This year has seen massive government action against VCD and software pirates - but some allege the Government itself has created the environment for pirates to thrive.
By conceding to demands from the United States and local film companies, it is alleged that the Government has made a subtle alteration to the copyright regime which gives reduced choices and higher prices to everyone - and a market opening to pirates.
At issue are 'grey' or 'parallel' imports - products which are 100 per cent genuine but originally destined for other countries.
Because prices in Hong Kong may be much higher than in other parts of the world, entrepreneurs can buy the product in bulk elsewhere and move it to Hong Kong to undercut the product as imported through official channels.
It sounds a minor issue. But this was not how it looked last December, when merchant Siu Tsang-hung was told by a judge in a closed court he was faced with imprisonment.
His crime? Possession of 15 trays of genuine Seven-Up which had been brought into Hong Kong without permission. He escaped with a $10,000 fine.
Thanks to the trademarks or logos on product labels, the Copyright Ordinance also affects not only films, books and music, but a host of other products including handbags, cars, watches, computers, and even shampoo.