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The Authentication Times Issue 33

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Dear Readers,

Welcome to the 33rd edition of The Authentication Times.

In, The Authentication Times, we continue to raise the issue of
counterfeiting, which impacts the consumers and society by large.
Our current edition focuses on the follow up story on issue of rising incidents of fake baby infant milk products. We are proud to say that The Authentication Times covered this story in its 30th edition as well.

Managing food safety standards across a global supply chain is complex and challenging. However, steps must be taken to ensure safe and secure shipping, and distribution of food products that end up in consumer's hands. In a recent development, Food Safety and Standards Authority of India

(FSSAI) have announced notification for organic food traceability. To protect the 25 million babies born every year in India, it is essential to protect baby milk powders and other nutritional products from the scourge of counterfeiting. The Authentication Times urges, FSSAI to take similar steps for all food items especially baby food products.

The cover story again highlights this issue of fake baby milk, challenging issue in detail covering aspects such as its impact, consequences and why the importance of secured packaging is becoming need of an hour.

In this issue, you will also find interesting developments happening in traceability via block chain technology, GS1 view on food traceability along with latest news from industry.

We hope you will found this issue informative and interesting and as always, we look forward to receiving your feedback.

Chander S Jeena
Editor, The Authentication Times

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The Authentication Times Issue 33

  1. 1. The Official newsletter of Authentication Solution Provider' Association (ASPA) Feb - Mar 2018 | Volume 12 | Issue 33 CELEBRATING YEARS OF AUTHENTICATION 1998-2018 Rising case of fake infant milk remains a serious concern. Issue No. 30
  2. 2. Viewpoint DearReaders, rd Welcometothe33 editionof TheAuthenticationTimes. In, The Authentication Times, we continue to raise the issue of counterfeiting,whichimpactstheconsumersandsocietyby large. Our current edition focusses on the follow up story on issue of rising incidents of fake baby infant milk products. We are proud to say that th TheAuthenticationTimescoveredthisstoryinits30 editionas well. Managing food safety standards across a global supply chain is complex and challenging. However, steps must be taken to ensure safe and secure shipping,anddistributionof food productsthatendup inconsumer's hands. In a recent development, Food Safety and Standards Authority of India (FSSAI) have announced notification for organic food traceability. To protect the 25 million babies born every year in India, it is essential to protect baby milk powders and other nutritional products from the scourge of counterfeiting. The Authentication Times urges, FSSAI to take similar stepsfor allfooditemsespeciallybabyfoodproducts. The cover story again highlights this issue of fake baby milk, challenging issue in detail covering aspects such as its impact, consequences and why theimportanceofsecuredpackagingis becomingneedof anhour. In this issue, you will also find interesting developments happening in traceability via blockchain technology, GS1 view on food traceability along withlatestnews fromindustry. We hope you will found this issue informative and interesting and as always,we lookforward toreceivingyour feedback. Chander S Jeena Editor, The Authentication Times In this issue PUBLISHED BY Authentication Solution Providers’Assciation (ASPA) EDITORIAL TEAM Issue Editor: C S Jeena Principal Correspondent: Sanjiv Singh IMAGE CONSULTANT P R Mantra PRINTED BY Gopsons Papers Ltd. A - 2&3, Sector 64, Phase 3, Noida, India The Authentication Times is a quarterly newsletter published by ASPA with an aim to provide latest developments, research, articles, patents and industry news to a wide audience related to Authentication in India and World. The editorial team welcomes your news, contributions and comments. Please send your product updates, press releases, conference announcements or other contributions to ASPA: 21-Ground Floor, Devika Tower 6 Nehru Place, New Delhi 110019, India Telfax: +91 (11) 41617369 | Email: info@aspaglobal.com | Website: www.aspaglobal.com Disclaimer: The data used here are from various published and electronically available primary and secondary sources. Despite due diligence the source data may contain occasional errors. In such instances, ASPA would not be responsible for such errors. Upcoming Event's The Authentication Forum 2018 March 15-16, 2018 Delhi, India Security Document World June 25-27, 2018 London, UK Tax Stamp Forum May 7-9, 2018 Nairobi Kenya INDEXIssue 33 4-6 Rising case of fake infant milk remains a serious concern. Achieve Food Safety through Global Standards Establishing Organic Food Products' Traceability mandatory, says FSSAI SON Unveils Product Authentication Mark Logo Questionnaire How blockchain is strengthening tuna traceability to combat illegal fishing News 7 1-3 11 8 9 13-15
  3. 3. 1 COVER STORYIssue 33 n what can be a major threat for the Iinfants across the world as Malayasian authorities have again exposed fake babymilkscaminthecountryrecently. The authorities in Malaysia's Johor State have seized over 210 boxes of suspected fake formula from stores. Three of the locations raided by the authorities found that storekeepers had scattered the boxes of fake infant formula among the containers of the legitimate product but had continued to sell the counterfeit product for the same price (about $50 per box). To make the task of tracing the fake product back to its original source a more confounding matter, the authorities discovered that the receipts and invoices being issued by the retail stores had been using a label that included the address for a made-up manufacturing company. In their post, Enfagrow also included some tips on how to differentiate between real and fake milk powder, whereby one of the easiest steps is to look at the individual foil pouches. Apparently, if it is a counterfeit item, there will be distinctive sharp creases on both sides whereas the original milk powder wouldappearpuffy. However, it is not the first incident in recent times when the infants milk products have been counterfeited. In 2016, nine people were arrested in China for selling fake baby formula under the brands Similac and Beingmate, and about 1,000 cans of milk powder, 20,000 empty cans and 65,000 fake Similac trademarks were seized. More than 17,000 cans had reached retailers' shelves. The story is not new for China either, as in 2008, an estimated 300,000 victims in China, six babies died from kidney stones and other kidney damage and an estimated 54,000 babies were hospitalised. In India, according to a survey conducted by the Food Safety and StandardsAuthority of India (FSSAI) in 2011, 68.4 per cent of milk served throughout the country was found adulterated, which itself defines the grim situation and calls for strict rules over fake and adulterated milk. Last year, one of biggest states in India, Tamil Nadu's dairy minister Rajendra Balaji alleged milk Authorities confiscate 210 boxes of fake milk formula from shops in Malaysia In their post, Enfagrow also included some tips on how to differentiate between real and fake milk powder, whereby one of the easiest steps is to look at the individual foil pouches. Apparently, if it is a counterfeit item, there will be distinctive sharp creases on both sides whereas the original milk powder would appear puffy. Rising case of fake infant milk remains a serious concern.
  4. 4. 1850's: New York Milk Scandal 2 COVER STORYIssue 33 adulteration by private firms, saying there were contents of caustic soda and bleaching powder in the milk products. Balaji was not worried about the health secretary's earlier report to the court claiming that no such adulterants were discovered. He stated that he has with him laboratoryresults,whichprovehis claim. Adulteration of milk and other dairy products has existed since old times. In 1850's, the Swill Milk Scandal in NewYork had resulted in an estimated death of 8,000 infants at that time. It was named swill milk because cows were fed swill, which was residual mash from nearby distilleries. The milk was whitened with plaster of Paris, thickened with starch and eggs, and hued withmolasses. The story has not changed in the last 150 years, the fraudsters are still playing with the health of children and emotions of parents. Because of the increased demands, high growth in competition in the dairy markets and increasing complexity of the supply chain, some unscrupulous milk producers are still indulging in milk fraud. This malpractice has become a big common problem in the developing countries. Milk is often subjected to fraud (by means of adulteration) for lack of proper hygienic conditions of processing storage or financial gain, transportation and marketing. The issue has become a serious issue as in between December 2013 and January 2014, Interpol and Europol confiscated more than 1,200 tons of counterfeit or substandard food and almost 430,000 litres of counterfeit beverages including more than 131,000 litres of oil andvinegar. Theneed of securepackaging The increase in various incidents over the globe has highlighted the importance of tamper evident food packaging. The worldwide need for anti-counterfeiting labels for food is substantial. According to Dr. Arvind Shenoy an expert with over 42 years of experience in food analysis and testing, as much as 25 - 30 per cent of edibles sold in the market are intentionally adulterated. He further cited that it is difficult for the consumer to detect the extent of adulteration. It can be intentional, unintentional or natural. Especially items like baby food and nutritional products need special attention and require simply no room for compromise on any level. At a preventive step, all these types of items which already come in packing items should be combined with at-least one level of authenticationsolution. Importance of SecurePackaging  There are end numbers of authentication solutions available in market, which can be integrated with primary and secondary packaging to prevent risk of tampering.Although any package can be breeched, tamper-evident features cannot easily be replaced. Tamper- evident features include banding, special membranes, breakaway closures, and special printing on bottle liners or composite cans such as graphics or text that irreversibly change upon opening. For example, Ames International Inc. a Tacoma,Wash.-based company that sells chocolates and nuts uses a variety of t a m p e r- e v i d e n t t e c h n i q u e s t o accommodate the breadth of containers. For canisters and jars, Ames applies an induction seal across the mouth of the container and for boxes of chocolates, shrink wrap provides evidence if the packaged is opened. Similarly, one of the major players in food packaging companies in India ITC offers a range of value additions for carton board packaging such as UV offset printing, Foil Stamping, Embossing, Window patching & lined cartons, etc. Numerous
  5. 5. COVER STORY 3 types of tamper evident or tamper resistant label product configurations havebeendeveloped.Theseinclude;  Multi-layered substrate constructions that de-laminate or separate to reveal hiddenmessage  Fragile or ultra-fragile label stocks that provide tamper evidence due to their low structural integrity. Usually combined withahighstrengthadhesive  Security labels incorporating security cuts which enable the label to break-up when removal is attempted, i.e. in productpricinglabel  Pilfer indicating seals that incorporate an adhesive activated dye that exposes as hidden message if attempts are made to re-sealacontainer  Shrink sleeves that partly or completely envelop the pack closure. The sleeves can also be perforated to enhance tamper- evidence  Tape seals that contain unique features that make it apparent that seals have been removed In September 2016 issue of The Authentication Times, we raised a similar concern and published our cover story on FAKE BABYMILK. Food adulteration is a serious issue, which needs to be investigated as a potential food safety and public health concern at the earliest. The chances of fake products manifold in absence of secured packaging, and we need to be extremely careful especially when it is about the health of children and our people. To protect millions of babies across the world it is essential to protect baby milk powder and other nutritional products from the scourge of counterfeiting. This can be achieved by securing supply chains through authentication, track-and-trace and other digital solutions, as well as by applying tamper-proof or tamper-evident physical solutions onto packaging, such as security labels and holograms. Government has a big role to play in mandating such measures in the interest of public health and safety while also generating awareness of the issue. Only by all stakeholders - industry, government, solution providers – coming together can we protect the health of the most vulnerable members of our society. For detailed read Issue 30, September 2016, The Authentication Times. Issue 33 VOLUNTARY PRODUCT REPLACEMENT PROGRAM Picture 1 Product Targeted by Counterfeiters Picture 2 Replacement Product Key Identifiers  New placement of MJN Logo  New hexagonal DHA+ARA Logo (versus round)  New hexagonal MFGM Complex logo  Step number in white (versus blue) The manufacturer of Enfalac infant formula has asked consumers and retailers to return the affected products for replacements. (Image: Facebook/Mead Johnson Malaysia)
  6. 6. EXPERT’S VIEWIssue 33 Achieve Food Safety through Global Standards 4 ood crises are not new to India. As Fper a news report published by the US Food and Drug Administration (FDA), 'Chicken Tikka Masala products exported from India are recalled due to possible listeria contamination.' According to another news report, US FDA has rejected a number of snack imports made by an Indian company for concerns over high levels of pesticides, mold, and bacteria. With such instances, food safety has become a major issue worldwide and is attracting the attention of regulators, industry,andconsumersalike. An important aspect of food quality and safety assurance is the ability to trace back a product to its source and track its forward movement through specific stage(s) of the extended food supply chains, spanning from 'farm' to 'fork'. This, in turn, enhances product visibility and reduces the chance of unsafe food distribution, facilitating speedy and accurate food recalls whenever required. There is a prevalent need and growing demand for food businesses to implement a transparent, standards-based traceability system, spanning across the supply chain, as ariskmanagementtool. Food supply chains with geographically dispersed stakeholders require efficient and seamless track & trace systems, which use unique identification of food items/consignments captured in barcodes using GS1 global standards. The same standards are used in enabling structured electronic information exchange between supply chainpartners. ManageRecallsEfficiently The greatest threat to the success of food industry today is the possibility of a devastating recall that can destroy reputation and brand image of a company as well as raise consumer safety issues. Worldwide, businesses, consumers, and regulators have a common interest in establishing an affordable, uniform, and interoperable system that can enable supply chain partners to initiate a rapid and efficient recall, and track its progress through to its conclusion. It ensures that the potentially harmful product is no longer availablefor consumption. An effective recall needs seamless dataflow among supply chain partners with unambiguous and unique identification of products, consignments, locations, parties and documents. This, in turn, requires implementation of globally accepted GS1
  7. 7. 5 Issue 33 standards within the food supply chain crossing over geographically dispersed partners and complying with the requirements of varied buyers/regulators worldwide. BuildConsumerTrust Traceability is an in dispensable tool to fulfil consumers' need for additional product information to ensure that it conforms to the nutritional requirements, consumers' religious beliefs, and respects theirlifestylechoices. Further, with rising incidents of unsafe food making way into supply chain, consumers need assurance on food safety through access of information at different stages in the supply chain. With traceability, firms can thus build a relationship of trust with their consumers through their capability to provide information related to any item, at any point, whenever required. This in turn, protects consumer safety and enhances brandreputation. StreamlineGlobalSupply Chains GS1 standards provide a common way to streamline food supply chains worldwide, from multinationalplayers to SMEs. Below are a few examples of the adoption of GS1 standards by food sector: Increasing grape export revenue in India: Agricultural and Processed Food Products Export Development Authority (APEDA), Government of India's agro-trade promotion body in GrapeNet, adopted GS1 traceability solution for the monitoring of fresh grapes exported from India to European Union, etc. The adoption of the solution has improved confidence of importing countries in Indian products, resulting in an increase in grape export revenue. Complying to the European Food Law: The adoption of GS1-based traceability system has helped Synbroad Ltd., a Chinese manufacturer of canned fruit and vegetables, to strengthen its competitive compliancy to the European Food Law and export its products to the European markets. The manufacturer also improved its traceability system by allowing all parties in the chain to register all ingoing and outgoing traceable items to achieve transparency. Strengthening business relationship: A Chinese vegetable exporter enhanced its competiveness in European markets through compliance EXPERT’S VIEW In their post, Enfagrow also included some tips on how to differentiate between real and fake milk powder, whereby one of the easiest steps is to look at the individual foil pouches. Apparently, if it is a counterfeit item, there will be distinctive sharp creases on both sides whereas the original milk powder would appear puffy.
  8. 8. with the European Food Law by implementing GS1-based traceability system and making traceability information electronically available to interested parties. It helped the exporter in building stable business relationship with many European retailers and become their reliable food supplier. Packaging company gains competitive advantage: Vartini Packing implemented GS1 standards based traceability solution to meet the traceability demands of their clients including Unilever and Henkel for real-time visibility. For Vartini Packing, this meant reduced cycle times in responding to traceability requests from clients, from several hours to minutes, and hence reduced administrative costs such as information searching. With increased confidence of their clients, Vartini saw 20 per cent increase in sales withtheirmajorclients. MeetRegulatoryCompliance Understanding the benefits of using global traceability standards, retailers and Regulators worldwide are mandating their adoption to ensure food safety. Hence, implementing the global GS1 standards will also enable organisations to increase business opportunities by meeting various Regulatoryrequirementson foodsafety. Further, unique identification of products with global standards, which is one of the milestonesin enabling traceability, facilitate organisations to list their products in national and global product catalogues for buyers and consumers to view product information on scanning of barcodes. In India, the Smart Consumer mobile app of the Department of Consumer Affairs is powered by one such national product data repository– DataKart. Department of Consumer Affairs and Food Safety and Standards Authority of India (FSSAI) have each directed manufacturers of food products, and other consumer goods,to ensure that their product information is available through Smart Consumer mobile app for easy access by consumers. Promote'BrandIndia' India, with its huge expanse of cultivable land, various seasons, huge surplus of cereals, fruits, vegetables, milk, fish, meat and poultry, can be the food basket of the world. But the country has not been able to realise its full potential in terms of productivity, profitability, and export market share on account of several challengesitfacestoday. One of these challenges relate to ensuring food safety across supply chain trading partners, which requires greater use of collaborative partnerships and the use of interoperable systems to capture structured and standardised information related to product movement. This can be achieved through GS1 standards based traceability system where each trading partner would share event-specific information with others in the supply chain in a uniform, consistentandaffordablemanner. EXPERT’S VIEWIssue 33 6 Readiness of Indian businesses in implementing food traceability and recall solutions was recently gauged by a study, jointly conducted by CII and GS1 India. It assesses current practices in food supply chains from visibility and traceability perspectives, across food categories. The report can be accessed from CII FACE (www.face-cii.in) and GS1 India (www.gs1india.org) websites. About the Author Charu Khanna (charu@gs1india.org) is Assistant Manager - Marketing Communications at GS1 India – a standards body set up by the Ministry of Commerce and Industry, CII, FICCI, ASSOCHAM, FIEO, IMC, APEDA, Spices Board, IIP and BIS. One of its focus areas is development and implementation of global, ISO referenced standards, which enable food safety and compliance with global regulatory requirements.
  9. 9. 7 POLICY INITIATIVES 7 Issue 33 Establishing Organic Food Products' Traceability mandatory, says FSSAI Stating that it was mandatory for manufacturers of organic food products to establish their traceability, the Food Safety Standards Authority of India (FSSAI) issued a gazette notification containing organic food regulations, laying down those pertaining totheirlabelling,certificationandimport. The notification stated, “Traceability shall be established upto the producer level as applicable under the systems mentioned in Regulation 4 and shall include any other requirements prescribed by the food authority to maintain the organic integrity ofthefoodproduct.” Regulation 4 of this notification describes the applicability of the systems, which include (i) the National Programme for Organic Production (NPOP); (ii) the Participatory Guarantee System for India (PGS-India) and (iii) any other system or standards as may be notified by the country's apex food regulator from time to time. These regulations, which are called the Food Safety and Standards (Organic Foods) Regulations, 2017, will come into forceonJuly1,2018. Amit Dhanuka, former president, All India Food Processors' Association (AIFPA), saiditwas awelcomemove. He added, “Post July 1, no random company will be able to claim that its products are organic. There were a number of products which claimed to be organic, butwereactuallynot.” “With the organic mark and with this move, the end consumer will benefit. The consumer will be assured that the product they consuming is 100 per cent organic if the mark is there on the product,” Dhanuka stated. It is pertinent to mention here that FSSAI has already released the logo for organic food with the name Jaivik Bharat. It also has been made mandatory for the food business operators (FBOs) to carry this logo on the label of the organic food. Meanwhile, the regulations stated that no person shall manufacture, pack, sell, offer for sale, market or otherwise distribute or import any organic food unless they comply with the requirements laid down undertheseregulations. Moreover, FBOs shall also comply with other relevant regulations as applicable, l i k e t h o s e r e l a t e d t o h a n d l i n g , transportation, standards for contaminants, toxins, residue levels [except for the residues of insecticides for which the maximum limits shall be five per cent of the maximum limits prescribed or the level of quantification(LoQ), whicheverishigher]. Further, the regulations said that the seller of organic food, either exclusively or as a part of his retail merchandise, shall display such food in a manner distinguishable from the display of non-organic food. Besides, on the import of organic food, they stated, “Organic food imports, under bilateral or multilateral agreements, on the basis of the equivalence of standards between NPOP and the organic standards of the respective exporting countries, shall not be required to be recertified on import to India subject to their compliance with the provisions of the Act, the rules and regulationsmadethereunder.” The ministry of agriculture, Government of India, has also decided to come up with a new organic farming policy to boost the organic farming in the country. With Sikkim declared as the organic state, many stateshaveadoptedorganicfarming. An official with the ministry stated organic farming could be beneficial to the farmers due to its demand, particularly because export opportunities were great. It was stated that the policy was prepared jointly by the ministries of agriculture, commerce and industry and food processing industries.
  10. 10. 8 SON Unveils Product Authentication Mark Logo In an effort to ensure the authenticity and traceability of products certified to have met the requirements of the relevant Nigeria Industrial Standards or other approved specifications in Nigeria, t h e S t a n d a r d s O r g a n i s a t i o n o f Nigeria has introduced PRODUCT AUTHENTICATION MARK on all locally manufactured and imported products into Nigeriafromthesecondquarterof 2018. Application of PAM on Certified Products Manufacturers/Importers or their authorized representative shall affix the Product Authentication Mark (PAM) only on retail units of certified products as per the terms and conditions for use of the Marks. If the placement of the PAM on retail unit is not possible, the Mark shall be affixed on a package containing two or more Retail Units provided the retail cost of a single unit shall not be more than NGN 50.00. Any person, organization or other corporate body that affix PAM on a product not authorized to bear the Mark e.g. because there is no record of the product in question having been certified is liable for criminal action in accordance with the SON Act 14 of 2015 of Nigeria.  Imported products already in the market can be sold without the new PAM up to one month after the formal launch. No imported product subject to this regulation will be allowed for sale in Nigerian markets without the PAMone month after the formal launch of the Mark  Importers and Local Manufacturers with huge old stock likely to be in the market after the above dateline are advised to apply and acquire the new Product Authentication Mark from SON Procedure for Obtaining PAM Manufacturers of MANCAP Certified Products and Importers of SONCAP Certified products shall apply for issuance of PAM by completing an application form online,on SON websitewww.son.gov.ng. For Importers, application for PAM Stickers MUST be submitted before SON final clearance of the goods from the Ports of Entry. For MANCAP certified products, application for PAM shall be submitted prior to the production of every batch of product with details of certification information. The Manufacturer shall provide half year estimated quantities of certified products retail/sales unit expected tobeproducedandpayfor same. According to officials, Agency destroyed two billion Euro (N896bn) worth of substandard products in two years. The PAM would help consumers identify genuine products from substandard ones as they would bear the stamp of the manufacturer and a consumer would only need to scan a number on the product with a smartphone and all the information concerning the manufacturer, date and expirydatewould popup. Source:http://son.gov.ng/ POLICY INITIATIVESIssue 33
  11. 11. 79 Questionnaire Question 1: Can you please brief us about Optrace? Optrace was established in 2013 as a High Potential Start Up company to manufacture serialised holograms with support from Enterprise Ireland (www.enterprise-ireland.com) and Venture Capital. The company spun out of an extended research programme in holographic applications at Dublin Institute of Technology and employs engineers and scientists with extensive experience in engineering design, optics, lasers, photosensitive materials and holographic techniques. Our first mass production machine was delivered and commissioned in 2016. Question 2: What made you interested in being part of this industry and your views on anti- counterfeiting industry in terms of market opportunities, current challenges, threats etc.? We have long been aware of the global problem of counterfeit goods and their growing adverse economic (Bn$500) impacts. Falsified personal documentation and legal tender are also problematical. Holograms have long been used as anti- counterfeit devices but now are so ubiquitous that they are outgrowing their effectiveness mainly because of failure to check. Besides even the newest holograms are quickly replicated. Holograms can make a valuable contribution to combatting fraud if they can be truly serialised. By that we mean that each hologram is entirely unique. It must also be easily verifiable. Question 3: What are Optrace solutions and strategy on tapping anti- counterfeiting demand? A recording material that requires no physical or chemical processing after exposure is practically essential for serialised hologram production. Optrace uses its patented photopolymer and recording techniques allowing rapid change of the object beam in the hologram recording system. Our holograms can incorporate alphanumeric data, brand logos, personal signatures, portraits and phone scannable QR codes all in volume holographic form. We also supply mass manufacturing machinery as well as point of issue machines for holographic ID. In addition, Optrace's recording machines produce serialized Fourier (and other transform) holograms for use as covert security device to be machine read or red using an appropriate laser pointer. Question 4: How do you see the market and opportunities for photopolymer holographic labels in upcoming years? We are already engaged with the market for low cost reliable optical devices for brand protection, tamper evidence and document (including banknote) security. Ease of use and user confidence will help grow the market. Question 5: How are Optrace solutions different from other competing technologies? The key difference between our solutions and competing technologies is holographic serialisation. The QR code for example is itself a hologram and is a volume rather than a surface hologram. We have also dispensed entirely with the need for mastering. Furthermore, our photopolymer has its own unique set of spectroscopic signatures. Question 6: What is Optrace's budget on Research and Development activities? In the past three years we have spent over €500,000 on our Research & Development. Question 7: How is the response of brand owners towards your solutions? It's been excellent. A wide spectrum of brand owners have clearly seen the potential benefits of serialised holography and want to try our solutions, for applications ranging from high value brands, event tickets, credit cards, personal ID and legal documentation, track and trace. Question 8: Finally, where do you see Optrace in next five years? Now that the barriers to mass manufacture of serialised holograms have been overcome we anticipate new types of holograms. We expect serialised holograms with capability for sensing temperature, pressure, or humidity (all already demonstrated) including reversible and irreversible devices. It is of great importance to us and to our customers to stay ahead of the counterfeiters and make life as difficult for them as possible. We also anticipate significant growth in personnel to about 50 engineers and scientists, and a sales force of at least 10 with a growing dominance in the worldwide market for anti-counterfeit optical devices. Issue 33 INTERVIEW
  12. 12. 11 NEWSIssue 33 How blockchain is strengthening tuna traceability to combat illegal fishing As seen here, once the tuna is caught, a reusable tag is attached, from which information is then automatically uploaded to blockchain. WWF In a significant development f o r g l o b a l f i s h e r i e s , blockchain technology is now being used to improve tuna traceability to help stop illegal and unsustainable fishing practices in the Pacific Islands tuna industry. The World Wildlife Fund (WWF) in Australia, Fiji and New Zealand, in partnership with US- based tech innovator ConsenSys, tech implementer TraSeable and tuna fishing and processing company Sea Quest Fiji Ltd, has just launched a pilot project in the Pacific Islands tuna industry that will use blockchain technology to track the journey oftunafrom“baittoplate”. The aim is to help stop illegal, unreported and unregulated fishing and human rights abuses in the tuna industry. These have included reports of corruption, illegal trafficking and human slavery on tuna fishing boats. It is hoped the use of blockchain technology will strengthen transparency and enable full traceability, thereby countering significant threats to licensing revenue and crew working conditions and safety, and broader impacts ontheenvironment. Blockchainisevolvingbeyond Bitcoin Blockchain technology is rapidly evolving beyond Bitcoin. Emerging applications are geared to improve business in many ways – including supply-chain transparency for all kinds of products. A blockchain is a digital ledger that is distributed, decentralised, verifiable and irreversible. It can be used to record transactions of almost anything of value. Essentially, it is a shared (not copied) database that everyone in the network can see and update. This system provides multiple benefits for supply chains, including high levels of transparency. This is because everyone in the network can see and verify the ledger, and no individual can alter ordeletethehistoryoftransactions. For consumers, this means you will be able to scan a code on an item you want to buy and find out exactly where it has been before landing in your hands. It will be easy to answer those tricky questions about whether or not an item – such as a fish – is sustainable, ethicalor legal. Using blockchaintotracetuna The WWF pilot project will use a c o m b i n a t i o n o f r a d i o - f r e q u e n c y identification (RFID) tags, quick response (QR) code tags and scanning devices to collect information about the journey of a tuna at various points along the supply chain. While this use of technology is not new for supply-chain tracking, the exciting part is that the collected information will then be recorded using blockchain technology. Tracking will start as soon as the tuna is caught. Once a fish is landed, it will be attached with a reusable RFID tag on the vessel. Devices fitted on the vessel, at the dock and in the processing factory will then detect the tags and automatically upload informationtotheblockchain. Once the fish has been processed, the reusable RFID tag will be switched for a cheaper QR code tag, which will be attached to the product packaging. The unique QR code will be linked to the blockchain record associated with the particular fish and its original RFID tag. The QR code tag will be used to trace the rest of the journey of the fish totheconsumer. At the moment, linking tags is not difficult because the project is focusing on whole round exports – that is, the whole fresh fish minus head, gills and guts. It gets a little more complicated when the fish is cut up into loins, steaks, cubes and cans, but the project team is now able to link the QR code tags on the packages of the processed fish with the record of the original fish on the blockchain. While it may be possible to use RFID tags throughout the whole process, the expense
  13. 13. 12 NEWSIssue 33 of these tags could prohibit smaller operators in the fishing industry from participating in the scheme if it expands. There is also potential to use near field communicator (NFC) devices to track the fish all the way to the consumer in the future. Bringing much-needed transparency to the industry While this use of the blockchain is the first of its kind for the Pacific Islands region, it is not a world first. A company called Provenence and the International Pole and Line Association (IPLA) has already completed a successful pilot project tracing products from Indonesian tuna fisheries to consumers in the UK. Provenance is also working on using blockchain to track a range of other physical things – including cotton, fashion, coffee and organically farmed food products. However, the potential of blockchain goes further. For example, Kodak recently launched its own cryptocurrency to help photographers track and protect their digital intellectual property. Blockchain technology is just starting to change the way business is done. If it delivers on its promise of supply-chain transparency, it will be a great tool to help ensure that industries – including the tuna industry – are doing the right thing. This will give consumers more information on which to base their purchasing decisions. For the global tuna industry, which has historically struggled with illegal and environmentally dubious fishing practices, this could be a turning point as visionary fishing companies demonstrate true stewardship and begin to open up the industrytofulltransparency.
  14. 14. 13 NEWSIssue 33 Interpol Pangea completes 10 Years; Medicines worth US $ 240.5 Million seized LYON, France – In the largest action o f i t s k i n d , I N T E R P O L ' s Operation Pangea X targeting the illicit online sale of medicines and medical devices saw some 400 arrests worldwide and the seizure of more than USD 51 million worth of potentially dangerous medicines. Involving 197 police, customs and health regulatory authorities from record 123 countries, Operation Pangea X led to a record number of 25 million illicit and counterfeit medicines seized worldwide. The action resulted in the launch of 1,058 investigations, 3,584 websites taken offline and the suspension of more than 3,000 online adverts for illicit pharmaceuticals. Starting with just eight countries in 2008, Operation Pangea has grown exponentially during the past 10 years, with police, customs and drug regulatory authorities from 123 countries taking part in 2017. A dedicated operations centre at INTERPOL's General Secretariat headquarters in Lyon served as the central hub for information exchange among the participating countries and agencies. From this base, the World Customs Organization (WCO) coordinated activities between participating customs administrations and the Pangea team via its secure messaging system, and a mobile Europol office in Budapest, Hungary also conducted cross- checks. Fig: Among the fake and illicit medicines seized during the international week of action were dietary supplements, pain reduction pills, epilepsy medication, erectile dysfunction pills, anti-psychotic medication and nutritional products. Source: https://www.interpol.int Table: Seizures in Operation Pangea Operation Date & Year Countries Participated Arrests Website taken offline Seized Material In million Estimated Value of seized material in million Pangea X 2017 123 400 3584 25 M $ 51 M Pangea IX 2016 103 393 4,932 12.2 M $ 53 M Pangea VIII 9-16 June 2015 115 156 2410 20.7 M $ 81 M Pangea VII 13-20 May 2014 113 198 11800 9.6 M $ 32 M Pangea VI 18-28 June 2013 99 213 13,700 10.1 M - Pangea V 25 Sep-2 Oct 2012 100 80 18,000 3.75 M $10.5 M Pangea IV 20-27 Sep 2011 81 55 13,500 2.4 M $6.3 M Pangea III 5-12 Oct 2010 44 87 297 2 M $ 6.7 M Pangea II 16-20 Nov 2009 25 12 153 0.67 M - Pangea I 12 Nov 2008 10 - - - S Selvakumar appointed CMD of SPMCIL Selvakumar, has been appointed as Snew Chairman and Manging Director (CMD) of Security Printing and Minting Corporation of India Ltd(SPMCIL). Selvakumar replaces Anurag Agarwal who was appointed to the post on September 27, 2017. The decision also comes days after the SPMCILissued a notice on January 8 to all the four mints in Kolkata, Noida, Hyderabad and Mumbai to stop minting of circulation coins owing to an inventory pile up. The decision, however, was revoked on January 11. The state-owned SPMCIL produces bank notes, coins, postage stamps, non-judicial stamps and other official documents. Selvakumar, a 1997 batch Karnataka cadre IAS officer was appointed as Joint Secretary in DEA in 2015. Earlier, he was director in the Prime Minister's Office and Managing Director of K a r n a t a k a P o w e r Tr a n s m i s s i o n Corporation.
  15. 15. 14 NEWSIssue 33 Currency Note Press (India) to raise printing capacity by 4 million pieces Nashik, India: The Currency Note Press (CNP) Nashik is planning to expand its capacity of printing currency notes.The CNPNashik, which is a unit of the Security Printing and Minting Corporation of India Ltd (SPMCIL), is in the process of setting up a new bank note printing and finishing line at an investment ofINR 200 crore(INR 2 billion). The CNP has invited bids for design, manufacturing, testing, supply, installation, commissioning, training and performance testing of one bank note printing and finishing line. Presently, the press has four lines with capacity of printing 18 million pieces of currency notes per day. After setting up the fifth line, the production capacity will increase by another four million pieces per day, as per media sources. The CNP prints currency notes of all denominations except INR 2,000. Post demonetisation in November last year, so far, it has printed 1,800 million pieces of the new INR 500 denominationcurrencynotes. Currently, CNP Nashik has started printing the new INR 200 currency note and has printed around 3.5 million pieces of INR 200 note so far. It plans to print around 7 million pieces of INR 200 note per day and has already started printing the new version of currency notes with denomination of INR 50. The SPMCIL — printing government currencies and other security documents and manufactures coins — has nine units across the country, including two each in Nashik and Hyderabad and a unit each in Mumbai, Kolkata, Noida, Dewas and Hoshangabad. Of these, there are only two Currency Notes Presses of SPMCIL that prints currency notes. One is located at Nashik, while the otherisinDewas. There are two presses of SPMCILin Nashik — the CNP and India Security Press (ISP). The revenue stamps, stamp papers, passports and visas are printed at ISP, while currencynotesareprintedattheCNP. ASPA raises fake pesticides issue at International Crop-Science Conference & Exhibition A SPA secretariat, Chander S Jeena, presented a paper on topic Fight against Counterfeiting by empowering your consumers (The Smartphone:Anew tool to spot) at the 12th International Crop-Science Conference & Exhibition, organized by Pesticides Manufacturers & Formulators Association of India (PMFAI) held on 9-10th November 2017atHotelClarkAmer, Jaipur, India. PMFAI is a National Association comprising of over 200 Members across the country manufacturing Agrochemicals products. Over 400 delegates from Agrochemicals industry across the globe attendedthisevent. ASPA presentation was in background that the agricultural industry is facing multiple threats as these fake pesticides consists inferior formulations which fail to kill pests and inflict damage on crops. According to media reports the spurious chemicals market is growing at 20 per cent per year resulting is loss of 10.6 million tonnes in food grain production during the current year (2015-16), however, the damage through such products is multi-fold. If, the problem is not addressed it can reach to approximately 40 per cent share by value in thepesticideindustrybyFY'19 inIndia.
  16. 16. 15 NEW DEVELOPMENTIssue 33 PharmaSecure ties up with NDDB to protect branded semen straws o curb sale of fake bovine semen Tstraws, US-based PharmaSecure said it has tied up with the National Dairy Development Board (NDDB) to provide technology to protect the latter's branded straws, thereby safeguarding the country's indigenous cow population. NDDB's dairy service division operates five world class artificial insemination (AI) stations in the country and their branded - Superior Animal Genetics (SAGTM) AI straw contains the frozen semen from the best bulls of different breeds available in the country." Due to the popularity of SAG brand ofAI straws, counterfeiters operating in various states in the country are supplying counterfeit SAG branded AI straws," PharmaSecure, a technology provider, said in a statement.To address this problem, the company said it provided a brand protection solution as part of the agreement inked with Gujarat-based government body NDDB, it said.The solution includes that each semen dose supplied will have a UniqueAlpha Numeric Code printed on the AI straw. Cattle owners, stockbreeders and artificial insemination technicians can authenticate the dose by messaging the unique code to a pre-defined phone number 9900399000, it added." NDDB's dairy service Managing Director Omveer Singh said, "We believe that the menace of counterfeit semen doses will be rooted out through this initiative." Currently, about 82 million AI straws are produced from graded semen stations and about 7 million counterfeit AI straws are produced from non-graded semen stations in the country, he said." We are also going the extra mile with an awareness campaign to encourage the cattle owners to verify the authenticity of AI Straws by making them aware of the codes and authentication procedure. I earnestly hope that this tie- up will play a significant role in safeguarding thehighqualityindigenousbreedsofcow,". Tamper-proof degree certificates to be India government’s first blockchain project The Indian central government is e m b a r k i n g o n i t s f i r s t implementation of a blockchain- based solution in governance with digital certification of education degrees, which will be issued using the distributed computing technology starting with batches graduating in 2019. The trials with what will be the first implementation of IndiaChain, as the blockchain solution is being called, is going to be done with Indian Institute of Technology, Bombay and colleges under the Delhi University. The trials are being done under the aegis of Niti Aayog, the government’s policy think tank, according to a source with knowledge of the development. “The pilot trials will begin soon and once that is successfully completed, the full- scale implementation will start. The plan is to start issuing digital certificates on the blockchain (IndiaChain) from the 2019 batch onwards,” the source said. Land titles could be up next on IndiaChain. “Even though land titles on the blockchain was another implementation being talked about, the process will take much longer as a lot of the states are yet to digitise their land records. Education has already been tested and is comparatively less complex to implement,”thesourcesaid. India has the world’s largest student population of some 315 million. Graduates top five million every year. The Indian government is bullish about what blockchain technology can potentially deliver in governance. During his Budget 2018-19 presentation, finance minister Arun Jaitley announced the government’s plan to clamp down cryptocurrencies but support blockchain adoption for developing solutions. “The Government will explore use of blockchain technology pro-actively for ushering in digital economy,” theministersaid. Soon after the budget speech, Niti Aayog CEO Amitabh Kant had tweeted about the think tank’s plan to start implementing governance projects on the national blockchain, which according to reports will beIndiaChain. Last October, the Massachusetts Institute of Technology launched its pilot program with 111 graduates being given their diploma as digital certificates developed by MIT and Learning Machine on the blockchain that can be secured and verified externally using anapp.
  17. 17. The Authentication Forum Mr. Anil Rajput Vice President, Corporate Affairs ITC Ltd & Chairman FICCI CASCADE Mr. Bakul Chandra Joshi Training & Competency and Brand Protection Leader FMC Corporation Mr. Chandra Mohan Gupta Director, Corporate Affairs Coca Cola India Dr. (Mrs) Jayashree Gupta President, Consumers India & Chairperson, Human Rights Group, SUM & Former Add. Secretary, Govt. of India Mr. K K Gandhi Executive Director (Technical) SIAM EMINENT SPEAKERS Mr. Prashant Behl Associate Partner - Fraud Investigation & Dispute Services Ernst & Young Mr. Ranesh Bajaj Managing Director VINSAK & Consultant Brand Protection Dr. Sandeep S Panwar CEO Farinsys, and Representative, Pesticide Manufacturers' Association of India (PMFAI) Mr. Saurav Mitra Associate Vice- President, Packaging MYLAN Laboratories Mr. Suresh Sati Leading Anti- Counterfeit Investigator & Director Vision Foundation The 5W's of Counterfeiting: What, Who, When, Where, Why? Hear Global perspectives on the fight against counterfeiting Impactful methods to prevent brand infringement - Designing an effective Anti-Counterfeiting awareness campaign Evolution of digital security solutions: Protecting supply chains Advances in physical security solutions The Right Fit: Designing a solution that works for you Learn from case studies by Brand owner What's Next? The future of Anti-Counterfeiting technologies Effective intelligence gathering techniques to nab counterfeiters Register online at www.authenticationforum2018.com or call +91-9650694818 / +91-124-4409361 CELEBRATING YEARS OF AUTHENTICATION 1998-2018 SILVER PARTNER DELEGATE KIT PARTNER EXHIBITION PARTNER KNOWLEDGE PROVIDER SUPPORTING ASSOCIATION MEDIA PARTNER PLATINUM PARTNER GOLD PARTNER OUR PARTNERS Leadership Summit on Anti-Counterfeiting and Brand Protection 15 - 16 March 2018 | Hotel Taj Mahal, Man Singh Road, New Delhi, India Highlights in 2018

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