Of
the several issues
that
arose at the Uruguay Round of GATT (General Agreement on
Trade and Tariffs) negotiations, the most vexed issue for
India was the TRIPs text. In addition to product patent
in pharmaceuticals, the text demands Intellectual Property
Rights (IRPs) in plant varieties and seeds. It mandates
protection of plant varieties and seeds either by patents
or by an effective sui generis system.
The
interest in the seed industry has its roots in the increasing
market potential for improved seeds throughout the world.
The seed markets in most of the countries consists basically
of two segments – the hybrid seed market and open pollinated
variety seed market. Giant seed transnational corporations
are concentrated in the former and domestic seed industries
in the latter. With the advent of modern crop varieties
and sophisticated biotechnology, the world seed market started
expanding rapidly as did the role of the private sector
in providing hybrid seeds. Consequently, there arose the
demand for protection of plant varieties either by patents
or in the form of Plant Breeders’ Rights (PBRs). In 1985,
the first patent on plant varieties was granted. Thus, patenting
of varieties of seeds/plant is of more recent origin when
compared to PBRs which were known slightly earlier.
Traditionally,
most national patent systems do not provide patents for
micro-organisms, plant varieties, seeds, etc. The reasons
for doing so are many. Patents are given for inventions
and not discoveries. Plants are not inventions. They are
products of nature. They, therefore, do not qualify for
grant of patents. Further, as methods of breeding in plants
are not sufficiently reproducible, they do not satisfy the
norms for patenting. It is also difficult to identify a
patented plant/seed because of natural genetic drift and
mutation. Moreover, as agricultural discoveries can give
rise to derivatives, multiple royalties can occur on a single
product. Above all, the only way to prove infringement is
by comparing the entire genetic make-ups which is exorbitantly
costly for poor countries like India.
It is no wonder then that the clause on patenting of seeds
and naturally occurring genes was one of the most controversial
provision in the TRIPs text. By sanctifying patenting of
plant varieties and seeds, the text adversely affects the
availability of seeds, biofertilisers and biopesticides
to poor farmers at affordable prices. Once the seed is patented,
the farmer loses his right to modify, retain or use his
seeds. He becomes dependent on the patent-holder for his
seed requirement. One may recall that in the United States,
the price of soybean seeds doubled in less than a year as
a result of patenting. Similarly, when W R Grace obtained
a patent on a product which required the use of the pesticidal
extract azadirachin from the Indian neem tree, the price
of neem seed escalated from Rs 300 per ton to Rs 4,000 per
ton.