Counterfeit Goods Bill Policy Summary

Counterfeit Goods (Establishment) Bill, 2021 National Assembly of the Federal Republic of Nigeria — Senate

What Is This Bill?

The Counterfeit Goods (Establishment) Bill is Nigeria's legislative proposal to introduce comprehensive legal measures against the trade in counterfeit goods. Sponsored by Senator Ibikunle Amosun (APC, Ogun Central), the 26-clause Bill seeks to protect owners of trademarks and copyrights by prohibiting the manufacturing, production, possession, importation, exportation, and distribution of goods that unlawfully bear or incorporate the subject matter of protected intellectual property rights. The Bill establishes enforcement mechanisms, inspector powers, customs authorities' roles, designated storage facilities (counterfeit goods depots), and graduated penalties for offenders.

Who Does It Target?

Manufacturers, producers, distributors, importers, and exporters of counterfeit goods Retailers and market traders who possess or sell counterfeit goods in the course of business Customs authorities responsible for border control and the interception of illicit imports Owners and licensees of intellectual property rights (trademarks, copyrights) seeking enforcement Consumers and aggrieved purchasers of counterfeit goods who may seek compensation Inspectors appointed or designated by the Minister of Trade and Investment

What Does It Aim to Achieve?

Prohibit and criminalise all acts of dealing in counterfeit goods across manufacturing, distribution, import, export, and retail channels Protect intellectual property rights holders — including trademark and copyright owners — from the unlawful commercial exploitation of their protected goods Strengthen Nigeria's legal framework for anti-counterfeiting enforcement through a dedicated, consolidated statute Reduce Nigeria's role as a major destination and transit route for counterfeit and pirated goods in West Africa Safeguard consumers from dangerous or substandard counterfeit products, particularly in pharmaceuticals, food, electronics, and automotive parts Provide aggrieved purchasers of counterfeit goods with statutory remedies, including triple-value compensation awards

Key Features

Comprehensive Prohibition: Bans possession for business purposes, manufacturing (except strictly private use), sale, exhibition, distribution, import, and export of counterfeit goods Inspector Powers: Authorises appointed inspectors to enter premises, search vehicles, seize suspected goods, and collect evidence — on court-issued warrants or, in urgent circumstances, without one Customs Authorities: Empowers the Comptroller General of Customs, on application from IP rights owners, to seize and detain counterfeit goods at the border during importation Counterfeit Goods Depots: Enables the Minister to designate secure storage facilities for seized goods pending legal proceedings Court Search Orders: Allows IP rights owners to apply ex parte to a High Court for search, seizure, and attachment orders before or during civil proceedings Graduated Penalties: First conviction — fine up to ₦5,000 per article and/or up to 3 years imprisonment; subsequent convictions — fine up to ₦10,000 per article and/or up to 5 years imprisonment Consumer Compensation: Provides aggrieved purchasers with a statutory right to receive three times the purchase price upon conviction of the seller Evidence Presumptions: Establishes statutory presumptions of guilt for commercial possession of suspected counterfeit goods exceeding domestic use quantities Current Status & Legislative Progress Bill Stage: Second Reading completed 24 November 2021 in the Senate; referred to the Senate Committee on Trade and Investments with a four-week reporting mandate Sponsorship: Senator Ibikunle Amosun (APC, Ogun Central); introduced as a 26-clause proposal in the 9th National Assembly, 3rd Session Enforcement Gap: No single consolidated anti-counterfeiting statute currently exists; enforcement is fragmented across NAFDAC, Nigeria Customs Service, the Police, and FCCPC Nigeria Customs Service Act 2023: Subsequent legislation has partially addressed customs seizure powers for fake goods, reinforcing the urgency of this Bill's full passage NAFDAC Operations (2024): Goods worth ₦120 billion were seized and destroyed between July and December 2024, highlighting the scale of the problem the Bill seeks to address How to Access / Engage IP Rights Owners: May file complaints with designated inspectors and apply to the Comptroller General of Customs for border seizure orders, providing evidence of subsisting IP rights Consumers: May report suspected counterfeit goods to inspectors and claim triple-value compensation where the seller is convicted Businesses and Investors: May engage the Senate Committee on Trade and Investments or the Ministry of Trade and Investment to track the Bill's passage Counterfeit Goods Depot Operators: May seek designation from the Minister of Trade and Investment once the Bill is enacted Contact: Nigerian Senate — National Assembly Complex, Three Arms Zone, Abuja | nass.gov.ng | Federal Ministry of Trade and Investment: trade.gov.ng

Important Terms

Counterfeiting: The unauthorised manufacture or production of goods that substantially imitate protected goods, or the unlawful application of an IP right to goods Counterfeit Goods: Any goods resulting from counterfeiting, including tools and means used in the process Protected Goods: Goods that lawfully bear or incorporate the subject matter of an intellectual property right with the authority of the IP rights owner Counterfeit Goods Depot: A Ministerially designated secure storage place for goods seized pending court proceedings Inspector: A person appointed or designated by the Minister of Trade and Investment to enforce the Act, including police officers of sergeant rank and above Act of Dealing in Counterfeit Goods: Any prohibited conduct under Section 2(1) — possession, manufacture, sale, distribution, import, or export of counterfeit goods

Impact & Metrics

Nigeria is identified as one of Africa's primary transit hubs for counterfeit and pirated goods, making consolidated legislation a trade and consumer protection priority An estimated 70% of pharmaceutical drugs in circulation in Nigeria were reported to be substandard or counterfeit (WHO, 2020), posing direct risks to public health NAFDAC destroyed counterfeit goods worth ₦120 billion in the second half of 2024 alone, underscoring the economic scale of the problem Global trade in counterfeit and pirated goods is projected by the ICC to approach $1 trillion in value, with Nigeria among the most exposed markets in Africa The Bill's triple-value consumer compensation mechanism represents a novel consumer protection remedy in Nigerian commercial law

Official Resources

Bill Document: Counterfeit Goods (Establishment) Bill, 2021 — available via the National Assembly Bills Portal Website: nass.gov.ng | trade.gov.ng | nafdac.gov.ng | customs.gov.ng Contact: Senate Committee on Trade and Investments, National Assembly Complex, Three Arms Zone, Abuja Summary prepared using the Policy Summary Template | Source: Counterfeit Goods (Establishment) Bill 2021 (NASS), NASS Bills Portal, WHO, ICC/BASCAP, AllAfrica/Premium Times | March 2026

Legal Framework

The Counterfeit Goods (Establishment) Bill, when enacted, would operate under the Counterfeit and Fake Drugs and Unwholesome Processed Foods (Miscellaneous Provisions) Act, the Trademarks Act, the Copyright Act 2022, and the Federal Competition and Consumer Protection Act 2018. It aligns with the TRIPS Agreement (WTO) on intellectual property enforcement, the OECD/EUIPO Illicit Trade Trends framework, and the World Customs Organization standards on anti-counterfeiting.