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Hike in patent fees bane for Indian companies - Views on News from Equitymaster
 
 
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  • Jun 11, 1999

    Hike in patent fees bane for Indian companies

    The BJP-led government has hiked patent and exclusive marketing right (EMR) fees from Rs 5,000 to Rs 75,000. The move is being perceived as a major blow to patent aspirants emerging from traditional medicine forms like ayurveda and unani.

    The hike in patent fees - with effect from June 2 will naturally benefit multi national companies for whom the patent fees is small change compared to the returns on these patents. The move will deter traditional medicine investors from filing patents and losing their discoveries to MNCs. In addition, the government has also hiked filing fees from Rs 300 to Rs 5,000, and extension fees from RS 300 to Rs 1,000 per month. Significantly, even the right to oppose has been made expensive for small players as the fee has been raised to Rs 5,000 from Rs 300.

    Government sources argue that the fee hike was long overdue. However industry observers feel that the hike is too steep and that it caters only to the MNC community who can afford to pay such rates.

     

     

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