Importance of Intellectual Property

Rights

D.P.S. PARMAR
DEPUTY CONTROLLER OF PATENTS & DESIGNS
Paradigm shifts in global economy & IP sector
Factors Before Now
Sources For Land, labour,  Knowledge,
Added Value Capital information
Main Hardware-based  Software – based
Character Analog Age Digital Age
Production Mass production-  Small production-
Strategy limited variety Multiple products
Development Economy of scale  Economy of speed
Principle


IPR emerged as vital source of wealth and
Evolution in Development of IPR Values

Technical Value

Competitive Value

Economic Value

Tool for Economic Advancement

IPRs as Barriers to Free Trade

 Intellectual Property Important ?

• IP Leads to technology development

• IP promotes development of
knowledge
• IP essential for 21st Century
knowledge based Economy
 IP and Technology

• ‘Block-Buster’ inventions and

innovations
– mark of progress and development

• IT , BT and NT
– brain power of industries and nations
IP Creation Cycle And IP
activity
IP Creation IP Protection
(R&D)
(Patents)

IP Creation
Cycle

IP Licensing IP Liaison

Phoenix Activity : Acquisition of right that can be used effectively

Eagle Activity : Effective use of acquired Right
 Relation of IPRs - Industry linkages
And Society
Technology New Products
Industries
(Commercialisation
of research results)
Royalty from Profits received
IPRs

R&D Society
(Gains from
(Research Fund)
New product)

Flow of Commercialisation Flow of returning of the benefits

 Objectives of IPR Protection

• Recognition
• Reward
• Establishment of Supremacy in the
field of protection
• Capital creation & protection of
knowledge
• Earning tangible profits
 IPR Acquisition By Industry
• Results in incessant innovation - Essential
stimulus for R&D reinvestment
• Resourceful Means –To meet investment cost
for R&D
• Means Essential -for development of IPR
portfolios
• Provide Key asset
– Exclusive rights
– Royalty income
 Industrial Property
P a te n ts D e s ig n s T ra d e M a rk s G e o g r a p h ic a l I n d ic a t io n s

I n v e n t io n s S hape W o rd P la c e o f O r ig in
P ro d u c t P a tte rn N am e A p p e lla t io n o f O r ig in
P ro c e s s C o n fig u r a t io n Logo

E x a m p le E x a m p le E x a m p le E x a m p le
F u r n it u r e C a s t o r S h a p e o f a b o t t le G o d re j D a r je e lin g T e a
P epsi S w is s W a t c h e s
 Industrial Value

Patents - Manufacturing
Techniques
Value
Trademarks - Quality and Goodwill
Designs - Aesthetic Value
Geographical
Indications - Commodity value
 Importance of IPRs
Patents –
 New products, processes
 Improve quality of life
Designs –
 Selection of product
 Establishment of new styles
Trade Marks –
 Brand awareness
 Brand Loyalty
“ When companies
are competing
at equal price and
functionality,
Design is
the only differential
that matters. ’’
- Mark Dziersk, quoted in TIME
 Relevance of Design for Industries
• Industrial design: the new differential
• Innovation through technology
• Product value enhancement
• Ranges from shape of product to packaging
• Incremental impact for SMEs significant
 Need of TM for Industries
• Creates product identity
• Reinforces brand equity
• Value of product includes intangible but
substantial IP in TM
• Manufacturing Products having short life
cycle
• Significant in JV / mergers / tech transfer
agreements as royalty for TM use apart
from licensing issues
Increasing Market value of enterprises -
Role of IP
IPR asset valuable as it
– Generates income through licensing, sale or
commercialization
– Improves organisations market share
– Raises profits margins
– Increases the worth of the organization in the
eyes of investors and financing institutions
– Provides competitive edge in the event of
sale, merger, acquisition
 Patents

Subject matter
New and useful product or process
Example of patent

Furniture castor
 INDUSTRIAL DESIGNS

Subject matter

New or original industrial designs

Exceptions

Except Designs dictated essentially by

technical or functional considerations
Examples of Designs

Swiss multi purpose

knife

Designers chair
 Trade Marks
Subject matter

Devices or logos

Names – Godrej

Numerals - 555

Words - APPLE

or combinations thereof
Well known Trade Marks
• Coca Cola for soft
drink

• Toblerone Triangular
shaped chocolates
 Trade names
• Furniture,
Refrigerators,
Storewell, Compactor
etc.

• Bulbs
Logo of some well known brands

Logo of Washing
Powder of Hindustan
Lever
Logo of iodised salt of
Hindustan Lever
Logo of Lipton tea
 Geographical Indications
Subject matter protected
Indications which identify a good as originating in the
territory or region or locality where a given
quality, reputation or other characteristic of the goods is
attributed to the geographical origin.
 Possible Indian Geographical
Indications

Kolhapuri Chappals
 
        

Kanjeevaram Sarees
 Current Indian Concerns in IPRs
Modernization of legislation-compliance with
TRIPS deadlines
Protection to traditional Indian knowledge from
global patenting – Neem, Karela, Turmeric and
Basmati
Copyrights and rights of performers – global
appeal of Bollywood, rise of “Indi Pop” and the
associated industry
Copyrights in the software industry – piracy issues
Trade Marks:Impact of globalization on Indian
products
Amended and updated legislations supported by
user friendly rules and procedures
Modernized administrative framework based on IT
application
Legislative Framework of IP Administration
Department of IP &P covers
The Patents Act, 1970 (as amended in 2005)
The Patents Rules, 2003(as amended in 2005)
The Designs Act, 2000
The Designs Rules, 2001
The Trade Marks Act 1999
The Trade Marks Rules 2002
The Geographical Indications of Goods
(Registration & Protection) Act, 1999
The Geographical Indications of Goods
(Registration & Protection) Rules, 2002,
Department of Education covers
The Copyrights Act 1957 (amended in 1999)
 CONTROLLER GENERAL OF PATENTS, DESIGNS
AND TRADEMARKS
(CGPDTM)

P.I.S.
PATENT OFFICE T M REGISTRY G.I. REGISTRY
Nagpur

Head Office
Head Office DESIGN OFFICE CHENNAI
MUMBAI
KOLKATA

Branch DELHI
DELHI KOLKATA

Branch KOLKATA
CHENNAI

Branch CHENNAI
MUMBAI

A’BAD
 

Status of patent applications

2004-
2005
1999- 2000- 2001- 2002- 2003-
  2000 2001 2002 2003 2004

17466
Filed 4824 8503 10592 11466 12613

14813
Examined 2824 4264 5104 9538 10709

1911
Granted 1881 1318 1591 1379 2469
 

Status of Designs applications

2004-
1999- 2000- 2001- 2002- 2003- 2005
  2000 2001 2002 2003 2004

4017
Filed 2874 3207 3350 3124 3357

4017
Examined 2067 3207 3480 3124 3228

3728
Registered 1382 2430 2426 2364 2547
 Status of Trade Marks applications

2004-2005
  1999-00 2000-01 2001-02 2002-03 2003-2004

78996
FILED 66378 84275 90236 94120 92,251

72091
EXAMINED 42500 70115 159735 249003 89958

45015
REGISERED 8010 14202 6204 11190 39,762
 Website of CGPDTM

www.ipindia.nic.in
Capacity Building in IPRs
Offices
 Original Scheme For Modernisation of
Patent Office
(Rs. in crores)
Sl. No. Item Total Cost
1. Cost of Land and Building (National Office) 20.00
2. Maintenance of building for National Office 5.10
3. Computerization and Re-engineering 9.40
4. Additional Staff 13.62
5. Vehicles 0.18
6. Library Facilities 1.00
7. Promotion of Awareness 1.25
8. Backlog clearance Project 19.44
9. Miscellaneous 5.60
Total 75.59
Patent Office Modernization -
objectives
• Infrastructure development
• Computerization and automation of patent
procedures and improving search facilities
by setting up a network of computers
• Review of existing procedures ,
Decentralization of activities and re-
engineering of business practices
• Human resources development
 Revised Modernisation Plan
• Review of existing procedures and
development of new procedure
• Decentralisation of activities
• Computerisation of patent procedure
• Networking of offices
• Setting up a network of computers
• Improving search facilities
 Infrastructure development
Construction of integrated IPO Buildings
Delhi Chennai

Mumbai
Kolkata
New IPO Buildings have Patent Office
and Trade Marks Registry at one location
 Modernization and Infrastructure
New IPO Buildings are
• World class IPO Buildings
• With corporate look
• With all modern amenities like
Computerization of procedure
Networking of offices (Wide Area Network)
Setting up a network of computers (Local Area Network)
Improving search facilities (through internet and ISDN Lines)
Infrastructure development (digitization of records)
Online filing facility
 Human Resource Development

Existing Proposed
Patents and Designs 327 528
Trade Marks 299 329
Geographical Indications NIL 6
 Major milestones achieved by
Patent Office
• Basic level of computerisation achieved
• Front office automation software,
• About 1 Lac published patent digitized
• Over 47,000 unexamined applications digitized
• 77000 design records digitized
• Library facilities upgraded. CD ROMs,
technical books and journals for improving
search facilities procured
 Future Mile stones
• World Class IT enabled and users friendly IPR
Offices
• Development of Dynamic Website
• All digitized records of patents ,designs and
trade marks to be placed on Website in
searchable form for public
• Improving the searching facilities by
subscribing to private database such as
Derwent.Questle, CASIS etc.
• To operationalise the IP Administration from
newly constructed integrated IP Building
 continued…

• Issue of First Examination Report within

one month from the date of filing of the
request
• Re-engineering of work process to reduce
the time for grant of patent
• To develop corporate plan to bring the
transparency in the patent system
 Other Priorities
Specialised training courses for Examiners
Establishment of Standard Service
Code/Citizens Charter for Patent Office
Establishment of Intellectual Property
Training Institute (IPTI) - at PIS Nagpur
Awareness Programmes
Participation in the Global, Information,
Network of the WIPO
 THANKS

D.P.S. PARMAR
Deputy Controller of Patents and Designs
CGCELL
372 UDYOG BHAVAN
Tele-Fax – 91 011 23062307
Website: ipindia.nic.in
E-mail- cgcell@ub.nic.in
& delhi-patent@nic.in