1. Unregulated trade in active ingredients causes Counterfeit pesticides Import documents correct? Factory exist? Customs and Regulators Collaboration

2. Increase of CF global trade Seizure quantities higher No proper storage/destruction Investigations difficult International Trade of Counterfeit (“CF”) Pesticides

3. Counterfeit products (fake products) Illegal parallel imports Unregistered pesticides Manufacturing factories do NOT exist? Counterfeit (“CF”) Pesticides  Definition World Health Organization Counterfeit (“CF”) Pesticides  Definition World Health Organization

4. Value Counterfeit Pesticides  Value ECPA survey Europe 2006: 5-7% OECD report 6/2007: 5-7% CLI survey in 2009: expected 9 %  Illegal market 2007: est. US$ 3 Billon Authentic Pesticide Market: US$ 36 Billion

5. Export and import documents “faked” Shipping documents do NOT match Bulk active suppliers to the “counterfeit chain” How do customs and regulators fight this? International Trade of Counterfeit (“CF”) Pesticides

6. Current Investigations Spain Ukraine China Brazil Paraguay Russia Poland Link: Unregulated imports in bulk actives fact finding 9/07 – 11/08 CropLife International  fact finding 9/07 – 11/08

7. Spain Spain - Counterfeit & illegal Pesticides Isofenphos-methyl on peppers cause severe disruption to the food chain and embarrassed regulators in Spain

8. Spain Spain - Counterfeit & illegal Pesticides

10. Biggest ever case of illegal “import” from China –Seizure by Security Services 10/2006 –Volume: 560 tons Ukraine Ukraine – “Uzin” Case

16. Action: Follow the Uzin link to China: China investigation on exports: Fake destination companies in Ukraine Unregulated export of actives from China Product NOT registered in destination country Factories do NOT exist Next steps: Cooperate with China export authorities [ICAMA] Cooperate with China pesticide export industry China China - Current Investigations

17. Shanghai Export Fair March12, 2008 Action: POSITIVE strategy with exporters COOPERATE COOPERATE with fair organizers and government “ The highest way is not fighting every battle and winning but winning every battle without fighting.”* * Sun Tzu China China - Current investigations

18. China China - Shanghai Export Fair: Results 520 booths, 10,000 attendees IPR Shanghai police cooperation with CropLife 59 IPR enforcement actions by CropLife companies Background on potential CFers

19. China China - Pictures of the Shanghai Export Fair

20. CropLife International booth

21. China China - Pictures of the Shanghai Export Fair Enforcement

22. China China - Pictures of the Shanghai Export Fair Enforcement

23. China China - Pictures of the Shanghai Export Fair Enforcement

24. Issue: CFs smuggled via Paraguay from China Solution in Paraguay Solution in Paraguay Solution in China Solution in China Actions in Paraguay: Import documents faked Registration documents not correct Manufacturing factories do NOT exist Brazil Brazil - Current investigations

25. Export Routes

26. Paraguay Paraguay - Update on investigations CropLife works with government regulators CropLife investigates factories in China CropLife and police action in Paraguay

27. Paraguay Paraguay - preparation for raid Prior illegal product smuggled into Brazil, China link

28. Paraguay Paraguay - preparation for raid Prior illegal product smuggled into Brazil, China link

29. Paraguay Paraguay - preparation for raid Prior illegal product smuggled into Brazil, China link

30. Paraguay Paraguay - preparation for raid Prior illegal product smuggled into Brazil, China link

31. Paraguay Paraguay - preparation for raid Prior illegal product smuggled into Brazil, China link

32. Paraguay Paraguay - preparation for raid

34. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este

35. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este

36. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este

37. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este

38. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este – China Link

39. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este – China Link

40. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este – China Link

41. Paraguay Paraguay - Raid, April 9, 2008 Ciudad del Este – China Link

42. Paraguay Paraguay - next steps Linking seized pesticides with “factories” in China: Pedrol Factory, China, agrost-online@hotmail.com agrost-online@hotmail.com SuzhouWorldbest, Aro-Bichemical Co. Ltd, China PR Shenzen K(?)ina Phosphide (sic) Company Nanjing N 1 Pesticides Company

43. Russia Russia - Counterfeit & illegal Pesticides

44. Poland Poland - Counterfeit & illegal Pesticides

45. A major source of CF pesticides caused by unregulated trade Solutions: International trade – exporters & importers Transparency in shipping documents Know Your Customer, shipping documents Know Your Supplier, verify China factory Global Goal 2008

46. A major source of CF pesticides caused by unregulated trade Solutions: Domestic trade Use only legally registered pesticides Buy at reliable retail outlets [get a receipt] Police / industry cooperation [PSOR example] Global Goal 2008

47. A major source of CF pesticides caused by unregulated trade Solution: Customs and regulator cooperation Export and import documents must match Name of manufacturing factory on import documents Customs database to legal factories GOAL: Transparency in shipping documents Global Goal 2008

48. Thank you