EC Launches Counterfeiting Action Plan

by Ulrika Lomas, for LawAndTax-News.com, Brussels

13 October 2005

The European Commission this week presented a package of measures designed to strengthen protection for the EU and its citizens against counterfeiting and piracy.

The measures proposed for action in 2005 and 2006 would increase Community level protection through improved legislation and operational controls, strengthen the customs/business partnership and reinforce international co-operation in this area.

According to the EC, statistics showing the amount of counterfeit and pirated articles seized at the EU's external borders in 2004 demonstrate that counterfeiting is a growing and increasingly dangerous phenomenon. The 103 million counterfeited and pirated goods seized in 2004 represent an increase of more than 12% compared to 2003 and 1000% compared to 1998.

"The growing number of counterfeit seizures at the EU's external borders has convinced me of the need to put in place a strategic plan for short term action" explained EU Taxation and Customs Commissioner László Kovács, continuing:

"The international criminal networks behind this activity are quite clever in avoiding customs controls, but by mobilising our forces we can protect EU citizens against this menace".

The Commission's Action Plan includes the following proposed actions:

• A new business-customs working group to consider whether there is a need to refine EU anti-counterfeit legislation in order to increase protection for legitimate business while keeping down costs;
• A new Task Force of Member States' Customs experts with the task of improving anti-counterfeiting controls;
• The completion of an anti-counterfeiting risk management guide to be distributed to Member States as well as to international partners; and
• A new electronic system of secure, real-time transmission of information. This would combine what the Community customs risk management systems offer with the possibility for customs to accede to listings of companies and intellectual property databases and would also facilitate the life of rights-holders who wish to transmit information to the competent authorities.

The Commission will also promote the signature of memoranda of understanding with major trade representatives such as airlines, shipping companies and express carriers with a view to improving information exchange and creating a better awareness of the risks posed by the traffic in fakes.

With regard to reinforcing international co-operation, the Commission will, together with Member States, consider possible amendments to the World Trade Organisation Intellectual Property Rights ("TRIPS") Agreement so that countries apply anti-counterfeiting controls not only on imports but also on exports, transit and transhipment movements.

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