ASPA spotlights smart packaging to combat FMCG counterfeits

One of the key sessions, moderated by Ramu Ramanathan, editor of PrintWeek and WhatPackaging?, focused on securing everyday essentials against the rising threat of FMCG counterfeits with smart packaging. The panel featured Swapnil Bhardwaj, head of site quality and regulatory affairs at Tata Consumer Products; Neeraj Singh, director at ABD Maestro; and Bhushan Yengade, founder of Binder Technology Consultancy.

Consumer awareness and literacy gaps

A primary challenge identified by the panel is the varying levels of consumer literacy across the country. Swapnil Bhardwaj says the biggest obstacle to awareness is conveying technical knowledge to illiterate consumers or those who do not use smartphones. He notes that while India has more than 10 local languages, and some products carry information in over 28 languages, a significant portion of the population still cannot read the provided labels.

Bhardwaj emphasises that solutions must be simple enough for a five-year-old to access. However, he observes that many consumers remain indifferent to product safety, rarely checking expiry dates or labels on bottles. Neeraj Singh agrees, stating that while companies are committed to maintaining transparency through QR codes and other digital trials, these tools must be accessible to anyone who seeks them, regardless of their literacy level.

GenZ habits and the demand-supply gap

Bhushan Yengade shared results from recent market research focused on GenZ consumers. The survey shows that 35% of Gen Z respondents have purchased counterfeit products. Despite this, Yengade notes a positive shift in habits, as younger consumers are increasingly proactive about reading labels for protein, fibre, and mineral content. He also points out that GenZ consumers are prioritising recyclable packaging and are more likely to report products if they find discrepancies.

Bhardwaj suggests that a gap between demand and supply often leads consumers to consciously or unconsciously purchase counterfeit goods. He urges a change in consumer habits, stressing that quality remains the only true differentiator between a branded product and a fake.

Securing the last mile

For high-end sectors such as the whiskey business, the industry faces complex challenges including adulteration and parallel imports. Singh says ABD Maestro follows strict state-specific regulations and blending norms to ensure product integrity. The company utilises distribution systems to track products until they reach the "last mile," though Singh admits that controlling every step of a fragmented supply chain remains difficult.

To maintain consumer trust, Singh advocates for regular audits and the use of attractive packaging that appeals to modern social standards. He highlights technical innovations like new style corks and tamper-evident features, such as a red line indicator that remains visible once a bottle has been opened. Singh also advises brands to use their ambassadors to communicate information and validations rather than just for advertisements.

Quality benchmarks in FMCG

Tata Consumer Products maintains rigorous quality checks to combat counterfeiting at the source. Bhardwaj explains that the company conducts 10 to 20 separate checks for raw materials before acceptance, followed by online quality checks, preparation tests, and finished goods testing. These timely interventions ensure that the final product adheres to the brand's standards, which counterfeiters cannot replicate.

The discussion concluded that while technology provides the tools for authentication, the fight against counterfeiting requires a combined effort from stakeholders to imbibe safety knowledge in every consumer.