Amazon accused of selling counterfeit in UK and Canada. Since August 2016, about 13993 fraud eCommerce cases filled by Indian consumers The best Ecommerce behemoths Snapdeal, Amazon, and other four Indian shopping sites are listed in US Trade Representative (USTR) offices as ‘Notorious Market’, for facilitating piracy and counterfeiting.
In the report, 38 online and 34 physical markets are highlighted. From India, Heera Panna in Mumbai, Tank Road in Delhi, Millennium Centre in Aizawl and Kidderpore in Kolkata is in the list as well. Besides these, online eCommerce platforms, Alibaba and Taobao are also on the list.
In many countries including Canada, France, Germany, and the UK, Amazon was red-flagged for the sales of counterfeit products.
The report state that “Submissions by right holders expressed concerns regarding the challenges related to combating counterfeits concerning e-commerce platforms around the world. One submission specifically highlighted examples of the challenges right holders face with alleged high levels of counterfeit goods on the eCommerce platforms amazon.ca in Canada, amazon.de in Germany, amazon.fr in France, amazon.in in India, and amazon.co.uk in the United Kingdom,”.
The right holders have recommended Amazon to entrust the necessary resources to make their brand transparent, scalable, and effective. Along with this, they asked the company to take additional steps to look into these concerns and take adequate information from sellers to prevent this.
On the other hand, the Jeff Bezos-led Amazon addresses the report as “personal vendetta” of the US government against Amazon.
Snapdeal Known for Selling forged?
While in the case of Snapdeal, the USTR report has claimed that the platform is “known as a place” to buy counterfeit watches and shoes. According to the survey, about 37% of consumers receive a fake product from Snapdeal.
The report also states that a local leader has filed an FIR against the founder of Snapdeal for delivering counterfeit ‘Woodland’ products, but no arrests were made. But in July 2018, Kunal Bahl and Rohit Bansal were arrested for selling fake product on Snapdeal.
Meanwhile, Snapdeal completely disagreed with the report and “specifically in its comments relating to Snapdeal.”
The company state that we work closely with leading Indian and international brands and with proper law enforcement authorities. Also, Snapdeal is an active member of the International Trademark Association and a global alliance straddling 7200 members across 187 countries, including small & medium enterprises, large brand owners, government offices, and non-profits.
Indian Government looks to tackle Counterfeit sale
The counterfeit and fake product sales are a major concern for the Indian eCommerce. The Union Minister Piyush Goyal has also highlighted in Lok Sabha that about 13993 fraud eCommerce cases are filed by Indian consumers under Consumer Protection Act, 1986 since August 2016.
So, the Department for Promotion of Industry and Internal Trade (DPIIT) is working to ensure that the impending eCommerce policies can control counterfeiting.
As per the new guidelines if the eCommerce site will be announced guilty and secondary liable if in case they make an “assurance” for the genuineness of a product but its product is counterfeit.