TRIPSHistorytripshistorytripshistory.ppt

Shubhangisoni9 9 views 9 slides Aug 08, 2024
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About This Presentation

Trips history trips history trips history trips history trips .................,.............................. ............ ........................,............... 1234567890123456789012The TRIPS agreement introduced intellectual property law into the multilateral trading system for the first time ...


Slide Content

The History of TRIPS

Motivation
•Paris Convention and PCT failed to
provide American pharmaceutical
companies patent protection in developing
countries they considered adequate
•They sought firmer mandatory minima and
guarantees of effective enforcement

The Failed WIPO Initiative
•Late 1970s: U.S. pharmas and USPTO
representatives asked WIPO to organize a
diplomatic conference to revise Paris
Convention
•WIPO Director General refused
–Developing countries opposed
–One-country, one-vote principle made the
initiative hopeless

GATT
•General Agreement on Tariffs and Trade
•1950s: major trading nations achieve significant
tariff reductions through bilateral negotiations,
universalized by MFN principle
•“Kennedy Round” (1960s): linear-cut strategy
–Participating countries agree to initial major tariff
reduction, then negotiate over exceptions
•“Tokyo Round” (1970s): reduction of “non-tariff
barriers” to trade through “linkage”:
–Burdensome customs procedures
–Import-licensing schemes
–Export subsidies

Emergence of the “GATT Strategy”
•Leadership assumed by Advisory Committee on
Trade Policy and Negotiation (ACTPN)
–Formed in 1979 to provide advice to U.S. President
on trade
–Chaired by CEOS of Pfizer and IBM
•ACTPN persuades USTR to include IP in next
round of GATT negotiations
–Harmonized higher levels of protection
–Guaranteed protection for software
–“take it or leave it” principle

Recruiting Allies
•Film, Music, Book producers
–Generally satisfied with Berne Convention
–Preferred tried-and-true §301 strategy to
unpredictable trade negotiations
•Under 1974 Trade Act, supplemented by the Omnibus Trade
and Competitiveness Act of 1988, USTR identifies countries
that fail to provide adequate protection for IPRs – and, if
necessary, imposes trade sanctions
–Dragged reluctantly into process by USTR
•European & Japanese pharmaceutical and
computer firms
–Recruited by American counterparts
–Common interest in higher levels of protection

Getting Opponents to the Table
•Virtually all developing countries resist
–Group of Ten (in GATT): Argentina, Brazil,
Cuba, Egypt, India, Nicaragua, Nigeria, Peru,
Tanzania, Yugoslavia
•USTR initiates §301 procedures against
Brazil and South Korea
–Makes clear that it will do the same with other
countries unless they agree to include IP in
trade negotiations
•1986: all agree

Negotiations, 1986-1994
•Developing Countries continue to resist on types of IP
covered, subject matter, etc.
•1988: “Basic Framework of GATT Provisions on
Intellectual Property, Statement of Views of the
European, Japanese and United States Business
Communities”
–Concessions (suggested by Europeans): MFN principle; offers of
technical assistance to developing countries; implementation
delays
•1989: Abortive Vanderbilt Conference
–Reichman fair-use proposal
•1990: “Draft Composite Text,” prepared by GATT
Secretarist, incorporated into:
•1991 “Dunkel Draft,” prepared by GATT Director General
•1992-1993 Negotiations finally produced agreement on
Uruguay Round package

TRIPS Tradeoff
•Developing countries accept TRIPS
obligations
•Developing countries receive in return:
–Liberalized trade in textiles and agricultural
products;
–Hope of relief from §301 actions;
–Some leeway in permissible exceptions to
higher IP standards
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