THE TRADE in counterfeit goods is depriving legal businesses of €1.5 billion annually plus over 15,000 jobs according to the European Intellectual Property Office (EUIPO).
The survey from the Alicante-based EU agency covers three sectors- clothing, cosmetics, and toys.
It has averaged out the losses caused by fake items between 2018 and 2021, which EUIPO says accounts for 6.7% of total sales.
In the clothing and footwear market alone, it claims that 11.208 jobs and €1 billion in sales are lost each year.
The toy sector accounts for 11% in lost sales and €114 million in revenue, while cosmetic sales are hit by a 5.5% fall and €400 million in losses.
The Association for the Defence of the Brand (Andema) says that associations, companies and institutions have to work together at a national and EU level to stop counterfeiting so that ‘irreparable damage’ can be halted.
Andema CEO, Gerard Guiu, said: “Beside the economic effect, it has to be emphasised that sales of fake goods also have a direct impact on the health and safety of consumers, which they need to be made aware of.”
According to the EUIPO report, Spain does stand out along with six other EU member states as recording the highest proportion of border arrests involving the importing of bogus items.
Gerard Guiu acknowledged the ‘great work that is being done in our country at all levels to fight against the scourge of counterfeiting but there is still a long way to go’.
He added that by increasing public awareness, demand for such items will fall and supply chains would dry up.