(TDB) - China is still battling a “serious” problem with counterfeit wines, a senior Chinese Government official has warned, claiming at least half of Chateau Lafite sold in China is fake and is probably made on boats moored in international waters.

The comments were made by Xinshi Li, president of the Chinese Academy of Inspection and Quarantine (CAIQ), at a conference in Bordeaux to launch a new Chinese government anti-fraud effort called PEOP, according to a report by French news site vitisphere.com.

Li described the existence of boats being used as “faking stations”  as the most “shocking” aspect of China’s counterfeit market.

The boats are believed to be making not only Château Lafite fakes but many other other high-end Bordeaux fakes, using low-end wine to maximise profits.

Last year officials warned that fake wine were on the rise in China, with Bordeaux first growth Château Lafite becoming the most common forgery in China where it has been reported that there are more cases of the iconic 1982 vintage of Lafite than were actually produced by the château.

Recently the Chinese Government launched PEOP (Protected Eco–origin Product) – an initiative to label authentic products in a bid to guarantee a products origins and tackle the country’s fake wine market.

The PEOP labels feature visible and invisible codes, as well as a Quick Response Code, that consumers and Chinese customs officials will be able to check to trace the bottles origins.

Bordeaux producers who want their wines to carry the PEOP label must be certified by the Chinese government.

Advanced Track and Trade (ATT) has been brought on board by the Chinese Government to manage communications between themselves and French wine producers wishing to take part in the scheme.