Headquarter: Chemical Industry Park, Economic Development Zone,  JiNan City,  ShanDong Province, China.

Phone +86-152 8958 7728

Angela@BlueSkytcca.com

Counterfeit-plagued alcohol sector could be fatal for both companies … – FoodNavigator-Asia.com

Or wait…
Headlines
Processing & Packaging
Formulation
Food safety
Business
Markets
Policy
Promotional Features
Site Archive
Multimedia
Regions
All Asia-Pacific
East Asia
South Asia
South East Asia
Oceania
Middle East
Site Archive
Multimedia
Trends
Meat
COVID-19
Alternative proteins
Asian tastes
Clean label
Fortification
Healthy living
Industry growth
Plant-based development
Prepared foods
Sugar reduction
Supply chain
Sustainability
Site Archive
Multimedia
Resources
Type of resources
China 中国
Japan 日本
Middle East
Events
All Events
Shows & Conferences
Online Events
Editorial Webinars
Events

– Last updated on GMT
Related tags India Counterfeit Alcohol
From luxury goods to everyday commodities, all sorts of phony products are threatening the health and safety of consumers in India.
The “State of Counterfeiting in India 2022” report by Authentication Solution Providers’ Association (ASPA) and analytics company CRISIL revealed that tobacco, pharmaceutical, alcohol, FMCG and currency were the top five most affected sectors in fiscal year 2021. 
It was also found that 89% of consumers surveyed acknowledged the presence of counterfeited products in the market.
They cited sensitivity to price, demand-supply gap, desire to buy luxury brands, peer pressure, and social motivations as reasons for “feeling compelled” to buy these products.
On the other hand, 27% of respondents who bought counterfeit products said that they were unaware of it at the time of purchase.
“For instance, people in the semi-urban and rural areas had lower awareness, and were ‘cheated’ by fake agriculture products such as pesticides, fertilisers and seeds. This shows the importance of spreading awareness about counterfeits and identification methods.
“Furthermore, the alcohol industry has always been one of the top targets for counterfeiters. Criminals take advantage of the demand-and-supply gap to bring in illegal and fake products to the market. Between 2016 and 2022, approximately more than 6,000 people in India have died after consuming spurious liquor,” ​Ankit Gupta, member of ASPA’s governing body, told FoodNavigator-Asia​. 
According to IWSR data, alcohol consumption in India increased from 5.376bn litres in 2017 to 6.177bn litres in 2020, making the category an even more attractive target for counterfeiters.

“The circulation of counterfeits adversely affects all stakeholders. Consumers pay a premium for packaged and branded products to be assured of safety and well-being, but with the prevalence of fake products, they are exposed to the risk of harm to their health, well-being, and even life,” ​Gupta said.
In particular, the alcohol industry faces the danger of losing consumers’ faith. When that happens, responsible brands that have invested heavily in developing high-quality products stand to lose brand equity and sales revenue.
“The underbelly of counterfeit products and illicit trade is that they rob the economy of tax revenue, which could have been used to spur economic development and progress,” ​he added.
All 28 States and eight union territories in India have their own set of laws for alcoholic beverages, making regulation a major challenge beyond just preserving tax revenue.
Currently, there are five states (Bihar, Gujarat, Lakshadweep, Nagaland and Mizoram) where alcohol is completely prohibited, and some with partial ban.
“Given the limitations on the movement of alcohol between each state, supply chain management is a nightmare for alcohol firms. Where the ban was enforced, the neighbouring states saw a sharp increase in excise revenue. As a result, interstate smuggling or counterfeiting has become rampant and lucrative for lawbreakers,” ​Gupta said.
A big part of ASPA’s work involves facilitating the adoption of physical and digital anti-counterfeit solutions to help brands protect against loss of revenue and reliability.
The organisation also aims to generate greater awareness among consumers to safeguard their interests.
“Alcohol companies in India are putting money into making their products more secure and ensuring the safety of consumers. There is an increasing use of layered authentication and smart anti-tamper solutions, such as one-time break seal, tax stamps, and specially designed packaging.
“While the authorities are vigilant about the manufacturing of fake alcohol and trade of illegal products, the incrimination of lawbreakers leaves much to be desired,” ​Gupta said.
ASPA works closely with local industry bodies including Indian Beverage Association and FICCI Committee Against Smuggling and Counterfeiting Activities Destroying the Economy (CASCADE), as well as global authorities such as Counterfeiting Intelligence Bureau (CIB) and Interpol.
“Authentication technologies are being used in many countries and have proven their effectiveness over the years. Widespread adoption of these solutions can drive a tremendous change and ‘clean up’ the ecosystem drastically,” ​he concluded.
Copyright - Unless otherwise stated all contents of this web site are © 2023 - William Reed Ltd - All Rights Reserved - Full details for the use of materials on this site can be found in the Terms & Conditions
Related topics Policy Food safety Beverages South Asia
Show more
Functional Beverage Market Insights in ASPAC
Content provided by Glanbia Nutritionals | 06-Jul-2023 | Product Brochure
High growth ahead for protein beverages makes Asia Pacific (ASPAC) the market to watch. Consumer research shows new usage occasions, key consumption barriers,...
The latest plant-based beverage trends in SEA
Content provided by Tetra Pak | 27-Mar-2023 | White Paper
Data shows that consumers’ liking and thirst for plant-based beverages is growing rapidly, especially in Malaysia, Singapore, Philippines and Indonesia....
On-demand webinars
More promotional features

source

Leave a Reply

Your email address will not be published.

*