INAE displays seized counterfeit goods

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INAE displays seized counterfeit goods

12:47 CAT | 08 Dec 2017

File photo / INAE's Inspector-general Rita Freitas

Rita Freitas, the general inspector of Mozambique’s National Inspectorate of Economic Activities (INAE), on Thursday displayed at a Maputo press conference a wide range of counterfeit goods that had been seized in raids earlier this week on warehouses in the downtown area of the city, near the port.

There were Hewlett-Packard (HP) toner cartridges, Nike footwear, Adidas and Ralph Lauren shirts, Caroline Herrera and Tom Ford perfumes and much else – all of it fake, all of it worthless.

The INAE raids were in response to a complaint from the Maputo representative of HP that the market was being flooded with counterfeit toner. Investigations led INAE to a group of 11 warehouses.

To INAE’s surprise the warehouses contained not only the fake toner, but a vast range of other pirated goods. On the first floor of one warehouse, INAE found a workshop that was assembling the toner. The cartridge, the toner itself, the packaging, even an imitation seal had all been imported from China and was put together to produce something which, to the casual eye, looks like an HP product.

Freitas said that eight warehouses had been opened so far. One was empty, one contained apparently legitimate building equipment, and the rest were full of counterfeit. Another three have yet to be inspected – the owners or managers were nowhere to be found and Freitas said that, if necessary, INAE will smash the locks to force entrance.

She confirmed that the bulk of the counterfeit goods come from China. There was plenty of the South African MAQ brand of washing powder. The packaging bore the words “made in South Africa”, but INAE knew that it had all come from China.

Also Read: INAE seizes counterfeit products in Maputo warehouses

Some of the counterfeit goods are potentially lethal. They included fake car batteries and fake brake fluid – which could cause vehicle brakes to fail.

The Deputy National Director of Industry, Nilza Miquidade, told the press conference that the fake goods have a damaging effect on the economy. Often they have paid no taxes, and they compete unfairly with genuine products.

In some cases competition from counterfeit goods have driven companies out of Mozambique altogether. Thus Colgate shut down its Mozambican plant because the market had been inundated with fake toothpaste.

INAE believes that the counterfeit goods go straight from Maputo port to the warehouses, and are then distributed to the retailers. The warehouse managers feigned ignorance of who they were selling to, and said they could not provide INAE with a list of retailers.

Freitas said it was difficult to detect counterfeit products at the port. Experts in distinguishing between the real products and the fakes were needed, and while INAE has staff with this training it seems that the customs service at the port does not.

Goods that leave the warehouses and end up in the hands of street sellers or informal markets are also difficult to control. But it is a different matter with formal sector shops: any shop found selling fake goods not only risks a heavy fine, but will also be reported to the Attorney-General’s Office for criminal proceedings. And once caught, the shop will be closely monitored by INAE for any further offences.

But Freitas noted that dishonest shopkeepers can easily close down one shop and open another, perhaps in a different part of the country.

She added that the fight against counterfeit depends on whistle blowers, sometimes inside the criminal organisation. Freitas said that INAE guarantees protection for all informants and would never reveal their names.