In a special report on intellectual property rights, the International Chamber of Commerce (ICC) warns that the problem of counterfeiting and piracy is growing “at a more dangerous rate than ever”.
In a “call to action” ICC urges governments to take positive steps to make the IP system work as a tool for growth for their countries and communities, and to end the present estimated $600 billion drain on the global economy caused by IP fraud, which is undermining development, the market system and international trade and investment.
The 24-page report, entitled “Intellectual Property: Source of innovation, creativity, growth and progress”, is one of a series of products produced by BASCAP (Business Action to Stop Counterfeiting and Piracy), which was formed by ICC to emphasize the scope of the problem. It is a fascinating and exhaustive account of just what IP is, how it contributes to society and why IP fraud is so attractive to criminals, threatening to become the major economic crime of the 21st century, according to the European Commission’s taxation and customs chief.
Most people are familiar with the commonest tools used to protect IP: copyright for books, patents for inventions, trademarks for symbols that distinguish particular products, and so on. All are vulnerable to pirates. These days, there is an increasing amount of investment in research and development resulting in intellectual assets which are “less tangible” than physical products, notes ICC Secretary General, Guy Sebban, in a preface to the report, and more vulnerable to theft.
The very diversity of IP means that almost everyone is a user and potential creator. New creations benefit everyone. Their theft results in, among other things, people losing their jobs and a massive loss in tax revenues for governments. The Californian economy is reckoned to lose more than US$34 billion a year to IP fraud. Counterfeit goods can be dangerous. The World Health Organization says that many counterfeit drugs contain the wrong ingredients or no active ingredients at all.
ICC’s aim continues to be to “create an environment in which intellectual property is respected and protected,” said Mr Sebban. To this end, the world business organization last week convened a meeting of business leaders from some of the world’s top companies to form a unique coalition to take the fight against the theft of intellectual property to the highest international level. This business leadership group will build on the work of BASCAP which was launched by ICC last year and now involves over 800 companies and trade organizations worldwide.
Intellectual Property: Source of innovation, creativity, growth and progress
Business Action to Stop Counterfeiting and Piracy
Global CEOs form coalition to fight counterfeiting and piracy, warn on threat to jobs, investment and consumer safety
ICC Commission on Intellectual Property
