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Viewing cable 08MEXICO3612, MEXICO'S PIRACY SURVEY - SURVEY SAYS . . .

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Reference ID Created Released Classification Origin
08MEXICO3612 2008-12-08 22:32 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Mexico
VZCZCXRO1331
PP RUEHCD RUEHGD RUEHHO RUEHMC RUEHNG RUEHNL RUEHRD RUEHRS RUEHTM
DE RUEHME #3612/01 3432232
ZNR UUUUU ZZH
P 082232Z DEC 08
FM AMEMBASSY MEXICO
TO RUEHC/SECSTATE WASHDC PRIORITY 4277
INFO RUEHXC/ALL US CONSULATES IN MEXICO COLLECTIVE PRIORITY
RUEHGV/USMISSION GENEVA PRIORITY 1052
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC PRIORITY
RUEAHLA/DEPT OF HOMELAND SECURITY PRIORITY
RHMFIUU/DEPT OF JUSTICE WASHINGTON DC PRIORITY
RUEATRS/DEPT OF TREASURY WASHINGTON DC PRIORITY
RHEHAAA/NSC WASHINGTON DC PRIORITY
UNCLAS SECTION 01 OF 02 MEXICO 003612 
 
SENSITIVE 
 
SIPDIS 
 
STATE FOR EEB/IPE RACHEL WALLACE 
STATE PASS USTR FOR TANUJA GARDE 
STATE PASS COMMERCE FOR JENNIFER BOGER 
 
E.O. 12958: N/A 
TAGS: KIPR ETRD ECON
SUBJECT: MEXICO'S PIRACY SURVEY - SURVEY SAYS . . . 
 
REF: 08 MEXICO 2866 
 
1. (U) Summary:  AmCham Mexico just released its second 
annual nationwide survey of consumption habits for pirated 
goods in Mexico.  Three-quarters of the Mexican population 
knowingly purchase pirated products, mostly CD's and DVD's, 
due primarily to their lower prices as compared to the 
originals.  On the positive side, almost half of Mexicans 
believe buying pirated good is illegal; most believe that 
piracy does weaken Mexico's security situation as well as 
has a negative effect on Mexico's economy.  As the only 
survey of its kind in Mexico, it offers an insight into 
consumption habits Q who, what, where and why Q and 
establishes a benchmark to measure potential future 
progress in combating piracy in Mexico.  End Summary. 
 
2. (U) On Tuesday, November 25, the American Chamber of 
Mexico published its second annual survey regarding pirated 
goods consumption habits in Mexico.  They celebrated the 
event with a panel of senior-level speakers from the 
executive, legislative and judicial branches of the Mexican 
government, as well as participants from the private sector 
and the media. Keynote speakers included: Under Secretary 
of Economy Felipe Duarte, who stressed the importance 
placed by the Calderon Administration in strengthening the 
Rule of Law and in protecting IPR and fostering innovation 
and competitiveness --two issues for which the Embassy has 
strongly lobbied; PAN Senator Jorge Ocejo, who recently 
presented legislation to reform the customs law and create 
a rightsholders database as well as give customs officers 
more time to seize or detain suspicious or illegal 
merchandise (see reftel); Chairman of the College of 
Magistrates and District Courts Jorge Arturo Camero, who 
has been a key player in fostering IPR awareness and best 
practices in the judicial branch. (Note:  Camero publicly 
thanked the USG for its support in bringing IPR judges and 
experts to share their expertise with Mexican and Latin 
American judges and lawyers.  End note.) 
 
SURVEY OF FOUR MAJOR CITIES 
--------------------------- 
3.  (U) AmCham and the U.S. Chamber of Commerce sponsored 
this survey in order to study the causes of piracy, but 
also to attempt to measure the impact of counterfeit goods 
on the Mexican economy.  Through Grupo IDM, a local market 
research and analysis firm, they conducted a survey in 
September 2008 of 933 Mexicans ages 16-55 Q half of whom 
were women Q living in the four major Mexican cities of 
Mexico City, Guadalajara, Monterrey, and Tijuana.  The 
survey included 21 questions, of which three were open- 
ended, and the average interview lasted 15 minutes. 
 
 
THREE OUT OF FOUR KNOWINGLY PURCHASE PIRATED GOODS 
--------------------------------------------- ----- 
4.  (U) According to the survey, 76 percent of the 
residents of Mexico City, Guadalajara, Monterrey and 
Tijuana knowingly purchased pirated or counterfeit goods in 
2007.  This is down from the previous year, in which 9 out 
of 10 respondents affirmed they had knowingly purchased 
pirated or counterfeit goods.  In the past six months, the 
76 percent who had knowingly purchased pirated goods had 
bought primarily music CD's (63 percent) and DVD's (38 
percent).  Other pirated goods purchased included clothing, 
shoes, glasses, perfumes, videogames, cellphone 
accessories, watches, and cigarettes.  Interestingly, 
consumers are reluctant to purchase such pirated goods as 
medicines, alcoholic beverages and foods due to potential 
health risks. 
 
 
IT WAS CHEAP AT HALF THE PRICE 
------------------------------ 
5.  (U) In one of the open-ended questions, 42 percent of 
the participants attribute the existence of piracy to the 
fact that they are cheaper to acquire.  An additional 27 
percent stated that original brands are more expensive.  7 
percent responded that piracy exists because the government 
is corrupt and allows piracy to occur. 
 
 
MEXICO 00003612  002 OF 002 
 
 
6.  (U) The principal driver for purchasing pirated goods, 
according to 75 percent of the participants, is the price. 
The primary method in which 44 percent of those surveyed 
knew they were purchasing pirated goods was also the price. 
 
 
7.  (U) 47 percent believe piracy to be an illegal act, up 
from 43 percent in 2007.  74 percent of the respondents 
consider piracy to be subversive to Mexico's security 
situation, and 84 percent believe piracy has a debilitating 
effect on the Mexican economy. 
 
EVERYBODY'S DOING IT 
-------------------- 
8.  (U) According to the survey, all socioeconomic levels 
in Mexico participate in the purchase of pirated goods. 
The higher income participants revealed a greater tendency 
to purchase pirated shoes than other socioeconomic 
categories.  Lower income respondents were more likely than 
others to purchase pirated CD's and DVD's.  In terms of 
gender, the purchase of pirated goods is roughly equal 
between men and women.  Men are more likely to purchase 
CD's and DVD's, cellphone accessories, and computer games. 
Women are more likely to purchase shoes, clothing, and 
perfume. By age, 25-34 year-olds buy pirated products the 
most, with ages 19-24 close behind. 
 
9.  (SBU) Post Comment:  This survey offers an interesting 
analysis of the Mexican IP environment and what the public 
and private sectors are up against in their efforts to 
protect and enforce property rights.  That it was produced 
by the local AmCham and was released along with several 
laudatory speeches from government IP officials 
demonstrates how strongly committed the Mexican 
stakeholders are to combating piracy.  Unfortunately, it 
offers no proposals as to what steps should be taken to 
address this issue, something to which the Mexican 
Institute of Industrial Property (Mexico's USPTO 
counterpart) took exception this year, and on which Post 
will work with AmCham and the government to include in next 
year's survey.  AmCham also hopes to conduct a separate 
survey to determine the level of IPR awareness in 
Congressmen.  If successful, this will be quite useful for 
the industry as well as the USG in our efforts to encourage 
stronger IP protection and enforcement legislation.  End 
Post Comment. 
 
Visit Mexico City's Classified Web Site at 
http://www.state.sgov.gov/p/wha/mexicocity and the North 
American Partnership Blog at 
http://www.intelink.gov/communities/state/nap / 
 
GARZA