Intellectual Property laws: The Copyright Act, 1957, The Patents Act 1970, The Designs Act 2000, The Geographical Indications of Goods (Registration and Protection) Act 1999, The Customs Act, 1962 provide safeguards against infringement of intellectual properties. India has made significant changes to its IP laws in the recent past, yet we have a long way to go. We need more randomized raids to arrest counterfeiting and fraudulent practices that threaten IP rights.
- Access to technology: The widespread availability of technology has enabled counterfeiters to operate in sophisticated ways. Thus, they avoid detection through ingenious means. They operate under the radar.
- Increased Globalization: Open borders encourage the free-flowing of counterfeit parts across countries, thereby increasing the market coverage.
- Organized crime: Automobile parts are in high demand, and hence the parallel grey market runs successfully. Because of the high yields, sales on counterfeit automobile parts, it has become a source of income for organized crime.
- Lack of awareness: Counterfeit manufacturers operate under the guise of the original brand. It is impossible for customers to spot a fake, especially in the case of items that can be easily duplicated. These include break-pads, suspensions, filters, and more.
