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Viewing cable 06TUNIS2771, Carrefour Closes its Counterfeit Optical Disc Sales

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Reference ID Created Released Classification Origin
06TUNIS2771 2006-11-17 09:56 2011-08-24 16:30 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Tunis
VZCZCXRO1982
PP RUEHTRO
DE RUEHTU #2771/01 3210956
ZNR UUUUU ZZH
P 170956Z NOV 06
FM AMEMBASSY TUNIS
TO RUEHC/SECSTATE WASHDC PRIORITY 2227
INFO RUEHAD/AMEMBASSY ABU DHABI PRIORITY 0816
RUEHAS/AMEMBASSY ALGIERS PRIORITY 7345
RUEHLO/AMEMBASSY LONDON PRIORITY 1212
RUEHNK/AMEMBASSY NOUAKCHOTT PRIORITY 0804
RUEHFR/AMEMBASSY PARIS PRIORITY 1665
RUEHRB/AMEMBASSY RABAT PRIORITY 8267
RUEHTRO/AMEMBASSY TRIPOLI PRIORITY 0007
RUEHCL/AMCONSUL CASABLANCA PRIORITY 4018
RUEATRS/DEPT OF TREASURY WASHINGTON DC PRIORITY
RUCPDOC/USDOC WASHDC PRIORITY
UNCLAS SECTION 01 OF 02 TUNIS 002771 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR NEA/MAG (HARRIS) AND EB/IPE 
STATE PASS USTR (BELL), USPTO (ADLIN/POGODA), USDOC FOR ITA/MAC/ONE 
(ROTH AND MASON), ADVOCACY CTR (JAMES), AND 
CLDP (TEJTEL) 
CASABLANCA FOR FCS (ORTIZ) 
LONDON AND PARIS FOR NEA WATCHER 
 
E.O. 12958: N/A 
TAGS: KIPR ECON ETRD TS
 
SUBJECT: Carrefour Closes its Counterfeit Optical Disc Sales 
Section 
 
REF: A. Tunis 2534 
B. Tunis 2140 
C. Tunis 1818 
 
1. (SBU) Summary:  The GOT is taking positive steps to target the 
retail sector for enforcement of IPR.  The Tunisian franchisee of 
retail giant Carrefour has stopped its practice of openly selling 
pirated optical discs.  In addition, Carrefour's circulars now 
contain an explicit warning against reproducing its ads, indicating 
that such infringements are against "Artistic and Intellectual 
Property Rights."  GOT officials told EconOff that this development 
is part of a renewed IPR enforcement campaign, for which Post and 
USG officials have actively advocated in recent years.  End 
Summary. 
 
--------------------- 
No More Pirated Discs 
--------------------- 
 
2. (U) In late October, the French retail franchise store in Tunis, 
Carrefour, withdrew pirated CDs and DVDs from its shelves.  In 
addition, Carrefour, for the first time, now includes a copyright 
declaration in its advertisements warning consumers against 
unauthorized reproduction of its ads.  These actions were requested 
by Tunisian authorities after a series of complaints, including 
many, on many occasions, from the USG, about Carrefour's complaisant 
behavior toward suppliers of pirated products. 
 
3. (U) Pirated CDs and DVDs have been sold in Carrefour since its 
opening in Tunis in August 2001.  These products are available 
throughout Tunisia at shops, public markets, and other retail 
chains, including Monoprix and Geant.  The phenomenon has reached 
the point where it is having a marked effect on local manufacturers' 
and retailers' legitimate product sales, as well as movie theatres. 
A recent article in Middle East Online quoted one Tunisian film 
producer as describing the problem of pirated DVDs as an "economic 
catastrophe and a moral crisis"  This effect and the complaints of 
legitimate vendors have not gone unnoticed, and may have helped spur 
the GOT to take action. 
 
---------------------- 
What GOT Officials Say 
---------------------- 
 
4.  (SBU) EconOff and Econ specialist spoke with several GOT 
officials regarding this recent development.  According to a senior 
official from the copyright office (Organisme Tunisien De Protection 
des Droits d'Auteurs (OTPDA)), the recent Carrefour decision to 
comply with IPR requirements is part of a series of GOT actions to 
improve IPR enforcement in the retail sector.  The GOT has 
implemented a strategy to combat IPR violations in the Tunisian 
marketplace.  An inter-departmental commission, with representatives 
from the Ministry of Culture, Ministry of Commerce and Handicraft, 
Customs, Ministry of Interior, the Ministry of Communication 
Technologies, and the OTPDA, has been formed and tasked with 
improving IPR enforcement.  OTPDA has been charged with preparing an 
action plan to combat pirated products and working groups have been 
set up to survey the main problem areas related to IPR enforcement. 
One of the groups has already developed an action plan for issues 
related to the music industry and a second is dealing with the movie 
industry.  An interagency brigade composed of agents from different 
departments (police, customs, and economic control) has been charged 
with executing operations on the ground to enforce and implement IPR 
laws.  Music suppliers, whether national or foreign, will be 
subjected to strict oversight and an authorization will be required 
for the reproduction of music.  (Comment:  This is the enforcement 
task force that OTPDA discussed during a meeting with EconOff and 
USPTO visitor, Darren Pagoda during his recent visit to Post.  End 
comment.) 
 
5. (SBU) EconOff also spoke with an official from the Ministry of 
Development and International Cooperation who knew that Carrefour 
had ceased selling the pirated discs.  He indicated that GOT has 
 
TUNIS 00002771  002 OF 002 
 
 
been working towards this end for a long time and that he expects 
the action to be promulgated throughout the retail sector. 
 
6. (SBU) Comment: Post has taken every opportunity to raise with GOT 
officials the need for a stronger IPR enforcement regime.  TIFA 
negotiations have presented opportunities to broach this issue and 
to provide the technical assistance programs that have helped to 
increase awareness of and enforcement of IPR.  Visits of USG 
officials have also highlighted the weak IPR regime in Tunisia and 
blatant IPR violation cases such as Carrefour and several other 
retail giants operating in Tunisia.  Post and USG visitors have been 
able to stress the point that serious measures demonstrating 
stronger IPR protection were essential before Tunisia would be able 
to attract greater foreign direct investment and to strengthen the 
economic ties between the U.S. and Tunisia.  By taking concrete 
steps, such as the campaign to remove pirated media products from 
the retail sector, the GOT hopes to send a clear signal about its 
determination to respect and protect IPR.  End Comment. 
 
GODEC