The Federation of Retailers Association of India (FRAI) on Wednesday urged the Ministry of Consumer Affairs to strengthen enforcement against illicit trade and counterfeit products, warning that the growing circulation of fake and non-compliant goods is threatening consumer safety and the livelihoods of millions of small retailers. BJP MP Praveen Khandelwal, who represents Chandni Chowk, also attended the seminar.
The demand was raised at a national seminar on “Confronting Illicit Trade in Modern Markets” held in the Capital. The event brought together policymakers, industry representatives, law enforcement officials, consumer advocates and retail stakeholders to discuss the challenges posed by counterfeit products and unfair market practices.
Participants expressed concern over the increasing availability of counterfeit and illegally sourced products across sectors such as food and beverages, personal care items, cosmetics, tobacco products, electronics and household goods. They said the spread of such products through both traditional retail channels and digital marketplaces poses serious risks to consumers, undermines legitimate businesses and causes significant revenue losses to the government.
During the seminar, FRAI submitted a representation to the Ministry of Consumer Affairs, Food and Public Distribution seeking stricter action against illicit trade. The association called for stronger penalties for repeat offenders, enhanced surveillance and market inspections, greater accountability for digital marketplaces, and coordinated enforcement by regulatory and law enforcement agencies.
Addressing the gathering, Khandelwal said illicit trade, counterfeit goods and smuggled products directly affect consumers, businesses and families. He said technology could play a key role in combating counterfeit products and stressed the need for cooperation among the government, industry and citizens to build a transparent and trusted retail ecosystem.
FRAI General Secretary Vinay Kumar said illicit trade had emerged as a major consumer protection and livelihood issue. He noted that while genuine retailers comply with regulations and ensure product authenticity, illegal operators continue to exploit enforcement gaps, making it increasingly difficult for small traders to compete on equal terms.
The discussions also highlighted emerging challenges arising from the rapid growth of e-commerce and quick-commerce platforms. Participants stressed the need for balanced regulations that encourage innovation while ensuring supply chain transparency, product authenticity and stronger consumer protection.
FRAI reiterated that curbing illicit trade is essential for protecting consumers, preserving fair competition and safeguarding the interests of millions of small retailers across the country. The association called for a multi-stakeholder approach involving government agencies, industry bodies and consumers to dismantle counterfeit networks and strengthen trust in the marketplace.
