The TRIPS Agreement (Trade-Related Aspects of Intellectual Property Rights) is one of the most comprehensive and influential international agreements on intellectual property (IP) protection. Established in 1995 under the framework of the World Trade Organization (WTO), it sets minimum standards for the regulation and enforcement of IP laws across member countries. The TRIPS agreement plays a crucial role in harmonizing intellectual property rights (IPRs) globally, linking them directly with international trade.
Salient Features of the TRIPS Agreement
1. Minimum Standards for IP Protection
The TRIPS Agreement lays down minimum standards for the protection and enforcement of various intellectual property rights. These include:
- Copyrights and related rights
- Trademarks
- Geographical indications
- Industrial designs
- Patents
- Layout designs of integrated circuits
- Undisclosed information (trade secrets)
Member countries are free to adopt more extensive protection, but they must at least comply with the TRIPS baseline.
2. National Treatment Principle
Under Article 3 of the TRIPS Agreement, each WTO member must offer national treatment, meaning they must provide the same level of IP protection to foreign nationals as they do to their own citizens.
3. Most-Favoured-Nation (MFN) Treatment
Article 4 of TRIPS mandates that any advantage, favour, privilege, or immunity granted by a member to nationals of another country must be extended unconditionally to all WTO members. This prevents discriminatory practices in IP enforcement.
4. Enforcement of IPRs
The agreement includes detailed provisions on enforcement mechanisms, such as:
- Civil and administrative procedures
- Injunctions and damages for infringement
- Border measures to prevent the import of counterfeit and pirated goods
- Criminal procedures for willful trademark counterfeiting or copyright piracy
This ensures that rights are not only recognized in theory but also protected in practice.
5. Dispute Settlement Mechanism
A unique feature of the TRIPS Agreement is its integration into the WTO Dispute Settlement System. If a country fails to comply with its TRIPS obligations, affected members can challenge the matter before the WTO’s Dispute Settlement Body (DSB), thereby giving the agreement real enforcement power.
6. Transition Periods for Developing Countries
TRIPS acknowledges the varying levels of economic development across countries. It allowed:
- Developed countries to comply immediately upon ratification.
- Developing countries a 5-year transition period.
- Least-developed countries (LDCs) an extended period, which has been further extended (currently till 2034 for pharmaceutical patents).
This phased implementation helps poorer nations gradually strengthen their IP laws.
7. Protection of Geographical Indications (GIs)
The TRIPS Agreement introduced strong protection for Geographical Indications, especially for wines and spirits. It also mandates WTO members to provide a system to protect GIs for other goods, such as Basmati rice, Darjeeling tea, or Champagne, as long as they meet certain criteria.
8. Patent Protection Provisions
- Patents must be available in all fields of technology, including pharmaceuticals and biotechnology.
- The minimum duration of protection is 20 years from the date of filing.
- TRIPS permits compulsory licensing under specific conditions (e.g., public health crises), ensuring a balance between innovation and accessibility.
9. Technology Transfer and Public Interest
While the TRIPS Agreement strengthens IP protection, it also encourages the transfer of technology to developing countries and provides flexibility for safeguarding public health, nutrition, and socioeconomic welfare.