There are several issues here!
India has a reputation for making generic drugs not fake drugs - I am sure that lots of countries (including the US and UK) have people producing fake drugs in them..and, to be honest, with regards to finasteride, I'd be more concerned that my branded Proscar/Propecia is fake than my generic Fincar/Finpecia is - simply because of the profitability factor - the cheapest I have seen Proscar is £39 ( Edited - No links allowed to prescition drug sites ) whilst the cheapest I have seen Fincar is £17.
It's the resellers who are the concern with regards to fake drugs and hence why it's important to mention where you buy your finasteride from. I buy my Finpecia from ( Edited - No links allowed to prescition drug sites ) and I'd do the same if I got Fincar, whilst the cheapest Proscar seems to be ( Edited - No links allowed to prescition drug sites ) - which has been mentioned a few times on HLT and HLH as reputable. I've seen ( Edited - No links allowed to prescition drug sites ) mentioned a few times as well.
Obviously if you can afford to get branded Propecia from your local chemist then that would be the best, but at £32 (from Asda) for 28, its expensive!
Whether generic drugs are as good as branded drugs is a moot point - Indian laws state that their manufacturing companies (such as Cipla) can produce patented drugs as long as the manufacturing process is different - good news price-wise, but people do get concerned about whether the finasteride in Cipla stuff is as good as the finasteride in Merck's pills, but the company's long (and good) reputation for produding generics and other people's reports are enough to convince me. I certainly don't consider the manufacturers country as a huge factor - Merck branded stuff is made in all sorts of places! I guess people just have to research it themselves and make their own mind up..