PARIS, January 17: The World Trade Organisation (WTO) has formally asked India to amend its patent laws for pharmaceutical and agro chemical products as per the international agreements thus making it mandatory for New Delhi to make changes, official sources said.``The WTO last evening formally adopted the report of a dispute settlement body (DSB) and also the findings of the appellate body which was finalised last month. India adopted the reports by consensus,'' WTO sources told PTI over phone from Geneva.
The formal adoption of the two reports makes it mandatory for India to reply on what it proposes to do regarding DSB's findings, which said New Delhi's present laws were not in tune with trade-related intellectual property rights (TRIPS) agreements, signed by world nations in 1994.
India could not block the adoption of the report last evening as formalisation of reports is mandatory under WTO rules.
WTO sources said, ``As per the procedure India should reply to the world body in the next 30 days
and it will have nearly 15 months to change its laws.'' If it is impractical to comply immediately, then New Delhi will be given reasonable period of time to be set by the DSB to do so,'' diplomatic sources in Geneva said.
The sources said if no definite offer from India was received even after the expiry of given time then Washington might request authorisation from the DSB to suspend concession or obligations, like tariff reductions, against New Delhi.
``The DSB should grant it authorisation within 30 days of the expiry of the reasonable period of time unless there is a consensus against the request,'' official said.
Diplomats said the WTO's formal decision in asking India to change its patent laws has put pressure on India to oblige to international agreements despite strong protests from domestic industry sector and the powerful agricultural lobby.
In its complaints to the DSB, established in November 1996, the US argued that New Delhi had not worked its domestic laws in pharmaceutical and
agricultural chemicals according to international agreements. The DSB in its report circulated in October last year backed the American complaint. India appealed against certain issues of law and legal interpretations developed by the panel.
The seven-member appellate body, the highest decision making body in the WTO, in its report rejected India's objections on certain issues of law and legal interpretations developed by the panel and upheld the DSB's findings.India's 1970 Patents Act only recognises process patents. The US and the European Union want India to grant product and process patents and establish a mail box where patent application for pharmaceutical and chemical can be received while India changes its laws. In its complaint Washington argued that India has failed to establish a mandatory mail box to receive new patents.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
