The United States Trade Representative (USTR) Special 301 Report placed 8 countries on Priority Watch List, indicating concerns regarding intellectual property (IP) protection and enforcement.

• IP refers to creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce. (WIPO)

Issues with the IP ecosystem in India

• Patentability Criteria: Discretionary and procedural use of criteria under the Indian Patents Act.
  • E.g., Section 3(d) of the Patents Act, 1970, considers as non-patentable “the mere discovery of a new form of a known substance which does not result in the enhancement of the known efficacy of that substance.”
• Ineffective IP Enforcement: Weak Law Enforcement; National and state law enforcement agencies do not collaborate effectively; Penalties for IP violations lack severity; Piracy and Counterfeiting Hubs.
  • E.g., India features in the 2024 Notorious Markets List.
• Trademark-Related Issues: High Levels of Counterfeiting; Poor Examination Quality. 
  • E.g., India is not a party to the Singapore Treaty on the Law of Trademarks.
• New Burdens on Foreign Entities: The Biological Diversity Rules, 2024 require foreign entities to seek approval for IP protection on Indian biological resources.
• Others: Delays in IPR Granting and Backlog, lack of awareness and education on IPR, digitization leading to online piracy etc.