Namibia: Traders Justify Sale of Counterfeit Goods

ESTER MBATHERA and MERCY KARUUOMBE

JOYCE Paolo has been selling brands of second-hand shoes and other high-end T-shirts from Vietnam for over nine years, from her house at Walvis Bay.

After eight years of looking for a place to trade formally, she was able to secure a small shop on Sam Nujoma Avenue, where she has been trading since 2020.

"We buy our things from overseas and the Democratic Republic of Congo. We don't buy the original because no one in Namibia would be able to afford a pair of US$500 shoes from the real Nike shop. There is first hand and second hand, and we buy second hand which is affordable for our people," she said.

The family-run business sources stock from Angolan suppliers through Oshikango. This is because Angola has agreements with Vietnam and Brazil to import and sell high-end goods in quantities of fives and 20s, not more.

"The only problem we encountered at the borders is when we import more than 20 pairs of shoes. This is not ideal because we have customers who have paid for their orders," said Paolo.

When her shop was raided last Friday, customs officials did not take the African print materials, she said. They only touched them before declaring them originals.

NAMRA ACCUSED OF INCOMPETENCE

Walvis Bay community activist Knowledge Ipinge attributes corruption, bribery, poor intellectual property legislation and weak enforcement to what he terms favourable conditions for counterfeiting.

He believes the country urgently needs a copyright bill.

"As a country, Namibia has failed to industrialise itself and as a result we are victims of the counterfeit industry, especially the Chinese, which is seen as a symptom of economic growth," he said.

Ipinge said it's important to take note of the fact that the Customs and Excise Act 20 1998, does not prohibit the export of goods from the majority of factories in South Africa, China, or other parts of the world.

"These are the very same factories which are supplying major retailers in Namibia, which we consider as originals but when our own sisters and brothers buy from the same factories to resell they are being victimised."

According to Ipinge, Namra should appoint competent people who are qualified and possess the necessary experience to deal with counterfeits.

"Their commissioner is clueless. Namra should consult widely and acquaint themselves with the real facts on the ground because we know that customs officials who have business interests are targeting and victimising their 'order with me' competitors, especially here at Walvis Bay, of which a senior customs official owns a certain store," he said.

He alleges that in most cases, custom officials, especially at a specific point of entry, would allow second or third copy items to pass through the borders because it belongs to a retailer, but will refuse to allow an 'order with me' business person to bring in a first copy of the very same item.

He further alleged that officials question invoices from certain factories despite the importers producing legitimate stamps and certificates of origin.

NAMRA CHALLENGED TO UNDERSTAND TRADE ISSUES

Trade and investment researcher Rodney Hoaeb has challenged customs officials to stop misquoting trade-related aspects of intellectual property rights, general agreement on trade in services, and general agreement on tariffs and trade when dealing with the matter of counterfeit products.

Hoaeb, who is World Trade Organisation (WTO) certified, explained that these are guiding policies for implementing copyright/trademark laws for all 150 members, each with different trade regimes.

"Namra should develop local guidelines on how to approach counterfeit goods and engage the public, not only a selected few so-called brand owners.

"I also urge the officials to familiarise themselves with the WTO protocols before making reference to them, there are certification courses that can help you in making such critical decisions and drafting national regulations," he said.

Intellectual property as per the WTO, and international standards say trademarks are valid for seven years and copyrights for 50 years. Industrial designs are protected for 10 years and patents for 20 years.

Hoaeb said China has signed the intellectual property treaty with WTO, but has not endorsed it as domestic law. However, the country has drafted its own laws on how to regulate counterfeit items, which are not as strict to enforce as Western standards.

That's why many counterfeit goods are imported mainly from there.

"WTO only sets the framework, each country should use the set framework to design its own domestic laws. Imagine we are a Third-World country compared to China, are we ready to impose strict laws and why aren't other African countries follow suit?"

Hoaeb questioned if the original brands create jobs in Namibia, either in factories or at retail level.

"Original brands refuse to establish shops and factories in Third-World countries, they deem such economies risky and people can barely afford original goods - they enjoy market stability in First-World countries," noted Hoaeb.

He said further consultations or legal opinions are required for the public to better understand the Customs and Excise Act 20 of 1998.

Namra communications manager Tonateni Shidhudhu declined to comment on the allegations.

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