Patent and Trade-marks may be split into separate entities

With a pile-up of over 4.40 lakh applications for trade-marks and 76,000 for patents, the government is mulling separate establishments for handling the claims for the two key Intellectual Property Rights (IPRs).

At present, these IPRs along with the Geographical Indications (GIs) are all divisions under the Controller General of Patents, Designs and Trade Marks (CGPDTM).

Besides, the Department of Industrial Policy and Promotion, is considering whether to make trade-marks and patents autonomous establishments -generating their own revenues and sustaining themselves.

These ideas have been floated by the DIPP in a discussion paper, seeking comments of the stakeholders by November 30.

It said the objective of the exercise is to enhance the efficiency of the CGPDTM through reorganisation.

After the implementation of WTO's norms on IPRs, there has been a significant increase in the number of filing of applications for trademarks, patents and designs and consequent increase in the volume of connected statutory proceedings.

"The work on a single authority of the CGPDTM arising out of all these statutes has become unmanageably heavy," the paper said.

With 26 trade-marks examiners only and 1.42 lakh filings in 2009-10, each needed to handle 5,459 filings, much bigger than 3,800 applications handled by a Chinese examiner, it said.

In comparison, the Indian situation is more demanding.

"Since this is an impossible task, pendency is natural and has been increasing," the paper said.

The argument for making the two wings autonomous also flows from Rs 250 crore the Patent and Trade-marks division contributed to the exchequer, as compared to an overall non-plan expenditure of Rs 40 crore.

"Autonomy will ease the operational problems and give the flexibility to hire technically-qualified personnel."

As per the proposal, the CGPDTM will be divided into two entities. One will comprise Trademark and GI Registry and the other would  for Patent and Design Office.

As per the DIPP, over 4.40 lakh applications for trade-marks and 76,000 for patents were pending in 2009-10.