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JAKARTA - The Indonesian economy loses at least Rp. 43.2 trillion (3.5 billion euro) a year in potential taxes due to counterfeit goods being imported into the country, according to a study released on Tuesday.
The study, conducted by the University of Indonesia's Institute for Economic and Social Research and the Indonesian Anti-Counterfeiting Society (MIAP), surveyed 500 people from June to October of this year on their consumption of fake goods,
The results showed high consumption rates for a number of fake items such as pharmaceuticals, cosmetics, clothing, automotive parts, electronics and computer software, the Jakarta Globe reported.
As a result of the study, Indonesia's Ministry of Justice and Human Rights has introduced an "original store" campaign which aims to encourage stores and shopping centers not to sell counterfeit goods. However, with the exception of upscale shopping centers, most stores in Indonesia are not regulated and are able to sell counterfeit goods.
"For now, we can only encourage [stores and shopping centers] not to sell counterfeits," said the directorate's enforcement director, Fathlurachzan, as quoted by the Jakarta Globe. "In a year or two we'll focus on enforcement."
MIAP secretary general Justisiari Perdana Kusuma said it welcomes the campaign, but hopes it will not be limited to conventional products such as clothes or bags. "We hope it] will also target sophisticated ones like songs, movies and software," Justisiari told the newspaper. "Counterfeiting has hurt state income and created unemployment."
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