The estimated value is 52% higher than the ₱26.99 billion in 2023. Last year’s haul from the Bureau of Customs (BOC) accounted for the lion’s share, totaling ₱34.70 billion. 

Among the biggest operations of the BOC included its July operations in Binondo which hauled P11 billion worth of counterfeit luxury goods and its November raid in a Divisoria mall where the agency confiscated ₱7 billion worth of counterfeit luxury goods. 

BOC’s haul was followed by the seizures from the National Bureau of Investigation (NBI) and Philippine National Police (PNP) estimated at ₱3.42 billion and ₱2.83 billion, respectively. 

Meanwhile, the Food and Drug Administration seized ₱30.20 million counterfeit drugs and health-related products.

Under Section 155 of the IP Code, the use, reproduction or imitation of a registered trademark or its dominant feature without the owner’s consent—whether in commerce or advertising—can be held liable for infringement if such use is likely to cause confusion, mistake or deception.

IPOPHL Director General Brigitte M. da Costa-Villaluz lauded the members of the NCIPR for “the proactive work and strategic raid operations to keep counterfeits from reaching markets and households.”

“Counterfeit products harm the economy as they undermine legitimate businesses and market trust, while also exposing consumers to unsafe products that went under the radar of regulatory standard checks,” da Costa-Villaluz said. 

IPOPHL Deputy Director General for Policy, Legal Affairs and External Relations Nathaniel S. Arevalo reassured that the NCIPR will continue protecting IP rights and consumers. 

“The NCIPR will continue to safeguard our borders from being transit points, our warehouses from being hiding dens and our markets from being thriving hubs for counterfeiting,” Arevalo said.

IPOPHL’s Intellectual Property Rights Enforcement Office (IEO) Supervising Director Christine V. Pangilinan-Canlapan encouraged consumers to stop buying fake products, reminding the public of “the high cost of risks to what seem like bargain prices.”

Instead, Pangilinan-Canlapan enjoined consumers to be vigilant and report against counterfeit advertisements and transactions through the IEO’s reporting channels: operations@ipophil.gov.ph, its Facebook page and mobile number 0966-769-1448.

The designation, issued through Department Order 25-02, comes following the end of the term of former Director General Rowel S. Barba effective Dec. 31, 2024.

As OIC, Arevalo is directed to manage all functions, activities and operations of IPOPHL and promulgate rules and regulations necessary for the effective implementation of objectives, policies, plans, programs and projects of IPOPHL in accordance with the law.

“IPOPHL’s thrust for quality public service will be sustained in this interim as we await the new Director General. Stakeholders can expect zero disruptions and the resumption of goals to improve the efficiency of our processes and the effective implementation of our programs and policies,” Arevalo said.

Philusa President and General Manager Neogin A. Evangelista and Intellectual Property Office of the Philippines (IPOPHL) Deputy Director General Nathaniel S. Arevalo signed the MOU last month. Department of Trade and Industry (DTI) Undersecretary for E-Commerce Mary Jean T. Pacheco was also present at the signing.

“The counterfeiting of personal care, baby care, home care, as well as health and wellness products offered under PHILUSA brands pose serious health risks to consumers. That is why facilitating the entry of IP rights owners like PHILUSA into this E-Commerce MOU will help to serve public interest,” said Arevalo during the signing.

“By joining the MOU, PHILUSA signals its proactive approach to protecting Filipino families’ health and safety from the harmful effects of fake products, and their commitment to offer only quality, authentic products,” Arevalo said.

“We are grateful for the partnership with IPOPHL, together with the DTI, in formalizing E-Commerce MOU. This agreement is a vital step in protecting IP and safeguarding consumers from counterfeit products,” Evangelista said.

“Our brands reflect our promise and dedication to deliver world-class quality and affordable products to Filipino families. Protecting our intellectual property by taking part in this grand collaborative effort will not only help us fulfill this commitment but also build a safe e-commerce environment for our people,” he added.

There are now 45 signatories to this collaborative initiative, including four of the largest e-commerce platforms in the region and in the Philippines: Lazada, Shopee, TikTok Shop and Zalora.

Philusa will join the ranks of other signatories from the pharmaceutical sector and manufacturers of fast-moving consumer goods, which include Astellas Pharma Philippines, Inc., GlaxoSmithKline Philippines Inc.; Sanofi; HI-Eisai Pharmaceutical, Inc.; Greenstone Pharmaceutical HK, Inc.; Bayer Philippines, Inc.; Quadgen Pharmaceutical; Unilever Philippines, Inc.; and Procter & Gamble Company. 

Under the MOU, signatories can closely collaborate and directly notify platform members on possible IP violations, allowing a more efficient takedown of online posts selling counterfeit products or pirated content.
IPOPHL facilitates and oversees the continued collaboration of the signatories, monitors the progress of the MOU and elevates signatories’ concerns for enforcement action or uses them as basis for developing improved intellectual property policies

In his opening remarks for the two-day IP Key Southeast Asia IP Mediation Conference held last week, Deputy Director General Nathaniel S. Arevalo highlighted the Bureau of Legal Affairs’ (BLA) programs and initiatives, such as mandatory mediation and allowing online mediation.

He also cited the recent success of the BLA’s Mediation Outside Litigation (MOL). Seeking to resolve IP disputes even before they escalate to formal court or IPOPHL filings, the MOL served as a platform to close six IP disputes between the San Miguel Food and Beverage, Inc. (SMFB) and Gold Label Resources, Inc. (GLRI). 

“Our BLA continuously ensures we have systems and practices in place for an effective mediation process that can mend relationships, establish trust and, ultimately, turn disputes into potential opportunities,” Arevalo said. 

Philipp Dupuis, Minister Counsellor and Head of Trade and Economic Affairs of the Delegation of the European Union to the Philippines, noted the region’s diverse, innovative approaches to IP mediation, citing practices such as preemptive mediation for potential IP conflicts, subsidized mediation programs and cross-border mediation frameworks that address IP issues across Southeast Asia.

“We are pleased to have the opportunity once again for an exchange of best practices and the sharing of more in-depth insights between the Southeast Asian countries and the new EUIPO boards of appeal,” Dupuis said.

The conference provided a forum for delegates to share their mediation procedures and experiences, as well as efforts to promote mediation in their countries. Representatives also discussed challenges, including ensuring impartiality, training mediators with the technical and practical skills needed to encourage parties’ cooperation and securing resources to accommodate a rise in cases.

The discussions emphasized the need for infrastructure that can handle evolving IP dispute demands. IPOPHL, for its part, is actively working to expand its roster of accredited mediators with expertise in emerging technologies to better handle future disputes.

“The European Union remains committed to providing support and continuing the strong cooperation with all our dialogue partners around the world throughout this process,” Dupuis added.

The IP Key SEA is a project directed by the European Commission and implemented by the EUIPO in Southeast Asia. It aims to support IP rights protection and enforcement in the region and facilitate market access to international trading partners, especially EU businesses and innovators. 

BLA Officer-in-Charge Director Christine V. Pangilinan-Canlapan expressed gratitude to the IP Key Project for its active work in helping build a culture of collaboration to improve IP practices in the region.
“We thank IP Key SEA for holding this conference to promote a more positive impact in positioning mediation as the way to go for settling IP disputes. Together, with the EU and our friends in the region, we hope to build an IP culture that can foster innovation and creativity while ensuring our people’s IP rights remain protected,” Pangilinan-Canlapan said.

“We are very confident that when the FATF gray list is taken up this October, it is very possible that the Philippines will already exit the gray list because of our performance in various areas including intellectual property (IP) protection,” said Department of Justice Undersecretary Jesse Hermogenes T. Andres at the 2024 NCIPR High-Level Meeting held on September 24. 

Deputy Director General Nathaniel S. Arevalo echoed the positive outlook while noting that counterfeiting and piracy have been linked to financing activities of organized crime groups.

“Trade in illegal goods is a transnational crime often run by complex criminal networks. Failing to deter illicit goods such as IP infringing goods from the market further emboldens these criminal groups to expand their operations and harm more people and brands,” Arevalo said. 

According to the European Union Agency for Law Enforcement Cooperation, organized crime represents as much as 2.5% or nearly $500 billion of world trade. 

Arevalo said NCIPR’s record-high seizure this year “signifies the relentless efforts of its 15 members to disrupt illicit trade in the country and protect consumers and IP rights holders.”

In the first nine months of the year, the NCIPR seized counterfeits goods with a staggering P35.24 billion in value, a record-high that surpassed last year’s P26.89 billion

“IPOPHL is committed to strengthen efforts at the NCIPR, intensify our cooperation internally and with external members and improve the country’s reputation in the FATF and in the global context as an enabler of creativity, innovation and legitimate businesses,” Arevalo said. 

The gray list is a list of countries which are actively working with the FATF to improve the effectivenes in combating and preventing anti-money laundering and terrorist financing. As of October 2023, there are 23 countries in the list, including the Philippines

The DOJ spearheads the Financial Intelligence, Law Enforcement and Prosecution Sub-Committee (FILEPSC) while IPOPHL sits as member. The FILEPSC is a sub-committee of the National Anti-Money Laundering/Countering the Financing of Terrorism Coordinating Committee, the body that oversees the implementation of the National Anti-Money Laundering and Counter-Financing of Terrorism Strategy (NACS) approved in 2018

IPOPHL Deputy Director General Nathaniel S. Arevalo signed the request on May 3, 2024 after a decision was issued on May 2, 2024, by IPOPHL’s IP Rights Enforcement Office (IEO) Supervising Director Christine Pangilinan-Canlapan. 

The IEO found that the 11 sites associated to YTS, namely yts.mx, yts.rs, yts.do, ytsuproxy.to, yts.dirproxy.com, yts.unblocked.love, ytssss.jamsbase.com, yts.lt, yts.ag, yts.am and torrents.yts.rs., all committed piracy or copyright infringement, violating Section 216 of the Intellectual Property Code of the Philippines, as well as Memorandum Circular 23-025 or the Rules on Voluntary Administrative Site Blocking. 

“A thorough examination reveals that all of the aforementioned websites are hosting pirated versions of movies or TV shows, allowing users to access these illegal copies by downloading them through links on the same website or by streaming them online,” read the IEO decision.

Infringers were operating by using various methods to distribute and access copyrighted material illegally, including via peer-to-peer networks for sharing files, hosting content on illegal streaming websites, distributing files via direct downloads and using tools like virtual private networks (VPNs) to hide their activities. 

According to the decision, the websites under complaint are also listed in the WIPO Alert, a data-sharing platform on piracy of the World Intellectual Property Organization.

The YTS is the official home of YIFY, one of the world’s most prolific sites involved in the illegal replication and distribution of copyright content. A 2015 report from the Motion Picture Association (MPA) of America said the site has a library of some 4,500 infringing motion picture titles.

“Millions of netizens visit this website so this a major win for the creative industry. We encourage more stakeholders to come forward, file a complaint and further disrupt access to piracy websites,” IPOPHL Director General Rowel S. Barba said. 

The issuance stemmed from a complaint filed by the MPA, Inc. which lauded IPOPHL for its first site-blocking request.

“This site blocking order and forthcoming blocking actions will have a substantial impact on the Philippines piracy landscape. We will continue to work closely with the Philippines’ government and creative industry in the fight against the scourge of digital piracy,” the MPA said in a statement. 

The MPA’s member studios include Netflix Studios, LLC; Paramount Pictures Corporation; Sony Pictures Entertainment, Inc.; Universal City Studios LLC; Disney Enterprises, Inc.; and Warner Bros. Entertainment, Inc., among others.

As to the administrators of the pirated sites, they could not be contacted as they are unknown or could not be ascertained after reasonable efforts to identify them. Hence, as a way of notification according to the rules on site-blocking, IPOPHL posted the request on its website. After giving respondents five working days to respond or raise any protest against the decision, IPOPHL served the site-blocking request to the National Telecommunications Commission (NTC) and internet service providers (ISPs) on May 14. 

The NTC issued on May 16 a memorandum order directing all ISPs to effect the immediate blocking of the websites and report within five days the actions they have taken. As of May 18, almost all ISPs that are signatories to the site-blocking memorandum of understanding have cut access to the sites

IPOPHL’s Director General Rowel S. Barba and CDA Chairman Undersecretary Joseph B. Encabo signed the Memorandum of Agreement (MOA) on June 16, 2023, marking a significant step toward enhancing IP knowledge, promoting alternative dispute resolution and streamlining the resolution of IP-related conflicts within the cooperative sector.

The agreement mainly focuses on building the capacities of CDA personnel in matters related to IP, alternative dispute resolution (ADR) and adjudication. Lastly, the MOA establishes an ADR referral system designed for streamlining the resolution of  IP disputes. 

“The MOA between IPOPHL and CDA encompasses several crucial provisions that will have a profound impact on cooperatives across the country,” Bureau of Legal Affairs (BLA) Director Nathaniel S. Arevalo said. 

Barba expressed his enthusiasm for the MOA, considering it a remarkable milestone in safeguarding the IP rights of cooperatives. 

“It is crucial to foster collaboration, knowledge sharing and the utilization of cost-efficient ADR methods to enable cooperatives to thrive, innovate and have their IP rights effectively protected,” Barba said.

Encabo highlighted the importance of the MOA in fulfilling the mandate of both agencies for socioeconomic development, social justice and equity. He said the MOA will contribute to a “fair and inclusive business environment” empowering cooperatives and ensuring the protection of their IP rights.

The inception of the MOA stemmed from a meeting between the two agencies during the Office of Alternative Dispute Resolution’s 2022 awards ceremony where IPOPHL received recognition for its substantial contributions in promoting ADR. Arevalo and Deputy Administrator of the CDA’s Legal Affairs Service Leah Banagui-Han acknowledged the need for collaborative efforts to bolster the protection of IP rights and cooperative rights in the country.

BLA Assistant Director Christine V. Pangilinan-Canlapan emphasized this collective responsibility of IPOPHL and CDA representatives to work hand in hand with cooperatives, industry stakeholders and the wider community to promote a culture of respect for IP rights. She stressed the significance of forging strong partnerships and collaborative initiatives to create an environment that celebrates and protects the intellectual capital that defines our cooperatives.

As of 2020, over 8,800 operating cooperatives exist in the country. Reporting cooperatives alone, which make up about 58% of the total, recorded 11.5 million members and generated employment of about 365,000.