Minister calls for stronger enforcement collaboration to tackle illicit trade
The Statesman | 20 November 2025
Counterfeiting and smuggling not only harm legitimate businesses but also exploit consumers by exposing them to unsafe and substandard products. Protecting consumer rights is central to building a fair and transparent marketplace, and this requires a united effort from government agencies, industry, and civil society, said Biplab Mitra, minister-in-charge, consumer affairs department.
The minister was addressing the FICCI-CASCADE seminar on ‘Strengthening Security: Strategies to Combat Counterfeiting and Smuggling’ recently. Mr Mitra emphasised the state government’s strong commitment to safeguarding consumer interests through coordinated efforts with law enforcement, industry stakeholders, and the community. The state, he noted, is leveraging technology and intelligence-based surveillance to detect and deter illicit activities, particularly along border and coastal areas.
Trithankar Halder, special secretary, consumer affairs department, was also present at the programme. The discussions centred around evolving threats from organised illicit networks and the importance of adopting technology-driven intelligence, public awareness, and legislative reforms to combat counterfeiting and smuggling.
As per the report by FICCI CASCADE titled “Challenging Landscape of Illicit Trade: How Changing Factors of Consumption Affect Illicit Markets in 5 Key Industries in India”, the size of illicit market in the five key sectors- FMCG packaged goods, personal and household care, alcohol, tobacco, and textiles and apparel has been estimated at about Rs 7.97 lakh crore. The report highlights that the illicit market size for textiles and apparel stands at Rs 4,03,915 crore, accounting for over 50 per cent of the total illicit trade.
The report highlighted that illicit trade is undermining legitimate businesses, distorting market competition, and significantly reducing the government’s tax revenues in the five mentioned sectors. The impact of illicit trade is particularly severe in industries historically subjected to higher tax regimes, such as tobacco and alcohol. In the tobacco sector, over 50 percent of the illicit market can be attributed to punitive taxes, while for alcohol, this figure stands at 46 percent.
Sonali Ghosal, co-chair, FICCI West Bengal State Council and managing director, Nightingale Group, said, “Illicit activities in terms of counterfeiting and smuggling are not merely regulatory or legal infractions, they represent deep structural challenges to our manufacturing ecosystems, undermine the rule of law, and divert the benefits of economic development away from legitimate stakeholders.”
FICCI CASCADE also organised a capacity building programme for police officers on 12 November focused on ‘Prevention of Counterfeiting and Smuggling’.