Counterfeiting : Global scourge that Nigeria needs to fight

Counterfeiting, in whatever form, is a global problem.

It is a scourge which has the potent ability to destroy both the people and economy of a country if not checked.

The Director-General of Standard Organisation of Nigeria (SON) gives what appears to be the most practical definition of counterfeiting.

It is anything that pretends to be what it is not.

Manufactured products, brands, and creative works like arts and other intellectual properties are victims of counterfeiters .

The consequences of counterfeiting are lethal and devastating.

Apart from the destruction of brand names leading to economic loss, adulterated or counterfeited products, especially foods and drugs, leads to loss of lives.

Mr Olaseni Ashiru of Johnson & Johnson Company, one of the multinational right holders, put the effect of counterfeiting succinctly.
“Brands suffer reputation damage, economic loss and consumers are exposed to health hazards; many foreign investors will not come to the country, knowing that their intellectual property will be exposed to these risks,”

That is why most countries, especially the advanced economies, have stringent anti-counterfeiting laws to protect their people and economies from the brutal effects of the scourge.

But unfortunately, most African countries, especially Nigeria, do not take the fight against counterfeiting very passionately.

In Nigeria, the levity with which government takes the matter is worrisome.

There seems to be apparent lack of political will to fight this scourge, the country has become a fertile ground where counterfeiting thrives.

Nigeria has no specific anti-counterfeiting law – at least, not a broad one that covers all types of goods.

Hence, the fight against counterfeits involves the creative application of the various laws that affect rights holders in one way or another.

This may involve civil court action, criminal court action or a regulatory or administrative approach.

We all remember the the zeal and determination with which late Dr Dora Akunyili, the indefatigable erstwhile DG of NAFDAC fought counterfeiting.

Her efforts, though reverberated across the country then, fizzled out soon after her unfortunate death because she only waged the war within the narrow confine of the statue which created the agency.

Nigeriamaritime360.com is saddened that the current state of fight against counterfeiting does not give deserving respect to the memory of late Dr Akunyili who put her life on the line to safe millions of people and companies that could have died as a result of counterfeiting.

Some of these laws, which are loosely enacted, are too weak to act as effective deterrent to counterfeiters.

This apparent failure of the regulatory laws ensures that Nigerian market becomes a dumping ground for counterfeited products.

The feeble fight which Nigeria put up again this monster includes the Copyright Act (CAP C2, 2004); the Counterfeit and Fake Drugs and Unwholesome Processed Foods (Miscellaneous Provisions) Act (CAP C34, 2004), the Customs and Excise Management Act (CAP 45, 2004); the Cybercrime (Prohibit, Prevention, Etc.) Act, 2015; the Merchandise Marks Act (CAP M10, 2004); the National Information Technology Development Agency Act, 2007; the Nigerian Police Act (CAP P19, 2004); the Patent and Industrial Designs Act (CAP P2, 2004); and the Trademarks Act (CAP T13, 2004).

Furthermore, the following legislations established the regulatory and administrative bodies that play a key anti-counterfeiting role which include the Consumer Protection Council (CPC) Act (CAP C25); the Economic and Financial Crime Commission (EFCC) Act (CAP E7, LFN 2004); the National Agency for Food and Drugs Administration and Control (NAFDAC) Act (CAP N1, 2004); and the Standards Organisation of Nigeria (SON) Act (CAP S9.

However, going by the frightening ascendancy this menace is gaining in Nigeria, nigeriamaritime360.com believes that various acts and agencies created to fight this scourge may have failed to make much impart.

Our position was further reinforced by the fact that Nigeria was not even among the 84 countries ranked on the fight against counterfeiting in the world.

The Economist Intelligence Unit and the Transnational Alliance to Combat Illicit Trade (TRACIT) recently released its Global Illicit Trade Environment Index, ranking 84 countries on the extent they enable or prevent illicit trade.

Out of the 84 ranked countries, only four African countries featured.

They include South Africa, the highest ranked in Africa, ranks 42nd followed by Tunisia which ranks 53rd, Morocco which ranks 65th and Libya, which brings up the rear, ranks 84th.

Finland, United Kingdom and United States top the ranking in that order.

This explains why the continent has been turned into a dumping ground.

Nigeriamaritime360.com views this development with a grave concern.

Given the level of damage counterfeiting has wrought on the health of Nigerians as well as the business fortunes of the right holders, we strongly advocate for holistic approach to fighting this scourge.

It is dishearthing to note that the Fast Moving Consumer Goods (FMCG) companies in Africa lost about two per cent of their profits to counterfeiting.

That is why we laud the initiative of Anti-Counterfeiting Collaboration (ACC ), a non-governmental coalition of about 100 right holders that is spearheading an onslaught against counterfeiting in Nigeria.

We also align with the efforts of the ACC to rally government to support the fight against counterfeiting by strengthening the laws against menace.

The Chairman of ACC, Adeola Desmond encapsulates the vision of the body when he said there was need to strengthen the enforcement agencies, deepen collaboration between the private sector and government institutions and improve consumer awareness toward winning the war against counterfeiting.

We couldn’t agree less.

Nigeriamaritime360.com lends its voice to the passionate plea of the right holders whose products and intellectual properties are being assaulted that government should muster necessary political will to tackle this scourge.

We urge the Federal Ministry of Industry, Trade and Investment to speed up the transmission of Intellectual Property Commission (IPCOM) Bill before it to the National Assembly for early passage.

We understood that the Inter-Ministerial Committee on the Intellectual Property Commission had on July 9, 2001 submitted the draft bill to the ministry for presentation to the National Assembly as an Executive Bill.

The early presentation of the bill to the lawmakers and its early passage would protect the assets of business organisations and the intellectual properties of creative workers in the country.

“There is no better way to protect local manufacturers than providing the enabling law to protect their intellectual property,” Adeola, the ACC Chairman said of the imperativeness of quick passage of the bill.

Counterfeiting has become a big, booming business by the powerful and the rich.

We believe that the present litany of legislation is too weak to deter the powerful and rich perpetrators of these heinous act due to the mild penalties prescribed by those laws.

They are only able to expose and stop few who are not so rich and powerful.

However, this platform is sure that if the IPCOM bill is passed, government would have sent a strong signal to these counterfeiters of its determination to take the battle headlong.

Also, it will signal to the international business community of the renewed vigour with which the government now fights the menace which will restore confidence to our market and attract credible investors.

We also believe that apart from safeguarding the lives of our people, government support through the early passage of the bill will gradually reduce Nigeria’s notoriety as being a dumping ground for fake products.

It is only then the ease of doing business initiative of government would not sound hollow to Nigerians and international business community.