCE
A consumer definition for each city:
MILAN: competent
ROME: pragmatic
NAPLES: creative
CONSUMERS
ARE SENSITIVE ONLY TO THE ROLE OF
ORGANIZED CRIME IN THE FAKE GOODS TRAFFICKING
11
A glance to the research framework
ORGANIZED CRIME INVOLVEMENT
The report “Counterfeiting as an activity managed
by transnational organized crime - The Italian case”
•Aim:
to obtain a better understanding of the
involvement of transnational criminal networks in
counterfeiting activities.
•Object:
existing situation on the Italian territory
analyzed as a case study, by mapping the
involvement of criminal organizations in Italy, their
connections to other criminal groups and to other
illicit traffics managed by transnational criminal
networks.
(IN PARTNERSHIP WITH UNICRI, UN Research Institute)
12
A glance to the research framework
ORGANIZED CRIME INVOLVEMENT
The report “Counterfeiting as an activity managed by
transnational organized crime - The Italian case”
Findings: increasing penetration of counterfeit goods into
regular selling channels:
•
in many cases the sellers are informed about the real
nature of the goods and they are partners in crime
•
in other cases they are themselves victims of organized
crime, which often imposes the selling of counterfeit
products as a form of extortion.
13
Index

Why does counterfeiting really matter?

A glance to the research framework

IPERICO: what’s for?

IPERICO REPORT 2011

2012 first information

IPERICO WEB: information service for SMEs
14
Iperico: what’s for?
An effective strategy for estimating the total volume of counterfeiting is
to start from data of anti-counterfeiting activities (the volume of the
“visible tip” of the iceberg) as these are considered to be one of the most
accurate indicators of the phenomenon itself, albeit with due caution (it’s
an INDIRECT TECNIQUE…).
An interesting way of measuring counterfeiting in terms of its
“objective” impact on the economy is
to reverse the analysis perspective by studying the benefits
arising from the elimination of adverse economic effects (i.e.,
in terms of the value of goods seized and confiscated from
the illegal economy that will not penetrate the legal market).
15
Iperico: what’s for?
IPERICO: integrated database on anti-counterfeiting activities
•
started in 2008
•
aggregates national data gathered by the Italian Tax Police
(Guardia di Finanza), the Italian Customs Agency and the other
four Police Forces (!!!) responsible for anti-counterfeiting
enforcement activities
•
uses appropriate data harmonisation techniques
16
Iperico: what’s for?
COUNTERFEITING, FACTS AND FIGURES
IPERICO - (Intellectual Property – Elaborated Report of the
Investigation on COunterfeiting) collects structured information
on anti-counterfeiting:
The database then allows for composite queries that result in
showing cumulative statistics on seizures by commodity
category, by year, by region and by other combinations of
available variables.
17
Iperico: what’s for?
“Misura ciò che è misurabile, e rendi
misurabile ciò che non lo è”
Galileo Galilei
(Measure what is measurable, and make
measurable what is not)
18
Index

Why does counterfeiting really matter?

A glance to the research framework

IPERICO: what’s for?

IPERICO REPORT 2011

2012 first information

IPERICO WEB: information service for SMEs
19
IPERICO Report 2011
Published on line at www.uibm.gov.it/iperico in July, 2012
(english version will be soon available)
20
The 71,000 seizures by the I talian Cust oms Agency and Tax Police during
the period in question regarded over 228 million counterfeit items; while
anti- counterfeiting activities measured in terms of number of operations
changed little during t he four years, it is interest ing to not e t hat their impact
increased: indeed, the average size of seizures, measured in terms of
products seized, increased sharply over the four years in quest ion, from
2,331 items in 2008 to around 3,560 in 2011.
IPERICO Report 2011
Italy’s fight against counterfeiting, 2008-2011
Data provided by Customs Agency and Tax Police concerning Counterfeiting,
excluding Foods, Beverages, Tobacco and Medical Products
Counterfeiting
Number of items seized
Number of seizures
Average size of seizures
2008
2009
2010
2011
Overall total
42,056,701 68,142,885 64,008,000 54,491,186
228,698,772
18,041
19,683
18,331
15,304
71,359
2,331
3,462
3,492
3,561
3,205
Source: IPERICO (DGLC-UIBM)
July 2012 - 16
Items
seizures
21
IPERICO REPORT 2011
Italy’s fight against counterfeiting, 2008-2011
INITIAL INDICATORS
During the four-year period under consideration:

an

a

an
number of
seizures).
of counterfeit goods
(determined by the ratio of the
items seized to the number of
22
Seizures by Product Sector ( 1/ 2)
IPERICO REPORT
57% Italy’s
of all seizures
during
the period in question
were concentrated mainly in
fightrecorded
against
counterfeiting,
2008-2011
Clothing Accessories and Clothing, with 25,554 and 14,814 seizures, respectively
The category of Footwear, too, recorded significant numbers, with 9,559 seizures.
SEIZURES BY PRODUCT SECTOR
Data provided by Customs Agency and Tax Police concerning Counterfeiting,
excluding Foods, Beverages, Tobacco and Medical Products
SEIZURES BY PRODUCT SECTOR
CLOTHING
CLOTHING ACCESSORIES
OTHER GOODS
ELECTRICAL EQUIPMENT
IT EQUIPMENT
FOOTWEAR
CDS, DVDS AND VIDEOCASSETTES
TOYS AND GAMES
EYEWEAR
WATCHES AND JEWELLERY
PERFUMES AND COSMETICS
Overall total
2008
3,724
6,914
1,444
489
61
2,828
84
238
1,338
867
54
18,041
2009
4,094
7,287
1,356
726
76
3,401
100
311
1,126
1,142
64
19,683
2010
3,883
6,386
2,076
1,142
135
1,883
100
377
1,002
1,294
53
18,331
2011 Overall total
3,113
14,814
4,967
25,554
1,701
6,577
1,139
3,496
125
397
1,447
9,559
61
345
227
1,153
870
4,336
1,619
4,922
35
206
15,304
71,359
Source: IPERICO (DGLC-UIBM)
July 2012 - 20
23
IPERICO REPORT 2011
Italy’s fight against counterfeiting, 2008-2011
SEIZURES BY PRODUCT SECTOR
Breakdown
of
category/sector:
seizures
by
product
, although they were slightly
reduced in 2011 (accounting for around 70% of all
goods seized);

the average number of seizures is higher for other
types of product, including “Toys and Games” and
“Perfumes and Cosmetics”.
24
The number of items seized fell overall in 2011, with the exception of the
residual category of other goods (which peaked in 2010 and remained
essentially stable in 2011), electrical equipment, I T equipment and eyewear,
which in contrast increased significantly in terms of number of items seized in
2011.
IPERICO REPORT 2011
Italy’s fight against counterfeiting, 2008-2011
N° OF ITEMS BY PRODUCT SECTOR
Number of items seized
Data provided by Customs Agency and Tax Police
concerning Counterfeiting, excluding Foods, Beverages, Tobacco and Medical Products
2008
2009
2010
2011 Overall total
CLOTHING
CLOTHING ACCESSORIES
OTHER GOODS *
ELECTRICAL EQUIPMENT
IT EQUIPMENT
FOOTWEAR
CDS, DVDS, VIDEOCASSETTES
TOYS AND GAMES
EYEWEAR
WATCHES AND JEWELLERY
PERFUMES AND COSMETICS
Overall total
11,837,302
8,257,589
10,492,727
1,629,368
75,703
12,753,112
29,983,001
6,130,907
1,197,981
81,336
12,781,043
4,975,004
26,834,232
681,837
183,099
6,218,729
9,115,830
23,278,889
3,345,619
279,278
43,500,276
52,331,424
66,736,755
6,854,805
619,416
Percentage
change
2008-2011
47.47%
10.39%
121.86%
105.33%
268.91%
5,529,665
277,812
1,499,532
1,387,536
407,220
662,157
42,056,701
4,143,310
291,236
11,284,521
699,188
326,568
1,251,725
68,142,885
1,807,529
1,330,625
10,406,511
512,757
1,356,597
3,108,766
64,008,000
1,344,778
203,537
4,989,188
3,802,051
892,459
1,020,828
54,491,186
12,825,282
2,103,210
28,179,752
6,131,532
2,982,844
6,043,476
228,698,772
-75.68%
-26.74%
232.72%
171.01%
119.16%
54.17%
29.57%
Source: IPERICO (DGLC-UIBM)
Seizures
of IT equipment and in toys/games increased by
* Main types of product in the “Other Goods” category: tools, car parts, stationery, furniture and furnishings
268.91% and
232.72% respectively.
On the other hand, seizures of footwear and clothing items fell by
July 2012 - 22
75.68% and 47.47% respectively (WEB COUNTERFEITING).
25
Anti-counterfeiting activities recorded the highest number of seizu
Lazio, withIPERICO
15,121 seizures
in 2011
total during the four years, around 21%
REPORT
seizures in I taly, followed by Lombardy, Campania and Puglia.
Italy’s fight against counterfeiting, 2008-2011
SEIZURES
REGION
DataBY
provided
by Customs Agency and Tax Police concerning
Counterfeiting, excluding Foods, Beverages, Tobacco and Medical Products
Source: IPERICO (DGLC-UIBM)
26
VENETO
AOSTA VALLEY
UMBRIA
TRENTINO
TUSCANY
SICILY
SARDINIA
APULIA
PIEDMONT
MOLISE
MARCHE
LOMBARDY
LIGURIA
LAZIO
FRIULI
EMILIA ROMAGNA
CAMPANIA
CALABRIA
BASILICATA
ABRUZZO
Number
Seizures by region
IPERICO REPORT 2011
Italy’s fight against counterfeiting, 2008-2011
SEIZURES BY REGION

At the regional level, despite significant year-to-year variations,
Campania and Apulia)


(Lazio, Lombardy,
Campania, Lazio and Lombardy and, to a lesser extent, Tuscany,
Apulia and Calabria, are
In absolute terms,
by Campania, were
other Regions
in Lombardy and Lazio, followed
than in
For all the other Regions the data do not show any anomalous
and/or sufficiently significant situations for the purposes of analysis
of the phenomenon.
27
found to be over 2.2 billion euros. A breakdown by year shows a significant
peak in the value for 2009, against a sharp upward trend in the number of
items seized between 2008 and 2009, yet without any sizeable contraction of
between 2009 and 2011.
IPERICO REPORT 2011
Italy’s fight against counterfeiting, 2008-2011
ECONOMIC VALUE OF SEIZURES
Data provided by Customs Agency and Tax Police concerning Counterfeiting,
excluding Foods, Beverages, Tobacco and Medical Products
Economic value of seizures
CLOTHING
CLOTHING ACCESSORIES
OTHER GOODS
ELECTRICAL EQUIPMENT
IT EQUIPMENT
FOOTWEAR
CDS, DVDS, VIDEOCASSETTES
TOYS AND GAMES
EYEWEAR
WATCHES AND JEWELLERY
PERFUMES AND COSMETICS
Overall total
2008
2009
2010
2011 Overall total
124,755,283 134,406,134 134,700,501 65,539,715
459,401,632
158,867,590 576,842,393 95,714,009 175,379,282
1,006,803,274
17,522,757 10,238,558 44,812,920 38,875,530
111,449,764
21,636,050 15,907,749 9,053,976 44,425,802
91,023,577
160,314
172,242
387,742
591,417
1,311,715
128,400,490 96,208,909 41,971,369 31,226,151
297,806,919
866,520
908,390 4,150,335
634,850
6,560,094
2,146,548 16,153,548 14,896,696 7,141,915
40,338,706
9,991,098 5,034,577 3,908,179 27,377,067
46,310,921
4,105,433 3,292,331 13,676,680 8,997,423
30,071,867
12,595,206 23,809,661 59,133,329 19,417,659
114,955,855
481,047,288 882,974,492 422,405,735 419,606,809
2,206,034,324
Source: Nexen Business Consultants and DGLC-UIBM
The total estimated value of goods seized over
the four-year period is over 2.2 billion euros.
A breakdown by year shows a significant peak in
2009.
July 2012 - 34
28
IPERICO REPORT 2011
Italy’s fight against counterfeiting, 2008-2011
NEW INDICATORS
Info also about:

«Made in Italy» violations;

«Product Safety» violations;

«External indicators»:

To verify correlation and any interdependence between
changes in the phenomenon and exogenous variables
selected and deemed relevant on a case-by-case basis;

To filter out any potential effects on data regarding seizures
deriving from other variables such as population or income.
29
Index

Why does counterfeiting really matter?

A glance to the research framework

IPERICO: what’s for?

IPERICO REPORT 2011

2012 first information

IPERICO WEB: information service for SMEs
30
2012 FIRST INFORMATION
Italian Custom Agency – 2012 data
Quantity (Number of articles)
2008
Counterfeiting
Clothing
clothing accessories
other goods
electrical equipment
computer equipment
shoes
cd, dvd, cassette
Toys, games
glasses
watches and jewellery
perfumes and cosmetics
2009
2010
6.255.345 10.984.279 12.879.616
511.699
820.580 2.803.353
991.500 1.043.380
977.685
1.548.406 6.537.153 6.813.072
398.858
450.803
215.126
16.441
31.828
111.206
1.405.656
723.077
197.625
232.042
46.057 1.283.693
329.999
879.530
362.994
694.921
202.197
8.083
73.808
75.810
99.295
52.015
173.864
7.484
2011
3.476.805
657.067
438.222
800.654
301.736
279.359
726.412
2.400
85.010
12.367
142.668
30.910
2012
Total
5.283.297 38.879.342
123.572 4.916.271
176.451 3.627.238
3.864.684 19.563.969
179.486 1.546.009
224.511
663.345
112.132 3.164.902
3 1.564.195
171.278 1.828.811
233.277 1.150.845
57.172
448.753
140.731
405.004
Slight increase in number
of articles seized
31
2012 FIRST INFORMATION
Italian Custom Agency – 2012 data
Number of cases
2008
Counterfeiting
Clothing
clothing accessories
other goods
electrical equipment
computer equipment
shoes
cd, dvd, cassette
Toys, games
glasses
watches and jewellery
perfumes and cosmetics
2009
2.676
592
357
141
196
11
1.102
3
35
36
198
5
2010
5.170
1.132
862
400
472
8
1.439
4
86
63
651
53
2011
3.205
804
507
162
438
26
365
1
164
35
697
6
2012
3.314
597
418
128
430
65
343
1
68
57
1.192
15
Total
3.272
548
399
166
309
42
217
2
59
154
1.330
46
17.637
3.673
2.543
997
1.845
152
3.466
11
412
345
4.068
125
Stable trend in number of
cases
32
Index

Why does counterfeiting really matter?

A glance to the research framework

IPERICO: what’s for?

IPERICO REPORT 2011

2012 first information

IPERICO WEB: information service
for SMEs
33
IPERICO WEB: an information service on line
IPERICO online at
http://www.uibm.gov.it/iperico
Customized statistics and
detailed tables on counterfeiting
34
IPERICO WEB: an information service on line
A USEFUL TOOL FOR SMES
•
•
99,9% of Italian Enterprises are SMEs
94,6% of them are Micro Enterprises with less than 10 employees
(source SBA Report, 2012)
Italian SMEs are well known for their excellent production (fashion,
design, food and so on)
BUT…
they are usually not prepared to face counterfeiting
AND MOREOVER
Italy appears as an important site for transferring counterfeit
products and goods towards other markets.
So, our system is seriously threatened by counterfeiting,
from any point of view
35
IPERICO WEB: an information service on line
A USEFUL TOOL FOR SMES
Through IPERICO WEB, SMEs can customize
statistics,
analyze
counterfeiting
trends
(routes, illegal market of destination, logistic
weaknesses etc.) in their sector, with the
following details:
1.
2.
3.
Province of seizures;
Month;
Single product (11 categories)
NO INFORMATION ABOUT
SINGLE BRAND OR
ENTERPRISE, IN ORDER TO
PREVENT COMPETITION ISSUES
36
IPERICO WEB: A USEFUL TOOL FOR SMES
IPRs and Industrial Policy
THE INNOVATION PACKAGE




Free IP pre-diagnosis services for SMEs in order to
analyze in depth enterprises awareness and
behavior towards IPR protection, and provide them
with a customized service according to their specific
needs;
Review of survey replies and facts and figures of
SMEs behavior towards IPR protection;
Direct support and assistance to provide SMEs with
information on Industrial Property Rights
applications and incentives;
Direct support to provide SMES with IPR
ENFORCEMENT SERVICES based also on
IPERICO outputs
37
IPRs and Industrial Policy
THE INNOVATION PACKAGE
In accordance with EU new political strategy “Europe 2020” we’ve launched a
set of tools, among which Brevetti+ and Disegni+ providing small and micro
enterprises with subsidies consisting in bonus fees and incentives for the
diffusion and exploitation of patents and design
PATENTS AND INDUSTRIAL DESIGNS
AND MODELS (brevetti+ and disegni+)
•incentives to increase the number of patent
and industrial designs and utility models
filings to the UIBM, the EPO and the WIPO.
•incentives to purchase tailor made services
for right holders of new patents and designs
in SMEs, aimed at the industrial applicability
of designs and patents.
Start date: 2/11/2011; no deadline
Budget : ABOUT 50 Mln€
38
IPERICO
Rewards and Quotes




IPERICO WEB was awarded with the «10x10 Quality
projects Prize» by «FORUM PA» (the point of reference
and private partner for innovation and modernization in
public administration), during the 2012 National
Exhibition;
IPERICO Project is the core model for the new European
database on counterfeit goods seizures, developed by
OHIM (so called CEST, Cooperation Fund Project 4.23);
IPERICO Reports are quoted as main data source on
counterfeiting in the Final Report of the National
Parlamentary Committee on counterfeiting and piracy
(2013);
IPERICO Report 2011 is quoted in the recent research “Gli
investimenti delle mafie – The Mafia investments” (2013)
by Università Cattolica Sacro Cuore, Milan
39
Thank you for you attention and
consideration!
…we believe that exchanging experiences and
best practices is the only way to succeed in
our anti-counterfeiting efforts…
www.uibm.gov.it
gianluca.scarponi@mise.gov.it
40