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Importance of IPR in Global Scenario

&
Its impact in Indian Market

Why is Intellectual Property Important?

IP encourages innovation and rewards entrepreneurs,


drives economic growth and competitiveness, creates and
supports good jobs, protects consumers and families, and
helps generate breakthrough solutions to global
challenges.

Why Are Intellectual Property


Rights Important?
Intellectual property (IP) contributes enormously to
our national and state economies. Dozens of industries
across our economy rely on the adequate enforcement
of their patents, trademarks, and copyrights, while
consumers use IP to ensure they are purchasing safe,
guaranteed products. We believe IP rights are worth
protecting, both domestically and abroad.

Intellectual Property Creates and


Supports High-Paying Jobs
IP-intensive industries employ over 55 million
Americans, and hundreds of millions of people
worldwide.
Jobs in IP-intensive industries are expected to grow
faster over the next decade than the national average.
The average worker in an IP-intensive industry earned
about 30% more than his counterpart in a non-IP
industry.
The average salary in IP-intensive industries
pay $50,576 per worker compared to the national
average of $38,768.

Intellectual Property Drives Economic


Growth and Competitiveness
Americas IP is worth $5.8 trillion, more than the
nominal GDP of any other country in the world.
IP-intensive industries account for over 1/3 or 38%
of total U.S. GDP.
These industries also have 72.5% higher output per
worker than the national average, valued at $136,556
per worker.
IP accounts for 74% of all U.S. exports- which
amounts to nearly $1 trillion.
The direct and indirect economic impacts of innovation
are overwhelming, accounting for more than 40% of
U.S. economic growth and employment.

Strong and Enforced Intellectual


Property Rights Protect Consumers and
Families
Strong IP rights help consumers make an educated choice
about the safety, reliability, and effectiveness of their
purchases.
Enforced IP rights ensure products are authentic, and of
the high-quality that consumers recognize and expect.
IP rights foster the confidence and ease of mind that
consumers demand and markets rely on.

Intellectual Property Helps Generate


Breakthrough Solutions to Global
Challenges
Nearly all of the 300 products on the World Health Organizations
Essential Drug List, which are critical to saving or improving
peoples lives around the globe, came from the R&D-intensive
pharmaceutical industry that depends on patent protections.
Innovative agricultural companies are creating new products to
help farmers produce more and better products for the worlds
hungry while reducing the environmental impact of agriculture.
IP-driven discoveries in alternative energy and green technologies
will help improve energy security and address climate change.

Intellectual Property Rights Encourage


Innovation and Reward Entrepreneurs
Risk and occasional failure are the lifeblood of the innovation
economy. IP rights incentivize entrepreneurs to keep pushing for
new advances in the face of adversity.
IP rights facilitate the free flow of information by sharing the
protected know-how critical to the original, patented invention.
In turn, this process leads to new innovations and improvements
on existing ones.
Americans Founding Fathers so recognized the importance of
innovation and ensured that strong IP rights for authors and
inventors are protected in the U.S. Constitution, thus making
America the worlds entrepreneurial leader a fact borne out by
the overwhelming number of patents, copyrights and trademarks
filed by the U.S. annually.

Bringing all of these important and diverse points


together is the fact that protecting IP is a non-partisan
issue that is shared by a broad coalition of interests.
These rights are embraced by all sectors of industry
small, medium and large companies alikeand by labor
organizations, consumer groups, and other trade
associations we bring together.

Current scenario of IPR in the Indian


market

Household goods to heavy machineries are all under


IPR regulation by foreign companies and we pay
heavy price to use these all. But, IPR cuts both ways:
It promotes rights and monopolies. India has also
been gaining from it.

INTELLECTUAL PROPERTY Right (IPR) is a colloquial that


hardly needs to be clarified nowadays. Everyone, who is related to
scientific area either from institutes or industries, is talking about
intellectual property rights and the importance of protecting
scientific discoveries because of their commercial potential. It is
easy to understand IPR if we talk it under different modules such
as: patent, copyright and its related rights, trade mark, trade
secrets, industrial design, and geographical indication depending
on the kind of products that need to be regulated. Each of these has
a specific way of protecting its consequent commercial values.

Few modules like copyrights and patent are quite popular for many
decades but IPR as such never got into public interest. It is like a
remote village (which was initially unknown) become media hot
topic along with a famous personality (Amethi after Sonia Gandhi
contested). In India, the scenario started changing in the beginning
of this decade and steeped up in last few years. It became a topic of
round table discussion in business class citizen after India became
GATT signatory few years back. Consequently, under purview of
WTO and other global organisation, Indian government expanded
IPR functioning across the country. Functioning of IPR has been
restructured and set up in all four main offices metros (Delhi,
Mumbai, Kolkata and Chennai) so people easily can access the
information and get help in the registration of intellectual
properties.

Conversely to India, European and American people are much


more aware about the importance of IPR regulations. Starting from
industries to institutional premises, all have separate department
dealing with IPR issues. If we look around, things starting from
household goods to heavy machineries are under IPR regulation by
outsider companies and we pay heavy price to use these all. You
will be surprised to read that they withdrew many products from
public domain into IPR umbrella after Second World War.

The IPR issue has both faces on one side it protects the right of
intellectuals and eventually promotes the new inventions, while on
the other side it promotes monopoly of the company also. You must
be aware that we pay heavy price for even lifesaving drugs although
it costs far less than actual price. We alone do not live on this planet
but along with developed countries like US, UK, Canada, etc and
many other underdeveloped countries like those in Africa. Further,
we must emphasize that we are a trend follower rather than a
trendsetter we accept willingly or unwillingly whatsoever
developed nations ask for. Initially India resisted to not become a
part of IPR regulated market but gave up keeping in mind that we
may also grow up and stand in same queue of developed countries.

India has a vast cultivated land and pool of diversified


intellectuals. Using these resources, we might also boost our
currency and economy by promoting IPR issues among intellects.
Some successful attempt made by India like patented turmeric
uses and basmati rice illustrates that the IPR protection area can
turn into an expensive theater in commercial market. We might,
however, begin to wonder how we can generate more useful
intellectual property so that the task of protecting it becomes
worthwhile.

CASE STUDY

Case Study on Fashion & Intellectual Property Rights. Globalisation: a New


Opportunity for Counterfeiting? The Case of the Italian Fashion Industry
By: Giammarco Brenelli, Competere
1.

Introduction. Industrial property and increased well-being.

It is an unquestionable fact that intellectual property does not only regard the individual
creator, but also global growth, which is the result of the overall inventiveness of all
individuals.
This explains why, in the past, the market economy developed thanks to the technological
innovations connected to discoveries in all fields, which were channelled into the
production cycle.
On the other hand, any right is defined and receives protection only within a legal system.
In a legal vacuum, in fact, authentic property does not exist.
Hence the corpus of positive laws which guarantee rights. Thus a system of rules
governing industrial rights have developed, starting from the Industrial Revolution and
evolving in parallel to its development, with regulations introduced by the State which
recognises the right of the person who has researched, studied, applied and promoted
his/her invention alone, at the same time establishing obligations and limits bearing on the
subjects which practise industrial activity in a system which guarantees, among others,
industrial property.

No one denies that scientific discoveries have been made also outside free
states, but only a system of rules and of the protection of property has favoured
the application to industry, and this is, in the first place, by the recognition of profit
as a natural right of the person who has carried out the work of invention,
research, study and application.

2.
The Industrial Revolution and Property Rights.
It must be borne in mind, in general, that not only property right exists within a system which
recognises it as such, but it is also given protection by coercive provisions which protect
against abuse.
From the territorial and geographical aspect, it must be remembered that, at the dawn of
the first industrial revolution, intellectual and industrial property rights were developed within
a context of provisions which were mainly national, during growth in trade extending beyond
national borders, to answer the need for standardised protection, by means of agreements
representing the bases of international law on property. This was necessary, on one hand,
to overcome the differences between legal systems and, on the other, to fill the legal
vacuum of those systems in which there was no regulation.
There are differences between the absolute rights guaranteed by the State: with regard to
material objects the right merely acknowledges the pre-juridical fact, but in the case of
industrial property the law describes, and therefore disciplines, the asset to be protected. In
practice, the actual asset protected is the invention, theindustrial model, the
company's trademarks and distinctive signs and, ultimately, the competition between
entrepreneurs, as well as the guarantee for third parties who access the market as
consumers.
Industrial property law has thus progressively developed, becoming differentiated from the
other property rights and the other legal issues, since it deals with concepts that do not
merely regard regulations but which more strictly regard economic aspects and guarantees.
This is because the exploitation of the intangible assets possessed and their application to
production lead to earnings for the individuals and to profit for the companies, which do not
specifically regard the traditional and static concept of private property.