With the advent of rapid technological advancements and open market access worldwide, both developing and developed countries have gained in some way or the other. However, due to such rapid advancement in technology and unregulated market forces, there has been a staple increase in the grey-market involved in bringing fake, illegal and counterfeit goods to the market, the most affected country is India among other Asia-pacific countries. Currently, Indian economy is significantly hit as India is fighting its battle with the everyday increasing IP infringement issues.

In order to curb such illegal entry of the fake, illegal and counterfeit goods in the Indian market and to reduce expansion of grey-market, the Government of India has taken some considerable steps. One major step for the Customs Department of India was to bring in force the Customs Recordal system in furtherance of its aim to forestall the cross-border movement of counterfeit or infringing goods.
 

Intellectual Property Rights (Imported Goods) Enforcement Rules, 2007

The IP owners in India can take steps to record their intellectual property with the Customs Authority of India for the purposes of monitoring and confiscation. Such recordal can be done under the Intellectual Property Rights (Imported Goods) Enforcement Rules, 2007 along with the Customs Act, 1962, which can act as a preventive measure on the part of brand owners wherein infringing and counterfeit goods can be detected and disposed of at the border itself. The aim of recording intellectual property rights with the Customs Offices is to prevent trade in counterfeit or infringing goods. According to Rule 2(a) of the IPR (Imported Goods) Enforcement Rules, 2007, "infringing goods" means any goods which are made, reproduced, put into circulation, or used in breach of the intellectual property laws and without the consent of the Right Holder or any authorized person.

Steps to Record Intellectual Property with Customs

• An application for recordal of custom is required to be filed with the Customs Authority of India to stop the import of counterfeit/low-quality products.
• The Right Holder must submit an application electronically along with the necessary documents and information on the Indian Customs IPR Recordation Portal.
• A Unique Temporary Registration Number (UTRN) is generated, which along with a physical copy of the documents must be submitted to the IPR cell of the Custom House.
• Within 30 days, a Unique Permanent Registration Number (UPRN) will be issued, serving as conclusive proof of recordation of the intellectual property right.
• An application for recordal of customs can only be filed for a registered intellectual property right, and a separate request is required for each intellectual property right.
• One recordal with the Customs Office will suffice for all ports in India.

Monitoring and Enforcement

• Once recorded, the Customs Office monitors relevant goods imported into India bearing the registered intellectual property right.
• If infringing goods are detected in a consignment, the Customs Office has the right to detain them and inform the Right Holder and the importer.
• A Notice of Suspension of Goods will be issued by the Deputy Commissioner of Customs, detailing the detained consignment, value of the infringing goods, product details, and importer information.

Procedure for Recordal of Custom Application

1. An online application for recordal of intellectual property rights is filed on the Customs website.
2. A Unique Temporary Registration Number (UTRN) is generated upon filing the application.
3. Hard copies of the documents uploaded in the online application are sent along with the UTRN to the Customs Office.
4. Upon approval by the Commissioner of Customs, the UTRN is converted to a UPRN, confirming the recordation.

The period of validity of the custom registration is five (5) years and the same is required to be re-filed after the expiry, in order to renew the same.