Study finds counterfeit goods are a safety risk in India

New research from IP House and the ISB Institute of Data Science says counterfeit products are woven into everyday retail in India and often go unnoticed by consumers. The findings point to risks for health, safety and trust, while calling for tougher enforcement and better consumer education.

Why it matters: - Counterfeit products in India are not just a pricing issue. The report frames them as a consumer safety and public health threat. - The findings show how fake goods can move through everyday shopping channels and reach buyers who are not looking for them. - The research says awareness of organized crime links can change how consumers view counterfeits, which matters for reporting and enforcement.

What happened: - IP House and the Indian School of Business Institute of Data Science released a report titled Counterfeit Crisis in India: Consumers, Consumption and Consequences. - The report says nearly four in five Indian consumers have bought a counterfeit product at least once. - The report says more than half of those purchasers did so without realizing it. - The research covers six high-risk categories: medicines, food and beverages, electronics, children's toys, cosmetics and automobile parts. - The study draws on a nationally distributed YouGov survey of more than 1,000 online urban Indian consumers, plus sector analysis and documented cases of counterfeit-related harm.

The details: - The report says counterfeit goods circulate through street markets, online marketplaces, social media and physical retail. - The report says authenticity is increasingly hard for consumers to judge in real market conditions. - Sixty-two percent of respondents said counterfeit products pose a serious risk to consumer health. - Only 44% initially identified the sale of counterfeits as a crime. - After organized crime was clearly defined, 56% said organized criminal networks are involved in the manufacture, distribution and sale of counterfeit products. - Fifty percent said greater public awareness of organized crime's role is important for protecting consumers from counterfeits. - The report says counterfeit trade generates substantial profits at relatively low risk and can intersect with other unlawful activities. - The report says counterfeit medicines and contaminated medicines have been linked to treatment failures and child deaths. - The report says methanol-laced illicit liquor has caused mass fatalities in multiple states. - The report says unsafe electronics, toys and auto parts can harm consumers before they realize anything is wrong.

Between the lines: - The report argues that when counterfeiting is seen as a cheap substitute instead of a crime, social stigma weakens and reporting falls. - That perception gap can help criminal networks operate with less visibility. - Jan van Voorn, CEO of IP House, said the counterfeit trade is closely linked to organized criminal networks that exploit global supply chains and online marketplaces. - Professor Manish Gangwar, executive director of the ISB Institute of Data Science, said consumer awareness is necessary but no longer sufficient. - Gangwar said technology-enabled tools, including artificial intelligence, digital authentication and intelligence-led enforcement, are needed to disrupt counterfeit networks before products reach consumers.

What's next: - The report calls for more consistent, intelligence-led enforcement across local police, customs agents, regulators, online platforms and brand owners. - It also calls for specialized intellectual property and consumer safety task forces for high-risk counterfeit categories. - The report urges consumer education that explains how to verify, avoid and report suspected counterfeits. - IP House and ISB say the goal is to strengthen trust in India's digital and physical marketplaces.

The bottom line: - The report says counterfeiting in India is a broad consumer, safety and crime problem that requires coordinated action, not just better shopping habits.