August 1-15, 2013

Page 24

M|A|N|A|G|E|M|E|N|T DR GOPAKUMAR G NAIR

DR MANU CHAUDHARY

Founder, Gopakumar Nair Associates

Joint Managing Director, Venus Remedies, and Director, Research, VMRC

In the latest proposal, this fee is proposed to be doubled and considered to be valid for e-filing

the Indian Patent Offices (IPO). Increasing the number of examiners will help in quick scrutiny of patent (applications) saving valuable time rather than waiting for years. As long as the desired outcome is there, we don't mind paying the increased amount.” Analysing the working pattern of the IPO, Chaudhary tries to measure its efficiency saying, “Although the IPO has taken some measures and made progress in bringing about efficiency and transparency in its working pattern in the past few years, there is still a long way to go before the difference can be actually felt. Given that the IPO has become a profit centre, we sincerely hope that the hike in fees should help in disposing of issues in a timely manner, as mandated in the Patent Act and Rules.”

Right move ... The draft Patent (Amendment) Rules, 2013 also proposes to levy a 10 per cent surcharge on physical filings with the patent office. This is the first time in the history of filing of Indian pharma patents that such a surcharge will be levied, indicating that the authorities are trying to encourage applicants to use the e-filing mode. Most industry observers feel the move is in the right direction and in order to make the system more applicant friendly it should be implemented to its fullest extent. Analysing this aspect of the draft proposal, Nair remarks, “In the latest proposal, this fee is proposed to be doubled and considered

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EXPRESS PHARMA

DR VENKAT JASTI

AMEET HARIANI,

Chairman and Chief Executive Officer, Suven Life Sciences

Managing Partner, Hariani and Co

IPO has become a profit centre, we sincerely hope that the hike in fees should help in disposing of issues in a timely manner

As long as the desired outcome is there we don't mind paying the increased amount

One would be willing to bear the additional burden provided it results in modernisation of system and proper utilisation of funds

to be valid for e-filing. For filing physical (hard copies only), an additional 10 per cent over the newly doubled efiling fee (retaining the 1: 4 ratio) is proposed. This is justified. India is considered to be the leader and outsourcing provider for IT and e-jobs across the world. However, India has remained “poor” at home in e-practices. It is a high time that Indian applicants and IPOs becomes e-enabled. Indian IP has to be e-practiced and e-transparencied in all respects by eenabling all stakeholders, practitioners and the PTO.”

tion. Even though, the website of Patent Office (www.ipindia.nic.in) became operational on January 26, 2005, the “teething problems” have continued too late “past-infancy”. Most information are unavailable, unreliable, outdated or simply missing from the website. The 'down' time of the website is too frequent and often long. The 18-month publication and even the “fee paid” early publication are often (many many examples of even delay in two to three years are available for 18month publication) delayed. These with other delays and deficiencies need to be rectified. If the proposed fee increase is used to address these perennial problems, which cause extreme inconvenience and loss to the users, the fee increase is well-justified.”

However, it would be unfair to make such comparison with fee structure as the only denominator. There are many factors such as quick disposal, efficient system, etc which needs to be taken into consideration.” He once again stresses that the increase should be justified by the resultant outcome.

…but implementation is key E-filing itself could pose some problems. As Hariani says, “As per my knowledge, the e-filing systems is supported by limited banks. Further, the server is slow and system cumbersome. Thus, the number of banks supporting e-filing and the payment options should be broadened and system overhauled. The system if implemented in the right spirit will not only act as a catalyst to increase efficiency through digitisation but also increase transparency. Therefore in my opinion, implementation of the increase in fee structure would be justified only if the operational issues are solved and the additional funds proposed to be collected are applied for right purposes to reduce pendency issues and upgrade the existing systems.” Nair too emphasises the crucial need for thorough implementation saying, “An honest and committed effort for e-enabling is required from the patent office administrawww.expresspharmaonline.com

Unfair comparison In developed countries, the patent fees is much higher, sometimes as much as five times higher than in India but is this a fair comparison? Voicing his opinion, Nair stresses, “We cannot and should not increase Indian fees to international levels. The US and the EU have steeply increased the fees, especially for selected office actions. India should be fair and reasonable in its Indian patent policy of private-public parity, equity and balance of rights and obligations (which it is, even after the proposed increase).” Hariani adds, “It is true that the patent fees in developed countries are higher than the Indian fees structure.

Net impact Summing up Nair says, “The fee increase is a routine exercise. This will not in any way hamper the growth of the pharma companies. Increase in the patent fees is the least of the worries for the Indian pharma sector. Growth of Indian pharma companies will positively be affected by the proactively negative policies of the government which is forcing most pharma-industry leaders to sell-out and get out of this 'pharma mess'. The 'well' meaning NGOs and critics of Indian pharma sector are ably assisting the “ill-willing” government departments and ministries to ring the ‘death-knell’ for Indian pharma and bury its high and lofty ambitions. That is another story.” With an aim to encourage the e-filing procedure, both legal luminaries as well as pharma companies agrees with the draft notification of Patent (Amendment) Rules 2013, proposing an increase of fees for pharma patents. One hopes that the DIPP will consider the concerns raised by industry while firming up the final amendment. After all, no one pays money for nothing. u.sharma@expressindia.com August 1-15, 2013


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