"The makers of counterfeit production provide a negative background that forces investors not to hurry to make investments into our economy," he said.
In Simonov's words, "this is weed that prevents green sprigs from growing; it must be mowed down."
The service head said that only in March-June 2004, law enforcement bodies blocked the activity of 230 underground enterprises; 2,300 criminal and 14,000 administrative cases were launched; counterfeit products worth 750 million rubles were confiscated.
At the same time, Simonov said that "protection of intellectual property rights is first of all the business of copyright holders themselves."
"The state must assist them in that, create conditions for an environment of bona fide competition to appear in the sphere of intellectual property," said the head of the Federal Service.
A consultative council is being created under the Federal Service on Intellectual Property, Patents and Trademarks, which will unite bona fide Russian and foreign companies - those who create intellectual property, said Boris Simonov.
He emphasized that "building a legal environment in the sphere of protection and use of intellectual property is only possible in a constant dialogue with the public." Among the main aims of the council, Simonov named "searching for efficient ways to protect property, working out proposals to improve legislation, creating an environment for bona fide competition and a favorable investment climate, as well as formation of public opinion."
"The consultative council will work permanently," said the head of the federal service, adding that committees for trademark protection, for the fight against counterfeit products, and for intellectual property capitalization will function in its framework. "The public and bona fide producers must take part in protection of the consumer from counterfeits on the market, and this means the protection of health and even the life of people," Simonov said.
The federal service head expressed regret in connection with the fact that the share of immaterial assets in the balance of Russian enterprises does not exceed 1-4%, whereas in the West, this figure reaches at least 60%. "Society can't be built on knowledge without introducing the notion of intellectual property," he stressed. "However, the share of immaterial assets in the balance of our enterprises may be brought to 40-50% in the years to come," Boris Simonov concluded.
