Govt to formulate IPR policy, set up think tank
The Government on Monday said it is working on the proposal to liberalise foreign direct investment (FDI) norms in the construction sector. Commerce and Industry Minister Nirmala Sitharaman said that the easing of norms are underway for FDI in construction development sector.
Under current rules, 100 per cent foreign direct investment is allowed through the automatic route in development of townships, housing and built-up infrastructure, subject to stringent conditions.
According to sources, the Ministry has already floated a draft Cabinet note on the matter. It has proposed to bring down the minimum built-up area requirement for FDI in construction projects from 50,000 sq metres to 20,000 sq metres. It has also proposed reducing the minimum capital requirement for such projects from $10 million to $5 million.
The Government has recently liberalised FDI norms for the defence sector, increasing the FDI cap from 26 per cent to 49 per cent.
It also permitted 100 per cent foreign investments through the automatic route in a number of areas in the railways, including high-speed trains, railway line, passenger terminals and coaches manufacturing and maintenance facilities.
But, sticking to NDA stand on foreign direct investment (FDI), Sitaraman made it clear that FDI will not be allowed in multi-brand retail.
“We are clear that FDI will not be allowed in multi-brand retail trade. We shall not entertain FDI in MBRT. There is no ambiguity.
There is no confusion on this,” she said while addressing a press conference to mark 100 days of the new Government.
Sitharaman said her party, BJP, has clearly articulated its position on the MBRT and had won the elections on the basis of the manifesto.
Talkning about intellectual property rights she said that the Government would come out with a policy on intellectual property rights and set up a think tank on IPR to strengthen the country’s patent regime and encourage innovation.
“India does not have an IPR policy. This is the first time we are coming out with an IPR policy. IPR policy issues have been hanging for quite a long time,” she said.
When asked about the timeline for the new policy, she said it may take about six months.
The IPR policy also assumes significance in view of the issues being raised by developed countries such as the US.
Sitharaman said all the countries have IPR policy and hence it is imperative for India to have one.
“It will give direction in terms of protecting IPR of India on which several issues are there. With the US, we have (certain) issues... India has become a brand in terms of pharma... We are very strong in IPR and we certainly want to protect our interest,” she said.
The ministry will also soon have a think tank that will enable it to handle the IPR issues more firmly, she added. “We are going to have the benefit of experts (of the think-tank), who will constantly keep us informed about developments on international IPR issues, flag off concerns...”
The think tank will have about 15-20 members on the IPR including professors, end-users and legal experts.