This Saudi Gazette piece notes the problem Arab countries are having with counterfeit goods, including medical supplies. Unfortunately, the article has a bit of a tone of complaining when the local ox gets gored. International companies have been both complaining and offering training for Customs officials for decades, not just in Saudi Arabia, but throughout the region. When it comes to bootlegged videos or CDs, local consumers tend to see counterfeiting as a social good. Perhaps they should think about that in a larger perspective and realize that counterfeiters will fake anything they think will earn them a profit. They don’t really care whether their acts kill off a few customers; there are plenty of other greedy people waiting in line to buy knock-offs.
Kingdom Loses $4b on Fake Goods – Analyst
Mohannad SharawiJEDDAH – At least $50 billion is the amount Arab countries lose yearly due to counterfeit products.
The estimate quoted by Mohammad Abu Azab, the business development manager at Hemaya Universal during a press conference held at the company last Tuesday, specified a $4 billion loss for Saudi Arabia.
“The counterfeiting of commercial products has become an international phenomenon that has reached the Kingdom and one to be addressed promptly,” he said.
Abu Azab said that regulations on commercial products to protect consumers are applied around the world except in the Kingdom. In the US and in some European countries, a consumer can return and refund any item that does not match the required standards.
“Whereas consumers here don’t have that kind of protection,” he said.
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November:18:2007 - 10:18
The criminal who hit on the idea of counterfeiting rectal medication is extremely clever: the cost of the real thing is quite high, and the chance of anyone detecting the fraud right away is low – it’s not like anyone is going to sniff or taste it.
I’m even worried that someone might try to push this stuff in the U.S. through cross-border Internet sales. Do State Dept. officials investigate such things, or do the FBI and DEA have their own people in U.S. embassies to handle it?
November:18:2007 - 10:18
It depends on the particular embassy. Some have DEA offices, some have FBI. Usually, since its a matter of Intellectual Property Rights and Trade, the matter is handled by the US Dept. of Commerce. Sometimes the Dept. of Agriculture might get involved.
Justice (apart from the FBI), Customs (now part of Homeland Security), and various offices related to medicine might also be the active agent.
Ambassadors and Public Diplomacy are all deeply involved in the issue, but of course have no enforcement capabilities.