Concerns Raised Over Data Protection Committee on Agrochemicals
13 December 2024, New Delhi: The recent establishment of a Data Protection Committee, chaired by Mr. Faiz Ahmed Kidwai, Additional Secretary in the Ministry of Agriculture & Farmers Welfare, has sparked criticism within the agrochemical industry. Mr. Deepak Shah, Chairman of the Crop Care Federation of India (CCFI), representing Indian agrochemical manufacturers, voiced strong concerns, stating that the move could disproportionately favor multinational corporations and import lobbies, potentially harming the domestic industry.
“Data protection serves the interests of MNCs and the import lobby while severely disadvantaging indigenous manufacturers,” said Mr. Shah. He revealed that CCFI had submitted a representation to all nodal ministries on 28th November 2024, highlighting the lack of provisions for data protection under the Insecticides Act, 1968, and presenting evidence against such measures.
Impact on Farmers and Domestic Industry
Mr. Shah emphasized that the 20-year patent period already provides sufficient time for innovators to recover their investments in invention, data development, and registration. Extending data protection or exclusivity beyond the patent period would create monopolies, leading to inflated prices for pesticides, ultimately burdening small and marginal farmers.
He referred to a Parliamentary Committee Report from December 2021, which explicitly recommended against data protection beyond the patent period. The report concluded that a 20-year patent duration sufficiently rewards inventors while ensuring affordable and quality pesticides for Indian farmers. “Provisions for data protection beyond the patent period will harm domestic manufacturers and make pesticides unaffordable for our farming community,” he said.
Historical Recommendations Against Data Exclusivity
Mr. Shah also cited a 2015 recommendation by the Ministry of Commerce & Industry, which identified the risks of data exclusivity in the draft Pesticide Management Bill (PMB) and suggested its removal. The Ministry urged the Department of Agriculture and Cooperation to study the impact of data exclusivity on pesticide pricing, pointing out that imported formulations often yield profit margins exceeding 200%.
Limited Registrations and Questions on Data Protection
Highlighting inefficiencies in the agrochemical sector, Mr. Shah pointed out that only 339 pesticides were registered in India over the past 40 years, averaging 8 registrations annually. Between 2010 and 2022, 62 new molecules were patented, but only 27 products were commercially launched, leaving 35 expired patents unused. “Why should data protection even be considered for these expired patents? This raises serious questions about whose interests are being served,” he concluded.
Industry’s Stance
CCFI has called for the government to reconsider its stance on data protection, emphasizing that revisiting a settled issue would create additional barriers for generic product launches, delay market entry, and escalate costs for Indian farmers. “The focus should remain on affordable and accessible agrochemicals for all farmers, not monopolistic practices that harm the very backbone of our agriculture,” Mr. Shah asserted.
The industry’s concerns underscore the need for balanced policymaking that protects domestic manufacturers while ensuring affordable, quality inputs for Indian farmers.
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