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Business Standard

Amazon steps up anti-counterfeit drive in India with AI and policing

As Amazon steps up its global campaign against counterfeit goods, India has emerged as a focal point in the company's enforcement strategy, reflecting both the country's rapid e-commerce growth and the operational complexities that come with it. Kebharu Smith, director of Amazon's Counterfeit Crimes Unit (CCU), said India remains a 'critical market' for the company, highlighting the strategic importance of protecting consumers and sellers in one of its fastest-growing regions. 'Protecting customers and sellers from counterfeits is a top priority for us,' Smith told Business Standard. India ranks among the top five countries most affected by counterfeiting, with sectors such as pharmaceuticals, fast-moving consumer goods (FMCG), electronics, luxury goods and auto parts particularly exposed, experts say. The country's counterfeit market is valued at $12 billion to $30 billion annually, forming a significant part of the global counterfeit trade, which stood at $467 billion in 2021 and is projected to surge to $1.79 trillion by 2030. In 2024, Amazon's CCU took action against more than 150 bad actors in India, filing criminal complaints with local law enforcement authorities. These efforts form part of a broader global push, in which the company identified, seized and disposed of over 15 million counterfeit products across its marketplaces, according to Amazon's fifth annual Brand Protection Report. While the volume of counterfeit products remains significant, Amazon reports tangible progress in enforcement and deterrence. The company recorded a 35 per cent decrease in valid infringement notices submitted by brands in 2024—an important indicator of improved preventive mechanisms. Much of this progress has been attributed to Amazon's investment in automated systems that detect and block counterfeit listings before they go live. 'In part, this has been driven by a more than 250 per cent increase in the number of listing attempts our automated protections proactively blocked during this same timeframe,' Smith said. Artificial intelligence Amazon is increasingly relying on artificial intelligence (AI) and machine learning to safeguard its marketplace from counterfeit products—particularly in high-growth regions like India. Smith said the company's AI-driven systems now block more than 99 per cent of infringing listings before brands even flag them. 'Globally, we continue to invest in AI and we have improved our controls, automating and scaling our intellectual property protection and counterfeit detection systems,' Smith said. These systems operate across key touchpoints—from account registration to listing updates. The company is using tools such as computer vision and large language models to detect complex intellectual property violations, including manipulated logos and visual patterns. According to Smith, these technologies allow Amazon to 'stay ahead of new and emerging bad actor tactics,' enabling scalable protection and reducing reliance on manual review. In India, where listing volumes are vast and dynamic, such automation plays a crucial role in maintaining platform integrity. Law enforcement In India, Amazon is deepening its partnerships with law enforcement, including state cybercrime units, to combat online counterfeit sales and educate consumers on safe shopping practices. 'Amazon partners with Indian law enforcement agencies, including state police cybercrime units, to educate consumers about safe online shopping practices and help identify bad actors,' said Smith. The company also collaborates with industry bodies such as FICCI Cascade and the India SME Forum to run capacity-building workshops nationwide. Marking five years of the CCU, Smith emphasised ongoing collaboration with brands and authorities to seize counterfeit goods and prosecute offenders. Amazon is also strengthening its seller verification protocols in India as part of its broader strategy to safeguard the marketplace from counterfeit activity. 'We make it straightforward for businesses to set up a selling account, but very difficult for bad actors to do so,' Smith said. The company monitors seller activity, verifies identities using government-issued IDs and analyses behavioural data to flag risk indicators. As India's digital economy expands, Smith said Amazon is working closely with start-ups and small businesses to help protect their intellectual property. Tools such as Brand Registry and IP Accelerator offer scalable solutions to secure rights and manage listings. Smith said programmes such as Project Zero and Transparency further empower brands to remove counterfeits and authenticate products. For instance, Amazon's Transparency programme, which authenticated over 2.5 billion product units globally in 2024, is gaining traction among Indian brands. The programme now includes more than 88,000 brands worldwide, ranging from start-ups to Fortune 500 companies. Such initiatives, Smith noted, are helping brands build consumer trust while strengthening defences against counterfeiting across retail channels.