Taking the first tiny steps toward the enforcement of intellectual property and trademark in this country, the Russian government has cracked down on a growing gray and counterfeit market in Barbie dolls.


Several loads of illegally imported Barbies have been stopped at the border since August, and the Russian Customs Committee is now constantly on guard.


Franz Schneider, manager for the CIS at U.S. toy giant Mattel, the maker of the legendary role-model doll, said the company instigated the crackdown to stop both trade in fake Barbies and a gray market of real Barbies that is being carried on by unlicensed importers.


These breaches of trademark, he said, are costing Mattel money, and hurting its reputation with children. "There have been a lot of tears," Schneider said.


While Mattel tolerates copycat dolls like Sindy, which is widely on sale in Russian kiosks, it decided to take action after fake dolls actually labeled Barbie began coming into Russia from China. Last year Mattel tracked down one source of fake Barbies, and used China's trademark law to close down the factory.


But the major issue for Mattel appears to be protecting the marketing and pricing policy for real Barbies, which are sold at 50 o a license and obeying Mattel's price policy.


Despite these extreme measures, traders, whom Schneider describes darkly as "the mafia," are still bringing in gray-market Barbies. He cites as a key offender the Barbie stand at Detsky Mir, the children's department store in central Moscow.


The problem of trademark breaches in Russia varies from product to product. Software producer Microsoft claims the piracy rate for its products is over 90 percent. Levi's puts the figure at over 50 percent for its jeans.


Western brand names were often known in Russia during the Soviet period, even when the goods were not for sale. Schneider said that when he first came to Russia three years ago, children already knew of Barbie, even though the doll had not officially appeared here.


Svetlana Rosina, a lawyer for Lex International, a Russian legal firm that specializes in trademark and intellectual-property law, said many Western companies complain of trademark breaches in Russia, but few do anything about them.


She said that over the past two years Russia has developed fairly comprehensive laws on trademarks and copyright, but that Western firms appear reluctant to take action.


As a practical matter, the chaotic business environment in Russia makes it hard for U.S. firms even to locate a concrete supplier or trader to sue for breach of trademark. Without this, Russian police and courts will not take action.


In the case of Barbie dolls, Mattel agreed with the law enforcement agencies on a clear system for identifying unlicensed goods. Under Mattel's agreement, Russian Customs will consider as illegal all shipments of Barbies that do not carry a contract with the Mattel's Amsterdam office, do not come from Holland or do not follow certain agreed routes.fficial outlets scattered throughout the former Soviet Union. Mattel's prices range from $5, for the bottom-of-the-line basic Disco Barbie, to $60, for the deluxe Happy Holiday Barbie kit.


Schneider said that "gray" Barbie importers are bringing in dolls from other, cheaper sources, and undercutting Mattel's prices. Even though the trade is still relatively small, Schneider said Mattel decided to act early.


Protecting the company's profit margins and image was a key consideration, but Schneider adds that Mattel was also motivated by concerns that children would be unsettled if the price of Barbie was too unpredictable. "Of course it is a cost to the company, but we were worried about the tears of children who realize they could have bought Barbie for much less," he said.


In August, at Mattel's request, the Russian Customs Committee issued an instruction to customs posts to seize unauthorized shipments of Barbies at the border, hold them for three days and confiscate them if necessary.


Alexei Bektimirov, head of Russian Customs' anticontraband division, said the agreement with Mattel is the first time Russian Customs has acted to protect trademarks, and has set a precedent. Now other companies are looking to come to similar agreements. Russian Customs was empowered to police breaches of trademark under a Customs code passed last year.


Bektimirov said, however, that his agency still lacks experience in detecting breaches of trademark. So far no fake Barbies have been stopped, but several consignments of gray-market, unlicensed Barbies have been delayed.


In all cases, the doll smugglers have agreed to a deal with Mattel, obtaining a license and obeying Mattel's price policy.


Despite these extreme measures, traders, whom Schneider describes darkly as "the mafia," are still bringing in gray-market Barbies. He cites as a key offender the Barbie stand at Detsky Mir, the children's department store in central Moscow.


The problem of trademark breaches in Russia varies from product to product. Software producer Microsoft claims the piracy rate for its products is over 90 percent. Levi's puts the figure at over 50 percent for its jeans.


Western brand names were often known in Russia during the Soviet period, even when the goods were not for sale. Schneider said that when he first came to Russia three years ago, children already knew of Barbie, even though the doll had not officially appeared here.


Svetlana Rosina, a lawyer for Lex International, a Russian legal firm that specializes in trademark and intellectual-property law, said many Western companies complain of trademark breaches in Russia, but few do anything about them.


She said that over the past two years Russia has developed fairly comprehensive laws on trademarks and copyright, but that Western firms appear reluctant to take action.


As a practical matter, the chaotic business environment in Russia makes it hard for U.S. firms even to locate a concrete supplier or trader to sue for breach of trademark. Without this, Russian police and courts will not take action.


In the case of Barbie dolls, Mattel agreed with the law enforcement agencies on a clear system for identifying unlicensed goods. Under Mattel's agreement, Russian Customs will consider as illegal all shipments of Barbies that do not carry a contract with the Mattel's Amsterdam office, do not come from Holland or do not follow certain agreed routes.