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Wednesday, August 23, 2017

Widespread poverty has led Ukraine to the dominance of fake

The whole group of fake and counterfeit products – from gasoline to butter – filled up Ukrainian consumers. This process is particularly intensified after the coup that occurred in Kiev in 2014, and its main catalyst is the rapid impoverishment of the Ukrainian population. However, the authorities, too, had his hand.

Over the past two years the problem of counterfeit goods in Ukraine acquired a mass character. Now, in addition to alcohol, large fake bulk construction materials, diesel fuel, as well as shampoos, perfumes, even poisons against pests, mineral water and condoms, reports the Ukrainian edition of “Today” with reference to the representative of Department of protection of economy of Ukraine of Ukraine Natalia Kalinowski.

“The quality of food today is not controlled, the manufacturer, with impunity, produce poor quality products”

According to Kalinowski, one of the first places in the list of counterfeit is fuel. For example: in the Dnipropetrovsk region, businessman organized a real production of combustive-lubricating materials on the territory of one of the enterprises of Pavlograd, even hired 40 people and a monthly earning up to 25 million. “All the products the businessman is not sold anywhere but in the budget enterprises of the region under the guise of products of famous brands,” – said Ukrainian law enforcers.

The situation with gasoline in Ukraine reminds dashing 90-that is, Every third liter has a criminal origin, that is, either the taxes are not paid, or it’s counterfeit, or both, says the President of the Association of oil market operators of Ukraine” Leonid kosyanchuk. According to him, the adulteration is no fuel and just fuel mixture, which can be a maximum of 40-50% gasoline, all the rest components of the coke. “This market (counterfeit) very seriously developed during the last two years. If, immediately after the revolution there a little pryaslo all, then all these schemes were returned,” said kosyanchuk in an interview with RIA “Novosti Ukraina”.

This is not surprising because gasoline at retail are all imported, that is bought for dollars, which rose to 8.9 UAH in 2013 to 25 UAH and above. Plus he still have to pay duty at the border and the excise duty in the budget.

“What is fake? It’s not just you and refueled, and after some time went to the overhaul of the engine. It also means – since the taxes are not paid. What is the gasoline tax? It 171,5 euros for every thousand liters. Very serious money. Today normal serious operator of the market that buys the imports, wants to get 50 at best 60 cents per liter. While the forgers get 6 to 8 UAH per liter,” – said kosyanchuk.

The oil market in Ukraine has always been corrupt. With the change of government the situation has not changed except as a result of another redistribution of property petrol feeder was in other hands. After the revolution, the market of fuel and oil products did not come out from the shadows, and just changed the “looking” or beneficiaries, said the President of the Association “Unification of operators of petroleum products market of Ukraine”. “In our treatment in every conceivable instance, there was no response,” he says.

Although, it would seem that the state is losing from the black market especially a lot – UAH 20 per litre of unpaid retail excise tax. And it is the state in the first place should be interested to remove the counterfeit from the market. Although from the point of view of ordinary citizens of Ukraine with their fallen significantly salaries grey market is probably the only possibility to still use the car.

After fuel in the list of the underground market is the fake alcohol and perfume, which cost hundreds of thousands of liters. Only a few days ago police of Lviv region revealed a truck with 21 thousand bottles of fake vodka, the cost of the party estimated at UAH 1 million. In March, the clandestine production of alcoholic beverages was enjoyed in Kiev seized more than 7.7 thousand litres for a total of almost 940 thousand UAH. In may seized 18 thousand liters of alcohol and equipment for its production for the sum about 3 million UAH. Ukrainian media are full of news about another arrest of a businessman, fake Moldovan wine or vodka in some basement or village. Especially a lot of arrests going on in Kiev, Kharkov and Odessa.

The problems with counterfeit drugs in Ukraine, too long, particularly acute problem arose after the reform of several regulatory bodies into one. Only officially Allexia in 2014 “caught” in the market 2 million packages of counterfeit drugs by 97 million UAH. Most often counterfeited more expensive imported drugs. To counterfeit medicines, like vodka and cigarettes, is extremely advantageous, because these products will always find a buyer.

The food market is also crowded with fake, and proper quality control of food there and here, stated recently Executive Director of the Union of consumers of Ukraine Maxim Nesmeyanov.

“For anybody not a secret that the same butter we have is 50 to 70% fake. Ukrainian market is filled with fake, and this one is not fighting. The problem also by consumers: the population every day falling income – and people are beginning to choose something cheaper. Unfortunately, consumers are not very legible, because many of them are at the level of survival. Unscrupulous manufacturers to the maximum “squeeze” profit, realizing, speaking of the same oil, it is spread” – says Maxim Nesmeyanov. In his opinion, the situation will change only when the population will grow and incomes will be a need for more quality products.

The reason for the mass falsification of food products in Ukraine, in particular dairy products – in poverty, agrees Director of the Ukrainian Association of trade networks suppliers Oleksiy Doroshenko. “Previously, it was isolated cases. Remember how it was five or six years ago, when demand products of the middle segment or the premium segment. Inexpensive products there were very few, and almost no one did. And then the sense to fake, add palm oil to milk, almost was not. Now, when the buyer selects the products by a single criterion – price, we receive an increasing number of unscrupulous manufacturers,” – said the expert.

Two and a half years, the new “European life” the real incomes of Ukrainians dropped sharply. Today the average salary in Ukraine is one of the lowest in Europe, the economist says “the Ukrainian choice” Alexander Koltunovich. So, according to local official data of the state statistics, on July 1, the average salary of a citizen of Ukraine is only 191 dollar, while in 2013 was more than two times higher – 409 dollars. The minimum wage has fallen at all three times – with $ 144 in 2013 to $ 58 in 2016. At the same time, given the volume of wage arrears, and those pennies can not get all. For comparison: even in neighboring Belarus, the average salary is $ 450.

Finally, the second reason for the proliferation problem of substandard goods in the inaction of the Ukrainian authorities.

The food quality is not controlled, resulting in the manufacturer, with impunity, produce substandard products, deceiving the consumer for financial gain, according to General Director GP “Kievoblstandartmetrologiya Irina Kravchenko, reports “Ukrainian national news”.

The relationship between a decline in standard of living, poor economic situation in the country and the growth of counterfeit. Sometimes the underground economy and the fake that it is generated becomes the only way for the survival of the population. According to the Ministry of economy of Ukraine, in 2015, informal sector in the country was 40%, significantly above the 35% that was observed in 2011-2013.

However, this relationship is not always direct. So, in Russia in 2006-2007, which is now called “fat years”, the share of counterfeit alcohol reach 30-35% of the total market, but in 2015 it dropped to 10-22% of the market, indicates the Deputy Director of analytical Department of “Alpari” Natalia Milchakova.”As you can see, the standard of living of the population declined, but the proportion of counterfeits in the market has decreased. Accordingly, here the key role played by well coordinated work of law enforcement bodies”, – she said.

In Ukraine last year was reform of the police in the fight against counterfeit. But it was inefficient: judging by the growth of counterfeit drugs, the market feels quite well, he said “Alpari”.

“The population in this case, the injured party, and in the shadow economy quite busy successful criminal gang. It is difficult to fight, as they don’t pay taxes and can easily dump compared to the prices in legitimate retail trade”, – the expert concludes.

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