Business group presses government for piracy reforms

By Mary Childs

WASHINGTON (Reuters) - Leading U.S. business groups on Thursday urged stronger U.S government action to stop trafficking of pirated or counterfeit goods, which they said costs the U.S. economy between $200 to $250 billion per year.

"Every product in every industry is vulnerable," said Bruce Josten, Executive Vice President of the U.S. Chamber of Commerce. "We can no longer accept counterfeiting and piracy as just a cost of doing business."

Members of the Coalition Against Counterfeiting and Piracy (CACP) presented a six-pronged agenda aimed at stopping the trafficking of illegal goods, which they blame for 750,000 lost U.S. jobs.

Their proposal includes tougher border control and penalties for counterfeiters, more funding for the Homeland Security and Justice Departments, reformed judicial processes, and improved coordination and education for consumers.

The coalition included U.S. movie and recording industry groups, as well as drug manufacturers, the U.S. Chamber of Commerce and the National Association of Manufacturers.

Intellectual property protection has become a particular sore point in the U.S.'s relationship with China, and the groups estimate global trade in fake goods to be about $500 billion to $600 billion per year.

"Intellectual property theft stabs at the heart of the U.S. economy," said John Engler, President and CEO of the NAM, calling creativity and innovation the U.S.'s comparative advantage. "There are some products that literally put lives at risk. We saw what happened with pet foods."

TAINTED PET FOOD