Plant Variety Protection and Farmers? Rights Authority

Plant Variety Protection and Farmers’ Rights Authority

News: Recently, The Delhi HC upheld an order by the Plant Variety Protection and Farmers’ Rights Authority (PPVFRA), revoking the intellectual property protection granted to PepsiCo India with respect to a potato variety developed by it.

Background:
• The case pertains to FL 2027 – a potato variety with high dry matter and low sugar content (better suited for making chips) – grown by some 14,000 farmers in India via contract cultivation and buy-back at pre-fixed rates.
• FL 2027 was developed in 1996 by a US breeder employed with a division of PepsiCo Inc – a manufacturer of potato chips sold under its Lay’s brand.
• PepsiCo India was granted a certificate of registration (by PPVFRA) for FL 2027 for 6- years in 2016. During this period nobody else could commercially produce, sell, market, distribute, import or export it without the breeder’s authorisation.

Why was the registration revoked?
• PPVFRA revoked the registration for FL 2027 in 2021 and rejected PepsiCo India’s application for renewal of its registration, for lack of novelty. PepsiCo challenged both orders before the Delhi HC. The court upheld the PPVFRA’s decision.
• The Delhi High Court has faulted PepsiCo for wrongly applying for registration of FL 2027 under the category of “new variety” and giving an incorrect date for its first commercialization.

What is the Plant Variety Protection and Farmer’s Right act, 2001?
• The Plant Variety Protection and Farmer’s Right act, 2001 is an act of the Parliament of India that was enacted to provide for the establishment of an effective system for protection of plant varieties, the rights of farmers and plant breeders, and to encourage the development and cultivation of new varieties of plants.
• The act allows farmers to plant, grow, exchange & sell patent-protected crops, including seeds, & only bars them from selling it as “branded seed”.
• The act recognised three roles for the farmer: cultivator, breeder & conserver.
• Breeders’ Rights - Breeders will have exclusive rights to produce, sell, market, distribute, import or export the protected variety.
• Researchers’ Rights - Researchers can use any of the registered varieties under the Act for conducting experiments or research.
• Farmers’ Rights - A farmer who has evolved or developed a new variety is entitled to registration and protection in like manner as a breeder of a variety; Farmers’ variety can also be registered as an extant variety – satisfying only the criteria of distinctiveness, uniformity and stability, but not a novelty.
• The act also established the PPVFRA and the Registry to carry out the functions of registration, benefit sharing, gene fund, compulsory license, appeals, etc. The act also provides for the protection of innocent infringement, rights of communities, exemption from fees and recognition and reward from the gene fund for farmers.

What is The Gene Fund?
• The gene fund is a fund constituted by the Government of India under section 45 of the Protection of Plant Varieties and Farmers’ Rights Act, 2001.
• The fund is used for supporting the conservation and sustainable use of genetic resources of plants, rewarding the farmers and communities who are engaged in the preservation and improvement of land races and wild relatives of economic plants, and sharing the benefits arising from the registration of plant varieties with the farmers.