In News:

• According to the India Patents report launched by the National Association of Software and Services Companies (NASSCOM), Technology Innovation is gaining pace in India with Indian companies having filed 1,38,000 tech patents in India from 2015 to 2021.
  
  
• The report is one among a series of NASSCOM’s Emerging Technology-focused reports that aims to understand how Indian technology companies are creating IP assets in their largest market.
  
  

What’s in today’s article:

• About Patent & IP Rights (Meaning, about Patents Act 1970, Patents Amendment Rules 2021)
  
  
• National IPR Policy (Objectives of the Policy)
  
  
• News Summary (Major Highlights of NASSCOM’s report)
  
  

What are Patents and IP rights?

• A patent represents a powerful intellectual property right, and is an exclusive monopoly granted by a Government to an inventor for a limited, pre-specified time.
  
  
• It provides an enforceable legal right to prevent others from copying the invention.
  
  
• Patents can be of two types:
  
  
• A product patent ensures that the rights to the final product is protected, and anyone other than the patent holder can be restrained from manufacturing it during a specified period.
  
  
• A process patent enables any person other than the patent holder to manufacture the patented product by modifying certain processes in the manufacturing exercise.
  
  
• Initially, India adopted process patenting in 1970s which enabled India to become a significant producer of generic drugs at global scale.
  
  
• However, due to the obligations under the TRIPS (Trade-Related Aspects of Intellectual Property Rights) Agreement, product patenting is also allowed in India.
  
  
• TRIPS is an international legal agreement between all the member nations of the World Trade Organization.
  
  

About Patents Act, 1970:

• The Patents Act 1970, along with the Patents Rules 1972, came into force in April 1972, replacing the Indian Patents and Designs Act 1911.
  
  
• The Patents Act was largely based on the recommendations of the Ayyangar Committee Report headed by Justice N. Rajagopala Ayyangar.
  
  
• Later, India became signatory of the Paris Convention and the Patent Cooperation Treaty in 1998 and thereafter signed the Budapest Treaty in 2001.
  • The Paris Convention for the Protection of Industrial Property, was one of the first intellectual property treaties.
    • It applies to industrial property in the widest sense, including patents, trademarks, industrial designs, utility models, service marks, trade names, geographical indications and the repression of unfair competition.
      
      
    
    
    
  • The Budapest Treaty eliminates the need to deposit microorganisms in each country where patent protection is sought.
    
    
  
  
  
• The Act was amended by the Patents (Amendment) Act, 2005, wherein product patent was extended to all fields of technology including food, drugs, chemicals and microorganisms.
  
  
• After the amendment, the provisions relating to Exclusive Marketing Rights (EMRs) have been repealed, and a provision for enabling grant of compulsory license has been introduced.
  
  
• The provisions relating to pre-grant and post-grant opposition have also been introduced.
  
  
  

Patents (Amendment) Rules, 2021:

• The Department for Promotion of Industry and Internal Trade notified the Patents (Amendments) Rules 2021 which have come into force in September 2021.
  
  
• Major Changes Include:
  • Broadening the category of Applicants:
    • The definition of educational institutions has been introduced under the Patent Amendment.
      
      
    • The Patent Amendment includes educational institution along with natural person, start-up and small entity in the category of applicants.
      
      
    
    
    
  • Rebate on Patent Filing Fees:
    • It has extended the 80% rebate on patent filing fees to educational institutions.
      
      
    • This should encourage educational institutions to file for more patents to foster innovation and facilitate the commercialisation of new technologies.
      
      
    
    
    
  • Extension of Expedited Examination System:
    • The fastest granted patent is the one which was granted in 41 daysafter filing of such request. This facility of Expedited Examination system was initially provided for patent applications filed by
      
      
    • It has been now extended to 8 more categories of Patent Applicants
      
      
    
    
    
  
  
  

National Intellectual Property Rights Policy (2016):

• The Union Cabinet had approved the National Intellectual Property Rights (IPR) Policy in 2016 that shall lay the future roadmap for IPRs in India.
  
  
• The Policy recognises the abundance of creative and innovative energies that flow in India, and the need to tap into and channelize these energies towards a better and brighter future for all.
  
  
• It sets in place an institutional mechanism for implementation, monitoring and review.
  
  
• It aims to incorporate and adapt global best practices to the Indian scenario.
  
  
• It's theme is "Creative India; Innovative India".
  
  

7 Objectives of National IPR Policy:

• IPR, awareness, outreach, and promotion - awareness about the economic, social and cultural benefits of IPRs among the society.
  
  
• Create an atmosphere of invertibility and innovation - stimulate the generation of IPRs.
  
  
• Replace existing outdated laws - have strong and effective IPR laws, which balance the interests of Rights owners with larger public interest.
  
  
• Human Capital Development for teaching, research and skill building in Intellectual Property Rights - strengthen and expand human resources, institutions and capacities.
  
  
• Administration and management of innovation - modernize and strengthen service-oriented IPR administration.
  
  
• Commercialization of IPRs - Get value for IPRs through commercialization.
  
  
• Combating IPR infringements by reinforcing the enforcement and adjudicatory mechanisms.
  
  

News Summary:

• According to the India Patents report launched by the National Association of Software and Services Companies (NASSCOM), Technology Innovation is gaining pace in India with Indian companies having filed 1,38,000 tech patents in India from 2015 to 2021.
  
  
• The report is one among a series of NASSCOM’s Emerging Technology-focused reports that aims to understand how Indian technology companies are creating IP assets in their largest market.
  
  

Major Highlights of the Report:

• As per the report, the US remains a key export market for India.
  • Over 9,500 patents were filed by India domiciled companies in the US between 2015-2021.
    
    
  • US accounted for ~62 per cent of India’s tech exports in FY2022, and would continue to drive share of tech patents.
    
    
  
  
  
• Role of Start-Ups:
  • Start-ups have been key contributors in terms of technology innovation.
    
    
  • Over 60 per cent of the technology patents were filed by Indian companies and start-ups while 16.7 per cent of the tech patents were filed by Individual inventors/Academia-Research.
    
    
  • Overall, more than 400 technology patents were filed by Indian start-ups during 2015-2021, an increase of ~45 per cent from 280 patents in the 2015-2019 period.
    
    
  
  
  
• Emerging Technologies:
  • Artificial Intelligence (AI) continues to lead in terms of total patents filed under various emerging technology domains
    • Machine Learning patents grew by over 2X maintaining its lead in AI.
      
      
    
    
    
  • Cloud Computing remained another key emerging area accounting for a growth of 33.6 per cent while cybersecurity accounted for the majority share of granted patents in 2015-2020/21 at 27.4 per cent.