Mandatory Disclosure of 'Genetic Resource' Sources... KIPO Says "Limited Impact on Companies"

Disclosure of the source of genetic resources has been made mandatory. However, the Korean Intellectual Property Office (KIPO) evaluated that, as a result of cooperation and response with advanced countries, Korea's position was reflected in a balanced manner. It also provided an analysis that the impact on domestic companies would be limited.

According to KIPO on the 29th, the World Intellectual Property Organization (WIPO) held a diplomatic conference at its headquarters in Geneva, Switzerland, from the 13th to the 24th, and concluded the WIPO treaty on intellectual property, genetic resources, and associated traditional knowledge.

The treaty mandates that when filing a patent application based on genetic resources and associated traditional knowledge, the applicant must disclose source information such as the country of origin of the genetic resource, the provider institution, and the indigenous people (local community) who provided the related traditional knowledge. Furthermore, violations of this requirement may be subject to sanctions under the domestic laws of each member country.

The government dispatched a delegation composed of the Ministry of Foreign Affairs, KIPO, and the Korea Intellectual Property Research Institute to the WIPO diplomatic conference to ensure that the treaty becomes an international norm aligned with national interests, cooperating and responding with advanced countries such as the United States, Japan, Canada, and the United Kingdom.

As a result, it was evaluated that the treaty content overall reflects a balanced perspective between advanced countries and developing countries.

First, from the standpoint of Korea and advanced countries, the treaty clarified the “subjects and scope of source disclosure” for genetic resources at the time of patent application, which was a key issue.

Most importantly, the treaty limits sanctions so that non-compliance with source disclosure alone cannot lead to patent invalidation or other penalties. Additionally, the scope of participation in diplomatic conferences for future treaty amendments is not limited to contracting parties but extended to all WIPO member states, which aligns with Korea’s position.

The treaty can be signed at the WIPO headquarters in Geneva, Switzerland, for one year, and will come into effect three months after 15 countries deposit their instruments of ratification.

Previously, Korea, judging that the treaty imposed unnecessary obligations on applicants, did not sign the treaty along with the United States, Japan, and others. Korea plans to remain cautious about joining the treaty in the future.

KIPO analyzed that considering more than 40 countries including China, the EU, Brazil, and India already operate source disclosure systems, there may be no immediate significant changes or major impacts on companies after the treaty comes into effect.

A KIPO official stated, “To alleviate the burdens and concerns of domestic pharmaceutical and bio companies arising from the treaty’s conclusion, we plan to hold related briefing sessions and continuously monitor and provide information on source disclosure systems of treaty member countries and others.”

Meanwhile, prior to the treaty’s conclusion, developing countries rich in genetic resources such as Brazil, India, and African nations have advocated for the international standardization of mandatory source disclosure as a means to achieve the obligations of “Access and Benefit-Sharing (ABS) of genetic resources” imposed by the Nagoya Protocol concluded in 2010.

In contrast, advanced countries have strongly opposed the standardization, arguing that source disclosure of genetic resources is unrelated to patent requirements, and that mandatory source disclosure not only hinders research and development related to genetic resources but also imposes burdens on patent applicants.