Over One-Third of Urban Indians Bought Fake Goods Last Year: ASPA-CRISIL Report
Nearly 35 per cent of urban consumers in India have admitted to purchasing counterfeit products within the last 12 months, according to the latest "State of Counterfeiting in India 2025" report. This comprehensive study, released by the Authentication Solution Providers' Association (ASPA) in collaboration with CRISIL Intelligence, surveyed 1,639 respondents across nine major cities: Delhi, Mumbai, Chennai, Bengaluru, Hyderabad, Kolkata, Ahmedabad, Jaipur, and Indore.
Widespread Counterfeiting Across Key Sectors
The report highlights the alarming prevalence of fake goods across multiple industries, posing significant risks to consumers and the economy. The apparel sector emerges as one of the most affected categories, with 31 per cent of consumers reporting encounters or purchases of fake fashion items in the past year. This reflects the high infiltration of counterfeit products in both online and offline markets.
Counterfeiting is increasingly visible in daily-use consumer goods as well. 27 per cent of consumers reported encountering counterfeit FMCG products within the last 12 months, indicating risks in everyday household items such as packaged food, personal care, and home care products. Additionally, 22 per cent of respondents encountered counterfeit automotive parts, highlighting dangers in the vehicle replacement market.
Digital Commerce Fuels Counterfeit Distribution
The study underscores the growing role of digital platforms in the distribution of fake products. Online aggregator platforms account for 53 per cent of counterfeit purchases, making them the largest channel for such goods. Social media advertisements are also emerging as a major conduit, especially for apparel (46 per cent) and consumer electronics (35 per cent).
However, traditional retail outlets remain dominant for certain sectors. Local shops account for 75 per cent of counterfeit agro-product purchases and 63 per cent of fake pharmaceutical sales, pointing to vulnerabilities in rural and urban supply chains.
Health and Agricultural Risks Amplified
Counterfeit medicines are estimated to constitute around 28 per cent of the market, raising serious public health concerns due to potential inefficacy or harm. In agriculture, 35 per cent of farmers have encountered counterfeit agro-products, with estimates suggesting close to 30 per cent of agro-inputs in the market may be fake. This threatens farm productivity, rural incomes, and food security.
Shifting Consumer Attitudes and Awareness
Despite widespread exposure, consumer perceptions are gradually changing. Counterfeit products are perceived to be approximately 22 per cent cheaper than genuine goods, but only 36 per cent of consumers cite price as the primary reason for purchasing fakes. Consumers are willing to pay an average premium of 9 per cent for guaranteed genuine products, with higher willingness in pharmaceuticals (12 per cent) and agro-products (14 per cent).
Moreover, 50 per cent of consumers say they would file a complaint if they received a fake product, reflecting rising awareness and intolerance. The report notes that 74 per cent of consumers believe counterfeiting incidents have increased in the last 12 months, and 93 per cent think more awareness campaigns are needed.
Expert Insights and Call to Action
Ankit Gupta, President of ASPA, emphasized the growing sophistication of counterfeiters, stating, "In India, counterfeiting incidents have increased over the past three years, with counterfeiters becoming increasingly sophisticated and better funded. The growth of e-commerce and globalization of markets has made the fight against counterfeiting even more challenging."
Anjali Nathwani, Director at CRISIL Intelligence, highlighted the gap between awareness and action, saying, "This points to the need for concerted effort from the government, manufacturers, distributors, retailers, and consumers working together to combat counterfeiting."
The report serves as a critical wake-up call, urging stakeholders to enhance authentication measures and public education to curb the rampant spread of counterfeit goods in India.
