Counterfeiting : Formal versus informal economy: a losing battle?

Since the end of February, a series of major raids have been carried out on ready-to-wear stores everywhere. Launched in a number of towns and cities, the raids are targeting traders and retailers of counterfeit or genuine clothing items that have been diverted from legal production and marketing channels. Fraud and customs officers have just seized large quantities of these items. «In Casablanca, these types of stores are concentrated mainly in the Bourgogne, Maarif, downtown, Derb Omar, Mustafa El Maani, Bab Marrakech, Korea, Aïn Chok, Derb Ghallef, and Sidi Maarouf districts», confirmed Mohamed El Fane, President of the Franchise Federation.

«Specialization in counterfeiting»

In fact, for a long time now, a sort of «counterfeit specialization» has been emerging, per district, per zoning, or per type of product…, explains a member of the textile industry. In Casablanca, Korea has become an expert in espadrilles and sporting goods, while Derb Ghallef specializes in shoes, suits, and telephones… Bourgogne concentrates stores selling fake jeans, polo shirts, jackets… Sidi Maarouf is home to workshops and outlet stores specializing in the imitation of jeans, polo shirts, and jackets… Not to mention the home trade of importers of counterfeit ready-to-wear from Turkey (fake Ralph Laurent, Gant, Boss, Armani, Gucci…).
Less than a month ago, the authorities and Customs dismantled a counterfeiting network in Casablanca. According to our sources, the counterfeiters had been tracked down by customs via an account on TikTok. They were able to trace the network via videos posted on this social network, which led to the discovery of a factory producing large quantities of counterfeit clothing with labels from wellknown brands. In the absence of invoices and proof of authenticity, large quantities of goods and machinery were seized. Most of the goods seized were counterfeit sportswear. These large-scale seizures were prompted by recurrent complaints from the franchise holders – through the Moroccan Franchise Federation, – and from the Chambers of Commerce, who denounced «the increase in unfair competition from counterfeit jeans, shirts, jackets, suits, shoes, sports goods, and other items». This phenomenon has accelerated the «descent into hell» of many franchises, which have gone out of business due to poor sales, headon competition from the informal sector and online commerce (e-commerce platforms), counterfeiting and imitations. This situation has had a direct impact on sales in structured stores, brand names and brands. It has even contributed to the bankruptcy and closure of many shops in several towns, confirmed Mohamed El Fane, President of the FMF.

Amin RBOUB