The United States is spending an additional $1.19 million for overseas training to help combat counterfeiting and other violations of intellectual property rights (IPR), the State Department says.

In an October 6 statement, deputy spokesman Adam Ereli said the new funding builds on $1.31 million for overseas IPR training announced in August, and is part of a coordinated international effort to stop the theft of intellectual property.

This next phase of U.S. funding will support IPR enforcement projects in Brazil, Pakistan, Korea, Malaysia and Panama, as well as in the tri-border region of Paraguay, Argentina and Brazil, in Africa, with the international police organization Interpol, and with countries in the China-East Asia Pacific region, the State Department said.

In a related fact sheet, the department's Bureau for International Narcotics and Law Enforcement Affairs (INL) outlined the 10 programs that will be supported with the additional funds.

These include a $210,000 initiative to train judges, legislators, prosecutors and police from China and neighboring countries to combat intellectual property crime. The program will emphasize online and optical media piracy, the bureau said.

For the tri-border region of Paraguay, Argentina and Brazil, a $100,000 program will train prosecutors, police and customs officials from all three countries both to improve enforcement skills and foster cooperation, INL said.

Another $100,000 will be spent on IPR training in Brazil, which is one of the world's largest markets for pirated products. The project is designed to complement the tri-Border initiative as well as ongoing European Union efforts in the region, according to INL.

U.S. DEPARTMENT OF STATE
Office of the Spokesman
October 6, 2004

STATEMENT BY ADAM ERELI, DEPUTY SPOKESMAN

United States Announces Programs to Fight Billions Lost to Intellectual Property Theft

The United States is launching the second phase of a major initiative to protect U.S. intellectual property rights overseas.

Each year, businesses in the United States lose billions of dollars to criminals engaging in intellectual property theft abroad. The State Department will spend a total of over $2.5 million on 16 international training programs in various parts of the world to combat piracy and counterfeiting efforts, protect international property rights, and support the rule of law.

In this second phase, the State Department will provide $1.19 million to ten enforcement-related training programs. All of the programs are part of the Strategy Targeting Organized Piracy ("STOP") initiative announced on October 4, 2004 by the United States Trade Representative, U.S. Department of Commerce, U.S. Department of Justice, and U.S. Department of Homeland Security. Funds will be obligated for projects to combat intellectual property theft in Brazil, Pakistan, Republic of Korea, Malaysia, and Panama, as well as for initiatives in the Tri-border region of Paraguay, Argentina and Brazil; in Africa; with Interpol; and with countries in the China-East Asia Pacific region.

In August 2004 the State Department announced the first phase of the initiative, $1.31 million for projects in Paraguay, Thailand and Mexico, as well as for projects by the Asia Pacific Economic Cooperation, Association of South East Asia Nations, and countries participating in the Central America Free Trade Agreement.

Further details on individual programs and projects are available on the website of the Bureau of International Narcotics and Law Enforcement Affairs: http://www.state.gov/g/inl/rls/fs/36830.htm.

[end statement]

[begin fact sheet]

Fact Sheet

Bureau for International Narcotics and Law Enforcement Affairs
Washington, DC
October 6, 2004

Intellectual Property Training Programs

Each year, businesses in the United States lose billions of dollars to criminals engaging in intellectual property theft abroad. A major initiative, launched by the State Department, will help protect U.S. intellectual property rights overseas. The State Department will spend over $2.5 million on 16 United States Government-sponsored international training programs in various parts of the world to combat piracy and counterfeiting efforts.

Programs

Tri-Border Initiative: $100,000

A major obstacle to fighting transnational crime is poor cooperation between enforcement entities across borders. This has been the case with the nations in the Tri-Border region of Paraguay, Argentina, and Brazil. The intersection of these three countries has long been a hotbed of piracy and counterfeiting of all kinds of products. Funding for this project will allow U.S. Department of Justice and U.S. Department of Homeland Security officials to train prosecutors, police, and customs officials from the Tri-Border Region to combat intellectual property crime. By bringing together officials of all three countries, this project will improve intellectual property rights enforcement skills while fostering communication and cooperation, a joint sense of responsibility, and stronger operational efforts to fight intellectual property rights crimes.

Brazil: $100,000

Brazil is one of the largest markets in the world for legitimate copyrighted products. It is also one of the world's largest pirate markets. Copyright losses due to optical disc piracy in Brazil were estimated by U.S. industry to be $785 million in 2003, the largest in the Western Hemisphere. Funding for this project will enable U.S. Department of Justice and U.S. Department of Homeland Security officials to provide training and technical assistance to Brazilian police, prosecutors, and customs officials in the investigation and prosecution of intellectual property rights crimes. This project will complement the Tri-Border initiative as well as ongoing European Union efforts in the region.

China East-Asia Pacific: $210,000

The People's Republic of China (PRC) is the largest source of counterfeit and pirated goods seized by the U.S. Customs and Border Protection Bureau. Nearly 58 percent of the value of all intellectual property rights-infringing imports into the United States come from the PRC. Due to China's large domestic market and large export capability, illegal Chinese products threaten entire legitimate industries. In 2002 alone, U.S. copyright industries estimate their losses due to piracy in the PRC to be almost $2 billion. Recently, however, the PRC has made progress in revising its intellectual property rights (IPR) laws and developing cooperation and coordination among its IPR enforcement entities. Moreover, the involvement of Vice Minister Wu Yi indicates a new, serious commitment to combat intellectual property rights crime. Funding for this project will enable United States Government officials, together with Hong Kong law enforcement officials, to train judges, legislators, prosecutors and police from the PRC as well as from a number of other East Asia Pacific nations, to combat intellectual property crime, with a particular focus on online and optical media piracy.

Pakistan: $150,000

Pakistan is one of the world's leading producers and exporters of pirated optical disks. In 2003, Pakistan was the fourth largest source of counterfeit and pirated goods seized by the U.S. Department of Homeland Security's Customs and Border Protection Bureau. U.S. industry estimates that 95 percent of all motion picture discs in Pakistan are pirated. In 2002, piracy losses in Pakistan to United States intellectual property rights holders (motion pictures, music, software and books) amounted to $127 million. More problematic, is that Pakistan exports pirated media to more than 45 countries, thereby hindering U.S. industry sales of copyrighted works in those economies. Recently, however, the Government of Pakistan reinvigorated its efforts to combat Intellectual Piracy with the formation of the Intellectual Property Rights Advisory Committee and Intellectual Property Academy. Funding for this project will enable the training of Pakistani prosecutors, police and customs and border officials focused on the investigation and prosecution of intellectual property rights crime, with a particular emphasis on optical media piracy.

African Regional: $150,000

The Bush Administration has committed $15 billion to an AIDS/HIV initiative, including $1 billion towards the Global Fund and $9 billion towards prevention and treatment programs in Africa and the Caribbean. If HIV/AIDS and other health initiatives are to be successful, we must be able to ensure that AIDS treatments and other medications are safe and effective. Unfortunately, industry and government sources estimate that up to 40-50 percent of drugs in Nigeria and other African countries are counterfeit. Counterfeit drugs have caused or contributed to health problems and death throughout Africa. Funding for this project will generate regional seminars on how intellectual property rights laws can be used to combat the manufacture and trafficking of counterfeit drugs. Target audiences will include law enforcement officials, health officials and regulators from French and English-speaking sub-Saharan African countries.

United States Government--Industry DVD: $100,000

With input from key USG and industry experts, funding for this project will yield a mass-produced DVD that contains training and technical assistance on combating optical media and Internet piracy for audiences of law enforcement personnel, legislators, policy makers, local business and individuals in Spanish-speaking countries.

Republic of Korea: $75,000

U.S. copyright industries estimate that 2002 losses due to piracy in Korea amount to $737 million. Online piracy is increasing rapidly, and piracy of non-digital products (especially books and other printed materials) remains a serious problem. Funding for this proposal will provide training and technical assistance to Republic of Korea police, prosecutors, and legislators engaged in efforts to combat online and optical media piracy.

Malaysia: $75,000

Malaysia is a significant source of production and export of pirated optical discs. It is also the world's largest exporter of pirated entertainment software. Many illegal exports reportedly flood Middle East markets, and have shown up in Latin America, Australia, South Africa and the European Union. The United States copyright industry estimates losses in 2002 in Malaysia at $239 million--and increasing due to growing online piracy. In 2003, the Malaysian government cracked down on retail piracy. Unfortunately, a lack of expertise in investigating and prosecuting intellectual property rights crimes on the part of the Malaysian government resulted in very few convictions or deterrent penalties. Funding for this project will provide specialized training designed to enhance the ability of Malaysian prosecutors, judges, police and legislators to combat intellectual property rights crime, particularly online and optical media piracy.

Panama: $75,000

The transshipment of pirated and counterfeit goods through Panama's Colon Free Zone (CFZ) inflicts severe economic losses on United States industries. While Panama has well-developed intellectual property laws and institutions, lack of enforcement of those laws in the CFZ remains a concern, particularly as the United States prepares to enter into a free trade agreement in the region. Funding for the project will enable specialized intellectual property rights training for Panamanian judicial, police and customs officials specifically responsible for law enforcement in the Colon Free Zone (CFZ).

Interpol: $150,000

Interpol can play a useful role as a clearinghouse for the collection and dissemination of data on intellectual property rights crime; in assessing the effectiveness and capacity of enforcement units around the world to fight such crimes, especially optical media and Internet piracy; and in improving communication and cooperation among law enforcement bodies engaged in transnational investigations concerning piracy and counterfeiting. Funding for this program will be used to advance multinational efforts in the fight against intellectual property rights crimes.