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Wednesday, June 10, 1998

An indepth insight into patents 

 
In his book "Gearing Up for Patents -- The Indian Scenario" Dr Prabuddha Ganguli brings out the importance of patenting to the Indian economy. This book is relevant considering the on-going debate for tighter laws for the protection of intellectual property rights (IPRs). The target audience is not just industry, but also the government, centres for industrial research and the technical manpower in the country. The book makes good reading in the light of the absence of comprehensive literature on the subject in India, especially since it is liberally peppered with cases and examples both in the Indian context as well as the relevant international ones.

He has given an overview of the process of patenting in India and the fact that it is an unrecognised but powerful tool in the hands of technocrat. Even though the emphasis is on patenting there is an in-depth review of the intellectual property rights (IPR). The point being that it need not be just scientific discoveries or technological breakthroughs thatneed to be protected rather the vast base of trade related intellectual properties that encompass product designs, trademarks (which are used to distinguish goods) and copyrights. In addition he points out that it is not at all necessary that the goods have to be a brand new innovation, even product improvements can be considered good enough to win a patent. Various features of the Gillette's non-electric razor are protected by 17 patents, which are displayed on the pack. Gillette, as a name is a registered trademark in a number of countries. Similarly the US-based Golden Valley Microwave Food Inc's Microwave Popcorn is protected by a number of US patents, which are mentioned explicitly on the pack. Numerous examples of items of daily use such as toothbrushes, toothpastes, soaps, creams, lotions, lighting equipment, umbrellas, suitcases are all protected by IPR tools, either individual tools or through a combination of such IPR tools. Enforcement and not just recognition of IPRs is essential. In India theconcept itself is relatively unknown despite the benefits of the same. Cases of financial settlement of infringements abound in the West, which have resulted in huge financial liabilities. For example, in 1990 Eastman Kodak paid up $909 million in damages (including interest) to Polaroid for infringement of several of its instant camera patents. In addition the availability or rather the ownership of these patents or rights over trademarks can act as a source of revenue. The Stanford University made $87 million through licencing fees of just one basic biotech patent. In India the copyright laws are well developed and are on par with the international legislation on the issue.

Even in industries like software where India has a leading edge in terms of technically competent manpower the issue is only just beginning to be taken seriously. Most countries including India do not recognise patents on software with the exception of the USA, which incidently also has the most advanced software industry, from wheredevelopments have led to licencing revenues for a number of companies. But TRIPS recognises copyrights as the right form of protection for the software industry. Another area of concern which is highlighted by the book deals with a serious issue, that of geographical identification of a product and its attributes. This point was recently highlighted over the basmati patenting case in the USA and in some European countries by Rice Tec Inc of the USA. The TRIPS agreement provides for patents for goods which can be identified as originating in a territory, or a region in that territory , where a given quality, reputation or other characteristic is essentially attributable to its geographical origin.

Products such as Scotch whisky or Champagne are protected by these provisions of the TRIPS. The point here is that as the quality of Indian products improves and the quantum of demand from overseas increases the need for protection from infringement will be even greater. This growing awareness has led to thefiling of a number of patents overseas by Indian companies. This has to find an echo in the domestic market, where 80 per cent of the patents filed are by foreign companies in India. The book offers an insight into what comprises patents and the process of patenting (the process has been described on a 12 point scale in the order of origin). Besides the detailed documentation required for filing of patents including the disclosures needed to be made and the rights and the enforceability of those rights by the patent holder, under the Indian Patents Act, 1970 are also detailed.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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