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Auto.Parts.9.Thmb.jpg Fake auto parts hurting genuine manufacturers

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Namrata Kath Hazarika | 11 Jan, 2012

India's auto component manufacturers are facing potential trouble with the production and selling of fake products by the counterfeiters within the country.

Harish Sheth, Chairman and Managing Director, SETCO Automotive Ltd said, "In the aftermarket, almost in all the commercial vehicle sector about 40 percent of the sales is by the spurious products. The small Kashmir based fellows brand it in Tata and Ashok Leyland's name and then sell it in the market."

"In fact, there are companies who are imitating our products as well in India," he added.

Opining further, Jatin Bajaj, Director-International Marketing, JKS exports told SME Times, "We are a 100 percent export-oriented company. So, in our brand at times we come across some issues like the products are packed in the boxes which are not manufactured by us. This is also done by placing our brand name."

When asked how they are dealing with the situation being a small and medium company, Bajaj mentioned. "To go out and look for legal sources is very expensive for a company like us. We try and bring out new packaging that what we can do basically as a small company. This kind of things we keep on doing. To some extent it helps but not in a very big way."

He added, "That support has to come from the government, which is not there. We need go and tell the government that our products are counterfeited by other Chinese companies and many Indian companies as well...It is very important to reach the right channel."

"In fact, the smaller companies do not know how to register their brand overseas and the other markets. Suppose, if we tell that they (countries overseas) are counterfeiting my products, they have the brand registered in their own country in their name...how can you help that now." he said.

He mentioned these issues can be taken care of but for the small and medium enterprises it become an additional expense.

Commenting on the issue, Ajender Singh Anand, President, Anand exports also said Indian government is not doing enough to prevent spurious products in the country. "The fake products are coming in our country. Is the government not watching that? Why our government is not strict?" he said.

He said that being a small entity it becomes difficult for us to get hold of such people and fix issues of this type. It is a challenge for us.

"Firstly, our brand is not a popular brand. We are not very big that anybody can copy us. And, if anybody does, I am too small to catch him." Anand added.

Anadi Sharma, President Marketing, G S Auto International Ltd also said, "We have seventeen different product categories. Whatever products we make there are 50 times spurious business in the market. In my one category, I feel whatever I sell 200 times spurious products are sold in the market."

He mentioned, "If you compare China and India, I would say China fake differently and India fake differently. No good manufacturers are faking products in India. All low level players are faking or copying parts in India. In China, all big manufacturers fake parts."

"It is very difficult to control such things. What we do is basically we make people aware of the good products. We make them aware from where they can buy good products. Fake products are available everywhere but good products are available at a particular shop," he said.

Also, raids are conducted on a continuous basis with an objective to create awareness and to stop such activities among unscrupulous traders, Sharma added.

(Namrata Kath Hazarika can be contacted at namratakh@tradeindia.com)

 
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