Counterfeit electrical products generate losses of almost 1% of GDP

Counterfeit electrical products generate losses of almost 1% of GDP

Counterfeit electrical products generate losses of almost 1% of GDP

The piracy of cables, wires and switches generates millions of soles in annual losses for the country, in addition to eliminating around 200,000 formal jobs.

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The marketing of counterfeit electrical products generates annual losses for the country of up to S/ 9,709 million, according to a study carried out by DEE Consultores on behalf of INDECO by Nexans. This figure would translate into 0.97% of GDP.

It is also estimated that 30% of the electrical devices that enter the country are counterfeit: read cables, copper and aluminum wires, switches, switches, among others. Taking into account that figure and the link of the sector with various economic activities, It is estimated that the marketing of pirated products causes the annual destruction of 194,939 formal jobs. Likewise, the State stops receiving S/ 70.4 million in tax collection.

However, the use of counterfeit electrical products not only has an economic impact but also brings problems on a social level. In Peru, an average of 31 fires are recorded every day and, according to the General Corps of Volunteer Firefighters of Peru, 70% of these incidents are due to poor electrical installations, in many cases due to potentially counterfeit products.

Carlos Posada, Institutional Director of the Lima Chamber of Commerce, said that it is important to strengthen the capacities of the officials in charge of control. “There is a deficiency in terms of knowledge of the sectors that we want to control. The effects of the illegal market are not being taken into account. “You must go beyond what the norm says.”

Source: Larepublica

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