Canada needs stricter laws and harsher penalties for people who make counterfeit products and retailers who knowingly sell knock-off goods, the Canadian Anti-Counterfeiting Network said Tuesday.

Little progress has been made in tackling the growing problem of counterfeiting in the four years since the advocacy group handed down recommendations to combat it, the network said in its executive update to its 2007 Report on Counterfeiting and Piracy in Canada: A Road Map for Change.

"Despite two parliamentary committees unanimously calling for reform and commitments in throne speeches, insufficient changes have been implemented to adequately address the evolving international and domestic trade in counterfeit and pirated products," it said.

The network, a coalition of individuals, companies, firms and associations against counterfeiting in Canada and internationally, said Canada was an attractive environment for pirated goods.

"The lack of resources combined with outdated laws makes Canada a lucrative, low risk target for international and domestic IP criminals." the group said.

The thriving counterfeit goods industry in Canada was highlighted in September, when the RCMP seized 190 fake Winnipeg Jets jerseys just weeks after the NHL team released its official design. The pirated merchandise was worth $76,000.

However, while knock-off T-shirts and fake branded goods used to be the product of choice for counterfeiters, criminals now make illicit versions of virtually everything from pharmaceutical products, software, food, wine and automobile parts, according to the network.

These fake goods are of questionable quality, made by criminals who cut corners and use unsafe components and ingredients, raising serious health and safety concerns for Canadians, the network added.

Network wants more powers for border agents

In 2007, a 57-year-old woman from Vancouver Island died, and was believed to have been poisoned by sedative and anti-anxiety pills she bought through a website. The pharmacy claimed to be in Canada.

The network called on the government to allocate more human resources to tackling the issue, and empower border agents the authority to seize pirated goods. Under existing legislation, the Canada Border Services Agency can only confiscate counterfeit products if the RCMP or police agree to seize them, or if the intellectual property owner has a court order.

"The harsh reality is that despite a number of government reports encouraging action, recommendations from CACN and other groups and almost five years of continued border infringement, Canada has no effective system for dealing with counterfeit and pirated goods at the border."

The network also called for the establishment of an intellectual property crime task force, and the creation of a reliable counterfeit reporting system to effectively track the problem.