Fyfe joins the record industry trade group as government relations manager from Camelot, where she was policy and public affairs manager. She reports to BPI chairman Peter Jamieson.
Fyfe will be charged with boosting the BPI's relationship with the Department for Culture, Media and Sport and the DTI, promoting the record industry's contribution to the British economy in Westminster and Whitehall circles.
It wants tougher laws imposed on music copyright infringement. It has also called for a law that would make organisers of markets and car boot sales legally responsible for products on sale at their events, to cut the amount of counterfeit CDs.
The BPI this week initiated cases against 33 people in Britain as part of a global clampdown on illegal file sharing.
It represents the third time the BPI has taken action against music downloaders.
Twenty-six people have agreed to pay settlements totalling more than £50,000 and last month it announced a further 31 people were being investigated.
The official UK singles chart will for the first time include internet downloads this weekend.
The BPI has used APCO for a number of years.
At Camelot, Fyfe worked alongside head of government relations Sarah Kennedy - the wife of the Liberal Democrat leader - until she left in January.