As per the Federation of Indian Chambers of Commerce and Industry (FICCI), counterfeit and smuggled products and tax evasion caused an annual sales loss of Rs.100,000 crore to the Indian industry. The FICCI report, releasing on the World anti-counterfeiting day, states that the sale of such products and tax evasion in seven key sectors that include auto, fast moving consumer goods (FMCG-personal goods and packaged food), alcohol and tobacco resulted in a loss of Rs.26,190 crore to the exchequer in 2012.
The FICCI study on the ‘socio-economic impact of counterfeiting, smuggling and tax evasion in seven key industry sectors’ has revealed that the annual sales loss to industry due to circulation of fake products is at Rs.72,969 crore. Further, the FICCI statement said that a rough estimate based on limited assessment demonstrates a loss of Rs.29,307 crore from pharmaceutical and other FMCG sectors.
Meanwhile, the government on its part said that consumer awareness is the key to check the sale of counterfeit and smuggled products which are potentially harmful to the personal health and financial stability of the country.
