It has been over three decades since India Today, one of India’s leading publication covered a story on the problem of
fake pesticides in Punjab and Haryana. In these last 35 years,
the predicament of farmers in India has worsened year by year, as they continue to fight a grim battle against fake pesticides. On the other hand, the fake pesticides industry in
India has been growing at an annual rate of 20 per cent and
now constitutes approximately 30 per cent of the total crop
protection market.
While fighting fake pesticides is a complex problem, the
adoption of new generation authentication solutions can greatly help various stakeholders in tackling this growing menace.
The article highlights this core issue and details on its various types along with the reasons for the increase in counterfeit pesticides. The story also brings to light the authentication solutions that can be implemented in India to curb this menace to a great extent in the interest of farmers, industry and country.
kala ilam specialist expert In UK, london, England, Dubai, Kuwait, Germnay, I...
Identify fake pesticides with authentication solutions in India
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The Authentication Times
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Cover Story
Introduction:
The Agriculture Industry, which
is the backbone of our Indian
economy, is facing multiple
threats from the growth of fake
pesticides. According to a latest
study conducted by FICCI, the
fake pesticides industry in India
was estimated at INR 3,200 crore
(USD 525 million) in 2013, which
accounted for 25 per cent by
value and 30 per cent by volume
ofthedomesticpesticideindustry
in 2013. The study indicates that
this market is expected to grow
at the rate of 20 per cent per
annum in terms of value, and
if not addressed, can reach to
approximately 40 per cent share
byvalueinthepesticidesindustry
by 2019. The problem is extreme
in many States including Uttar
Pradesh, Jharkhand, Madhya
Pradesh, erstwhile Andhra
Pradesh, Haryana, Maharashtra,
West Bengal, Karnataka and
Tamil Nadu.
Consequences of
counterfeit pesticides:
The contribution of the Indian
agriculture sector in the Indian
GDP already declined from 19.34
per cent in 2001-02 to 15.79
per cent in 2013-14. Moreover,
as per census 2011, India has
approximately 119 million
cultivators and this number is
decreasing by approximately
2,000 every day. This trend
is worrying and will create a
natural stretch on the agriculture
sector in the future. The growth
by C S Jeena
It has been over three decades
since India Today, one of India’s
leading publication covered
a story on the problem of
fake pesticides in Punjab and
Haryana. In these last 35 years,
the predicament of farmers
in India has worsened year
by year, as they continue to
fight a grim battle against fake
pesticides. On the other hand,
the fake pesticides industry in
India has been growing at an
annual rate of 20 per cent and
now constitutes approximately
30 per cent of the total crop
protection market.
While fighting fake pesticides
is a complex problem, the
adoption of new generation
authentication solutions
can greatly help various
stakeholders in tackling this
growing menace.
The article highlights this
core issue and details on its
various types along with the
reasons for the increase in
counterfeit pesticides. The
story also brings to light the
authentication solutions that
can be implemented in India
to curb this menace to a
great extent in the interest of
farmers, industry and country.
Identify fake
pesticides with
authentication
solutions
• Counterfeit pesticides
industry in India is
estimated as ` 3,200
crore (US $ 525
million) in 2013
• Expected to a grow
with 20 percent
per annum in value
terms and if not
addressed, can reach
to approximately
40 percent share by
value in the pesticides
industry by 2019
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The Authentication Times
Issue 28
Cover Story
Financial Year Counterfeit pesticides Reported by
market size in India (`)
2008-09 ` 1,200 crore Agrochemicals Policy Group (APG)
2009-10 ` 1,400 crore Agrochemicals Policy Group and FICCI report on Indian
Agrochemical industry http://www.ficci.com/events/20563/
add_docs/sectorbrief.pdf
2013 ` 3,200 crore FICCI & Tata Strategic Management Group Press Release
dated Sep 23, 2015
of spurious pesticides is adding
fuel to the fire as India suffered
a loss of 10.6 million tons of food
grain production in 2015-16.
In light of this, India’s position
as one of the leading food grain
exporters in the world is also at
stake.Thereisnodenyingthatthe
damage through such products
is multi-fold and the counterfeit
pesticides pose a significant
threat to various stakeholders.
These include:
a) Farmers: Risk of life &
valuable crop loss:
Various cases of farmers
committing suicide due to loss
of crops have been reported by
the media. Although there are
various reasons for the loss of
crops, the involvement of fake
pesticides can’t be ignored or
denied. Spurious pesticides are
known to damage the crops
resulting in a decreased yield or
at times, even destroying a field.
Some examples of this include:
- Punjab: More than half of 5
lakhs hectares’ cotton crop
was completely destroyed
- Jammu and Kashmir: Crop
production went down by 50
per cent
- Fake pesticides are a serious
threat to the Kashmir apple
industry which is worth `
4,000 crore (US $ 750 million)
b) Consumers: Risk of Health
Counterfiet pesticides pose
increased risks to consumers
through unknown and untested
residues. Unlike legal, registered
products, spurious pesticides
could contain unknown toxic
impurities and have not been
tested for human health impact.
Residues of unknown and
untested substances could get
carried into harvested food and
compromise consumer health,
whilst also posing health threats
to farmers through exposure
duringapplication.In2013,atotal
of 23 children died in Bihar after
they consumed contaminated
free school lunches containing
monocrotphos pesticides.
c) Government: Risk of
reputation, exports and
economic damages
Increased cases of spurious
pesticides make the public
lose their confidence in the
government’s ability to regulate
the agricultural sector effectively.
In 2013-14, India exported 29
million tons of food grains (worth
` 1,578 billion) and 3 million tons
of fruit and vegetables worth ` 88
billion. In such a scenario, India’s
position as one of the leading
food grain exporters in the
world is also at stake as there is
increased possibility of rumours
or sabotage by other countries
or rejection of Indian exports
Table: Counterfeit pesticides market size in India
• Fake pesticides a
threat to Kashmir
apple industry worth
` 4,000 crore (US $ 750
million)
• In 2013-14 India
exported 29 million
tons of food grains
(worth ` 1,578 billion)
and 3 million tons of
fruit and vegetables
worth ` 88 billion
* 1 billion = 100 crore
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The Authentication Times
Issue 28
goods items from developed
countries. In recent years, the
European Union and Saudi Arabia
temporarily stopped buying
some varieties of vegetables from
India after detecting pesticide
residues in the exported produce.
Indian officials say such cases
result from the overuse of
chemicals. The latest cases of
rejection include that of Soybean
and Alphanso Mango. Not only
this, the government loses not
just the tax revenue but also
its prestigious goodwill and
reputation.
d) Industry: Loss of sales and
reputation
Due to the presence of counterfeit
pesticides, the farmers lose
faith in legitimate products and
companies, which result in loss
of reputation and customer trust.
Also at stake are the Indian crop
protection industry, which is
estimated at ` 25,000 crore (US
$ 4.1 billion) in Financial Year
2014 along with the Food Retail
industry.
e) Environmental risk
Thereishighriskofenvironmental
contamination and adverse
effects on groundwater,
following crops and biodiversity.
Firstly, the production of
counterfeit products may
subvert environmental
regulations leading to the
production processes and waste
contaminating the land, air
and water. Secondly, the use of
counterfeit products, such as
pesticides, may cause severe
crop and environmental damage.
Thirdly, the destruction of
counterfeit products can result
in more landfill waste or toxic
fumes from incineration.
Types of counterfeit
pesticides:
To fight any type of counterfeit
activity, one needs to first
understand the nature, extent
and reasons behind the increase
of such activity in various sectors
as it varies by market and can
originate from many different
sources in different forms. The
three main forms of counterfeit
pesticides are;
a) Fake pesticides:
These products are often sold in
simple packs (white bottles) with
minimal information on the label
about their use and no mention
of any health or environmental
precautions. They contain
anything from water or talc, to
diluted and outdated or obsolete
stocks, including banned or
restricted materials. Some fakes
also provide a degree of biological
control, as they sometimes may
contain an illegal and untested
copy of the proprietary active
substance.
b) Counterfeits of genuine
branded products:
These are sophisticated copies
of legitimate branded products
usually with high quality of
labelling and packaging. Most
contain a copy of the original
active substance; however,
its biological efficacy is often
diminished owing to high level
impurities of manufacturing
and process by-products. Such
products are often difficult to be
distinguished from the genuine
ones. Mostly, farmers are fooled
into buying them unknowingly in
absence of proper education and
awareness.
In various cases, counterfeiters
purchase genuine, empty bottles
Cover Story
The Indian crop
protection industry
which is estimated at
` 25000 crore (US $
4.1 billion) in Financial
Year 2014 and the Food
Retail industry is at
stake due to all these
incidents
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The Authentication Times
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Only 25-30 percent of
farmers are aware of
the use of pesticides
and don’t ask for
specified chemical or
brand and often ignore
if specified details
are not available on
products
from the farmers on as high
as 25 per cent of the M.R.P.
mentioned on the original bottle.
This way, the counterfeiters put
substandard ingredients into the
bottle and resell it.
c) Illegal parallel imports:
These are legitimate parallel
traded products substituted with
illegal generic copies, repackaged
and sold as legitimate products.
Reasons behind increase
of counterfeit pesticides
The problem is increasing
because of various factors like;
a) Difficulty in identification of
fake products with legitimate
one due to lack of awareness:
In India, majority of the farmers
are illiterate and there exists a
lack of education and awareness
at the farmer level. Only 25-30 per
cent of farmers are aware of the
correct use of pesticides. Many do
not ask for specified chemicals or
brands and often ignore if specific
details are not available on the
products. Ironically, even though
the food manufacturers and
producers are consumer-oriented
companies, they do not speak
publicly about this problem. Many
food companies do recognize the
challenges but prefer to resolve
these quietly and directly with
their suppliers.
The main disadvantage of this
practice is that it does not bring
the problem out in the open and
consequently thousands of food
producers remain uninformed
about the existence of this grave
issue and thus how to deal with
it. It is important that farmer
organisations and Co-ops play
a leading role in increasing
awareness about the risks of using
counterfeits.
b) Lack of monitoring and
surveillance
In India, the responsibility
of enforcement is divided
between the regional and
national authorities but
the political divisions and
sensitivities have led to weak
enforcement coordination
and action. At national levels,
this requires multi-disciplined
specialists’ teams with skills
in policing and prosecution,
chemicals, agriculture, customs,
environment, etc. These skills are
available, but more often than not
are not working together.
c) Focus on high-profile
sectors
National anti-counterfeit
activities tend to focus on
high profile sectors where the
VAT losses are largest (luxury
goods, CDs, clothing, software,
pharmaceuticals). Less high
profile sectors like farmers do
not get the requisite resources–
despite the acute environmental
and health threats posed by
counterfeit pesticides.
d) Inadequate judicial
frameworks and penalties
India does not have adequate
legislation to properly prosecute
counterfeiting. For example, in
some countries, it is illegal to
buy or sell counterfeits, but not
to possess them. Other countries
have inadequate penalties. In
one known case, a convicted
counterfeiter found in possession
of hundreds of tons of illegal
pesticides was only given a very
small fine.
e) Challenges of quantifying
the problem
It is difficult to present detailed
data of the extent and growth of
the problem because of its illegal
nature. This is the same problem
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The Authentication Times
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Cover Story
encountered by all sectors who
face counterfeiting. Even in areas
where judicial authorities devote
significant resources, like illegal
cigarette smuggling or narcotics,
the estimates of the size of the
problem vary wildly.
Role of authentication
Solutions in fighting this
menace
Counterfeiters today are tech
savvy and can easily produce
packaging material similar or
better than that of genuine
products. But, if there is a
problem, there are solutions.
Technology-based solutions
could be one of the strategies
to counter the problem.
Various studies and scholars
have attempted to propose
technology-based solutions to
combat fake agro-inputs products
in the supply chain. The proven
adoption of these technologies
by countries like Tanzania and
Uganda can be treated as case
studies. These authentication
solutions have multiple benefit as
they provide
a) tamper proof packaging;
b) product authentication and
c) tracking and tracing of product
Proposed solutions for
India (see figure 1)
In India, farmers do not have
any tool/medium to differentiate
genuine pesticides from fake ones
at the time of purchase. Due to
lack of awareness and illiteracy,
they rely on the visual appeal
and can only check the quality
of products with the marking
of ISI/AGMARK. However, with
the advancement in digital
technology, it has become easy
for unethical manufacturers
to produce fake ISI/AGMARK
products as well. Farmers only
come to know about counterfeit
pesticides after there has been a
lossofcroporfield.However,until
Figure1: Authentication solution to identify fake pesticides (high security holographic label with track and trace solution)
Via text message
The ID code can
be verified
with a mobile
phone.
Via missed call
Farmers can
check the
authenticity of
pesticides by
giving a missed
call at
1800 180 1551
(Toll free)
At the Point-of Sale
via mobile app
Consumers can check the
originality of a product
with a smartphone
directly at the POS. For
that they have to scan
the QR code and follow
the instructions of the
website they are
directed to.
Via Internet
The product label can
also be checked via
website which can
be open with every
browser.
Via Extranet
Customs /
enforcement
authorities can log
in the secure extranet
server and check
the hidden security
features, which are
only visible with
magnifying glasses
or special reading
devices.
At the Point-of Sale
Consumers can check the originality
of a product with a smartphone
directly at the POS. For that they
have to scan the QR code and follow
the instructions of the website they
are directed to.
to the website to verify the
originality of the product.
Via Extranet
Experts or customs agents can log
in the tesa connect & check extranet®
and check the hidden security features,
which are only visible with
magnifying glasses or special
reading devices.
Via Internet
The tesa connect & check website®
can be opened with every browser
via PC, notebook or mobile phone
and the security features of the label
can be checked.
Via text message
The ID code can be veri ed
with a mobile phone.
At the Point-of Sale
Consumers can check the originality
of a product with a smartphone
directly at the POS. For that they
have to scan the QR code and follow
the instructions of the website they
are directed to.
Via Mobile Web
The printed QR code on the
label can be captured with a
smartphone. The ID code
as well as the website for
authentication are integrated
in the QR code. The user is
therefore directly forwarded
to the website to verify the
originality of the product.
Via Extranet
Experts or customs agents can log
in the tesa connect & check extranet®
and check the hidden security features,
which are only visible with
magnifying glasses or special
reading devices.
Via Internet
The tesa connect & check website®
can be opened with every browser
via PC, notebook or mobile phone
and the security features of the label
can be checked.
Via text message
The ID code can be veri ed
with a mobile phone.
At the Point-of Sale
Consumers can check the originality
of a product with a smartphone
directly at the POS. For that they
have to scan the QR code and follow
the instructions of the website they
are directed to.
Via Mobile Web
The printed QR code on the
label can be captured with a
smartphone. The ID code
as well as the website for
authentication are integrated
in the QR code. The user is
therefore directly forwarded
to the website to verify the
originality of the product.
Via Extranet
Experts or customs agents can log
in the tesa connect & check extranet®
and check the hidden security features,
which are only visible with
magnifying glasses or special
reading devices.
Via Internet
The tesa connect & check website®
can be opened with every browser
via PC, notebook or mobile phone
and the security features of the label
can be checked.
1800 180 1551
Proven adoption
of authentication
technologies by
countries like Tanzania
and Uganda can be
treated as
case studies
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The Authentication Times
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Cover Story
that happens, there is no way to
analyse the contaminants in the
fakeproductsasthefarmersapply
the in all of their crops, or use up
the packing materials. Therefore,
there remains a constant need
to spread awareness on ‘How to
identify genuine pesticides from
the fake ones?’
The usage of authentication
technologies on pesticides
products can be of great help
to the farmers and authorities,
not only in identifying the fake
products but in identifying
the counterfeiters involved
in the fake pesticides’
business as well. Further, the
government authorities can
use anti-counterfeiting devices
comprising of overt, covert and
forensic security features.
Examples of such tools are
security hologram seal and labels,
tamper evident security film, low
cost transponder tags, and light
sensitive ink designs. Integrated
with track and trace technologies,
these solutions can help farmers
and enforcement authorities in
identification of genuine and fake
pesticides.
All these anti-counterfeiting
solutions (label) can be linked
with the database of our
Indian Government Kisan Call
Centre. According to the Indian
Government, nearly 70 lakh
farmers across the country
are registered with the KISAN
SMS Portal. The farmers can
easily check the originality of
pesticides by giving a missed call
or SMS at the toll free number
1800- 180-1551. A message is
then sent to each farmer in his
preferred language and contains
information about the pesticide’s
batch number, expiry date and
originality.
Conclusion
Adopting authentication
solutions is a win-win situation
for all the stakeholders; as the
brand owner and the authorities
enjoytherevenuesandtax/duties
respectively and the consumer
has an access to the original
product. These authentication
solutions also help the end
consumer to identify a genuine
product in turn winning his
loyalty and boosting the brand
value.
References and Sources:
• Federation of Indian Chambers of
Commerce and Industry (FICCI)
in association with Tata Strategic
Management Group (TSMG), Study on
Sub-Standard Spurious / Counterfeit
Pesticides in India 2015- Report
• http://www.tsmg.com/resources/
reports.html
• Tribune News Service, Agri chief held in
pesticide scam,
• http://www.tribuneindia.com/news/
punjab/agri-chief-held-in-pesticide-
scam/141746.html
• The Dollar Business, Agri Exports worth
$ 27billion at stake due to fake pesticides
says study,
• https://www.thedollarbusiness.com/
agri-exports-worth-27-billion-at-stake-
due-to-fake-pesticides-says-study/
• DNA India, Fake pesticides may cause
rejection of soybean,
• http://www.dnaindia.com/india/report-
fake-pesticides-may-cause-rejection-of-
soybean-1890611
• Press Trust of India, Use of genuine
agrochemicals can raise pulses output by
25%
• http://indiatoday.intoday.in/story/use-
of-genuine-agrochemicals-can-raise-
pulses-output-by-25per cent/1/533972.
html
• Tesa Scribos Solutions for Chemical
Industry, tesa PrioSpot® and tesa
VeoMark®
• http://www.tesa-scribos.com/eng/
markets/chemical_industry
• Combating Fake Agro-Inputs Products
in Tanzania using Mobile Phones,
International Journal of Computer
Applications (0975 – 8887) Volume 97–
No.17, July 2014
• Frederick M. Fishel, UF/IFAS Extension,
University of Florida, PI-174, The Global
increase in Counterfeit Pesticides
• https://edis.ifas.ufl.edu/pi210
• CropLife International, Anti-
Counterfeiting.
• https://croplife.org/crop-protection/
anti-counterfeiting/
The farmers can easily
check the originality of
pesticides by giving a
missed call or SMS at
toll free number 1800-
180-1551. The message
can be provided to
each farmer’s in his
preferred language and
contain information
about the pesticides
batch number, expiry
date and originality