Released by the US Trade Representative (USTR) on January 31, 2023, the 2022 Notorious Markets List identifies 39 online and 33 physical markets globally that are reported to engage in or facilitate substantial trademark counterfeiting or copyright piracy.
- In India, IndiaMart is the only ‘online’ marketplace named in the list. Rest 4 are all offline markets including Heera Panna in Mumbai, Kidderpore in Kolkata, Sadar Patrappa Road Market in Bengaluru, and Tank Road in Delhi.
- As per the right holders to the product, IndiaMart has not taken much effective measures to control counterfeiting or copyright piracy.
Personally, I believe IndiaMart should not be singled out. Though the degree may be higher but that’s inherently because of IndiaMart’s business model. It mainly lists seller’s products and connect them directly with the buyers.
Ideally no one should allow counterfeit products but the world is rarely ideal.
If I would have been an investor into IndiaMart (which I am not currently), I would not get much concerned because of this news. But yes, I would expect the management to increasingly take the corrective actions.