Illicit trade into Kenya is in the firing line after the launch of what is called the National Illicit Trade Observatory.
The initiative is said to underpin efforts so far made into implementing the Intellectual Property Bill 2020 once sufficient public input about the bill has been garnered.
According to a report in The East African, the observatory will track six types of illicit trade – counterfeit, pirated and the following types of goods: unaccustomed, restricted and unexcised.
According to Kenya’s Anti Counterfeit Authority, a National Baseline Survey conducted between last October and February this year showed that “the building, mining and construction sectors were the hardest hit by counterfeits in the past year, and counterfeiting cost the country over $100”, Anthony Kitimo reported.
“Of the 16 sectors of the economy covered, building, mining and construction contributed 23.3% in value of total illicit trade, followed by energy, electrical and electronics at 14.67%.
“The sector with the most government revenue loss was food, beverage and non-alcoholic drinks at 23.19%, followed by textile and apparel at 20.09%.
“According to the ACA’s findings, 30% of the firms were aware that their products were being counterfeited.
“Counterfeiting cost the country more than 32.5% of jobs in the year 2018-2019, while companies recorded sales losses of between 37.6% and 42.1%. The study was done in partnership with Trade Mark East Africa through funding from the Department for International Development,” Kitimo wrote.
