Share Inputs With Enforcement Agencies To Curb Counterfeit Goods Smuggling: CBIC Chief To Industry

Central Board of Indirect Taxes and Customs (CBIC) Chief Vivek Chaturvedi on Thursday asked businesses to share with enforcement agencies any information they might have about counterfeit goods being smuggled into the country.

Stating that counterfeit products like cigarettes, cosmetics, and drugs pose significant health risks and the proceeds from the sale of these items are often used to fund organised crime and terrorism, Chaturvedi said there is a need to increase awareness among consumers about their detriments.

CBIC is strengthening the use of non-intrusive inspection technologies, data analytics, risk management system, automated targeting and intelligence-led interventions to identify high-risk consignments with greater precision while ensuring that legitimate trade goes with least intervention, he said.

"Private sector has a role to strengthen the supply chain. Businesses possess invaluable intelligence about their own products, distribution networks, market patterns... Greater information sharing within the industry and enforcement agencies such as the customs can help in the identification of suspicious consignments, emerging routes and new modus operandi," Chaturvedi said at the Ficci-CASCADE's 'MASCRADE 2026'.

Counterfeit products today range from toys, electronics, cosmetics, pharmaceutical and other products that directly affect consumer health and safety as they are sold bypassing BIS quality checks. Their consequences extend far beyond the loss incurred by legitimate brand owners.

DRI and Customs have made significant seizures of counterfeit goods in the last few years, he said, adding corporate and businesses lose out in competition to cheaper, duty-evaded counterfeit products and grey market goods.

The Customs inspections at the borders are not to slow down commerce, but to make the movement of legitimate commerce faster, safer and predictable, Chaturvedi said, adding that such goods create a parallel supply chain using legitimate logistics infrastructures, and thus Customs is increasingly using technology for enforcement action.

"Our objective is to disrupt the illicit supply chains. Nature of smuggling is changing with change of time. Concealment is being complemented by misdeclaration, layering of supply chains, misuse of legitimate trade channels, courier and e-commerce networks, and digital modes of communications and payment," the CBIC chief said.