World Anti-Counterfeiting Day: Focus on Revenue Mobilisation & Conformity

Through these articles, we aim to raise awareness of the impact of counterfeiting and illicit trade on global trade, public safety and the economy. We will also showcase - How SICPA contributes to fostering legitimate trade, protecting citizens and supporting businesses.   

The first article, published in June, explored the critical role of Brand Protection in tackling counterfeit goods, which each year cost the global economy up to €𝟮 𝘁𝗿𝗶𝗹𝗹𝗶𝗼𝗻. 

Our second article below focuses on Revenue Mobilisation and Conformity, showcasing innovative solutions and success stories. 

Every year worldwide, billions of counterfeit and substandard goods make their way to consumers without passing through licit trade channels, exposing all of us to products that could potentially have a harmful effect on our health & safety as well as the environment. Simultaneously, there is a significant impact on legitimate businesses and manufacturers, as well as on governments, who lose tax revenue that could have been invested in social services, infrastructure, schools, or public health programs.  

*See data source

Governments can counteract illicit trade by introducing technologies that facilitate the identification of genuine products in the market and by making it very challenging to avoid following tax regulation. To allow government authorities to enforce tax compliance and in turn make it more difficult to introduce counterfeit or adulterated products into market, it is essential to have a modern tax system in place with robust physical and digital technologies, backed by data-driven decision making. Implementing a modern tax system such as described permits government authorities to increase revenue streams, enhance enforcement policies and business compliance prevent unsafe consumption patterns and protect public health. Additional revenue becomes available to the authorities, which could be invested into other sectors that benefit society.   

SICPA has been at the forefront of collaborative efforts to support several nations combat illicit trade. Our company’s secure digital tax stamps system brings proven, technology-driven capabilities to protect consumers, boost government revenues, and restore trust in the consumer goods market. Every year, more than 100 billion products are marked by our revenue mobilisation & conformity solutions worldwide.  

In Tanzania, the fiscal authority Tanzania Revenue Authority (TRA) has significantly curbed the issue of counterfeit and illicit goods through the integration of SICPA’s AI capabilities. Since its implementation in the country in November 2023, Digital Market Intelligence has enabled real-time tracking and detection of potential duplicated stamp codes, enhancing TRA’s ability to respond swiftly and accurately, and plan its enforcement staff accordingly. 

This technological shift has led to billions of shillings in savings and a fourfold increase in inspection volume and anti-illicit trade practices. Public awareness campaigns and the consumer app (Hakiki App) have further supported the initiative, boosted manufacturer registration and increased declared production volumes.  

More information in an article by the Daily News and Tax Stamp & Traceability News 

Through its robust tax stamps systems, SICPA contributes to safeguarding nations’ wealth as well as to protecting their sovereignty. SICPA’ secure digital tax stamps are regularly cited by renowned international institutions such as the International Monetary Fund, the World Health Organisation or the World Bank for their ability to maximise nations’ tax revenue collection, participate in the fight against illicit trade and protect citizens against harmful products.