Unofficial translation | Source: | Ros Business Consulting (view picture of original in Russian) | | Date: | February 22, 2000 | | Title: | Wall Street Journal: Brand pirating costs foreign companies and the government at least $1 billion a year |
RBK -22.02.00 - Wall Street Journal refers to a joint report of Coalition for Intellectual Property Rights Protection (CIPR), American Chamber of Commerce and European Business Club according to which brand pirating costs international companies and the government at least $ 1 billion a year. 50% of surveyed foreign companies operating in Russia reported that apart from taxation and customs problems infringement of intellectual property rights is one of the biggest impediments that hampers business activity in Russia. 28% of executive officials claimed that one tenth of the products sold under their name in Russia is counterfeit, while 12% said that fake goods account for one fourth of all locally marketed international brands. According to Alexander Korchagin, Head of the Russian Patent Agency, up to 90% of commercially available software and up to 40% of all vodka sold in Russia are counterfeit. Counterfeit industry coverage has now been extended from video production and CDs to washing powder, cigarettes, coffee and medicines. Peter Necarsulmer, President of the Coalition for Intellectual Property Rights Protection, assumes that this issue has a detrimental impact on the Russian government given the huge tax gap arising as a result of the above activities. Peter Necarsulmer also emphasized that Russian legislation is clearly biased against foreign companies. Like many other foreign businessmen he is indignant at “rampant corruption and pressure put on judges” inherent in litigations which involve foreign companies. ### | 
