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INDIA

Since April 2013, last amended in October 2020
Since April 2020

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Consolidated Foreign Direct Investment (FDI) Policy Circular of 2020

Press Note No. 3, 2020 (Review of Foreign Direct Investment (FDI) policy for curbing opportunistic takeovers/acquisitions of Indian companies due to the current COVID-19 pandemic)
India has traditionally implemented FDI screening for investors from Bangladesh and Pakistan. According to Section 3.1.1 of the Consolidated FDI Policy 2020, non-resident entities may invest in India, subject to the conditions specified in the policy, except in prohibited sectors or activities. However, investment by citizens of Bangladesh or Pakistan is permitted solely through government approval. This regulatory requirement has been in effect since the enactment of the Consolidated FDI Policy Circular 2013 (Section 3.1.1).
Notwithstanding this framework, in April 2020, the Ministry of Commerce and Industry introduced the Review of Foreign Direct Investment (FDI) Policy for Curbing Opportunistic Acquisitions of Indian Companies (Press Note 3). Under this policy revision, the FDI regime was expanded to mandate government approval for investments from any entity based in a country that shares a land border with India. Furthermore, the policy stipulates that any direct or indirect transfer of ownership of existing or future FDI in India, which results in a change in beneficial ownership falling within the scope of the conditions set forth in the Press Note, will similarly require government approval.
This legislative adjustment primarily targeted China in response to escalating border tensions between the two nations. Since the introduction of Press Note No. 3, an estimated 150 private equity and venture capital investment applications from China and Hong Kong have remained pending government clearance.
Coverage Investments from Bangladesh, Pakistan and China

INDIA

Since April 2013, last amended in October 2020

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Consolidated Foreign Direct Investment (FDI) Policy Circular of 2020
According to Section. 6.2.14 of the 2020 Consolidated Foreign Direct Investment (FDI) Policy Circular, full foreign direct ownership is permitted in the telecommunications sector (including Category-I Telecommunications Infrastructure Providers). However, government approval is required for FDI above 49%. This regulatory requirement has been in effect since the enactment of the Consolidated FDI Policy Circular 2013 (Section 6.2.15).
Coverage Telecommunications sector and news

INDIA

Since September 1970, as amended in March 2005
Since May 2004, entry into force in May 2003, last amended in January 2013

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Patents Act, 1970 (Act No. 39 of 1970, as amended up to Act No. 15 of 2005)

Patents Rules, 2003 (as amended up to Patents (Amendment) Rules, 2012)
According to the Patent Act, 1970 (Act No. 39 of 1970, as amended up to Act No. 15 of 2005) and the Patents Rules, 2003 (as amended up to Patents (Amendment) Rules, 2012), applications for copyright, trademark and patents can be filed online, however, design applications can only be filed in person. Moreover, applicants who do not have a registered place of business in India are required to file applications through an Indian attorney or agent.
Coverage Horizontal

INDIA

Since September 1970, as amended in March 2005
Since May 2004, entry into force in May 2003, last amended in January 2013

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Patents Act, 1970 (Act No. 39 of 1970, as amended up to Act No. 15 of 2005)

Patents Rules, 2003 (as amended up to Patents (Amendment) Rules, 2012)
In 2002, the foreign filing license requirement was introduced in the Indian Patents Act of 1970. This requirement provides that any inventor who is a resident of India should file a patent application for his/her own invention first in India. The patent application can be extended internationally only six weeks after the initial filing date. Alternatively, the inventor is required to obtain the controller’s permission for filing the patent application outside India. However, given that the process is reported as burdensome, applying first in India is the preferred way of complying with these provisions. The violation of such rule results in criminal liability under Section 118 of the Indian Patent Act of 1970, with consequent monetary fine or imprisonment of up to two years, in addition to the impossibility of proceeding with the patent application.
Coverage Horizontal

INDIA

Reported in 2019, last reported in 2023

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the enforcement of patents
Practical restrictions related to the enforcement of patents
It is reported that the potential threat of patent revocations, lack of presumption of patent validity, and the narrow patentability criteria under the India Patents Act impact companies across different sectors. In addition, it has been reported that courts take a significant amount of time to make a final decision in a patent case. A patent lawsuit ordinarily takes approximately five to seven years to be finally decided after trial if contested by the other party. The Commercial Courts Act is helping to speed up the process with case management hearings and time-bound trials. However, the backlog of cases at the court and the shortage of judicial officers have an impact on the time it takes for a final decision on a case.
Coverage Horizontal

INDIA

Since December 1988

Pillar Intellectual Property Rights (IPRs)  |  Indicator Participation in the Patent Cooperation Treaty (PCT)
Patent Cooperation Treaty
India is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal

INDIA

Since June 1957, entry into force in January 1958, last amended in August 2021

Pillar Intellectual Property Rights (IPRs)  |  Indicator Copyright law with clear exceptions
The Copyright Act, 1957 (Act No. 14 of 1957, as amended up to Act No. 33 of 2021)
The Copyright Act of 1957 provides a clear regime of copyright exceptions that follows the fair dealing model, which enables the lawful use of copyrighted work by others without obtaining permission. According to Art. 52.1, a fair dealing with any work (not being a computer programme) for the purposes of private or personal use, criticism or review and the reporting of current events and current affairs does not constitute an infringement of copyright.
Coverage Internet intermediaries

INDIA

Reported in 2017, last reported in 2023

Pillar Intellectual Property Rights (IPRs)  |  Indicator Enforcement of copyright online
Lack of adequate enforcement of copyright online
Copyright is not adequately enforced online in India. It is reported that, despite efforts to combat websites hosting pirated content, enforcement by courts and police officers remains weak. There is a lack of familiarity with investigation techniques, and the absence of a centralised IP enforcement agency, coupled with poor coordination between national and state levels, undermines the progress made. Stakeholders report ongoing issues such as unauthorised file-sharing of video games, signal theft by cable operators, commercial-scale photocopying, unauthorised reprints of academic books, and circumvention of technological protection measures.
Coverage Horizontal

INDIA

Since September 2018, entry into force in December 2018

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Copyright Treaty
WIPO Copyright Treaty
India has ratified the World Intellectual Property Organization (WIPO) Copyright Treaty.
Coverage Horizontal

INDIA

Since September 2018, entry into force in December 2018

Pillar Intellectual Property Rights (IPRs)  |  Indicator Adoption of the WIPO Performances and Phonograms Treaty
WIPO Performances and Phonograms Treaty
India has ratified the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.
Coverage Horizontal

INDIA

N/A

Pillar Intellectual Property Rights (IPRs)  |  Indicator Effective protection covering trade secrets
Lack of comprehensive regulatory framework covering trade secrets
India lacks a comprehensive framework in place that provides effective protection of trade secrets, but there are limited measures addressing some issues related to them. As per the decision of the Delhi High Court in 1995, a trade secret is defined as any information with commercial value that is not available in the public domain and the disclosure of which would cause significant harm to the owner. Moreover, Indian courts and tribunals have upheld the protection of trade secrets under other laws such as contract law, copyright law, principles of equity, and common law action of breach of confidence (which is basically a breach of an obligation to keep a piece of information secret). In addition to the above, the Information Technology Law of 2000 also sets legal means of protection for confidential information in the form of electronic records.
Coverage Horizontal

INDIA

Since June 2020, until June 2025

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In June 2020, the Indian Ministry of Finance imposed a definitive duty on imports of electronic calculators (HS 847010, 390720) from Malaysia. The duty amounts to 0.92 USD per item. The duty is in force for a period of five years.
Coverage Product: Electronic Calculators (HS 847010, 390720)

Country: Malaysia

INDIA

N/A

Pillar Public procurement of ICT goods and online services  |  Indicator Signatory of the WTO Agreement on Government Procurement (GPA) with coverage of the most relevant services sectors (CPC 752, 754, 84)
Lack of participation in the WTO Agreement on Government Procurement (GPA)
India is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA). However, the country has been an observer of the agreement since 2010.
Coverage Horizontal

INDIA

Since April 2015, extended in April 2020, until April 2025

Pillar Tariffs and trade defence measures applied on ICT goods  |  Indicator Antidumping, countervailing duties, and safeguard measures on ICT goods
Antidumping measure
In April 2015, the Indian Ministry of Finance issued the Customs Notification imposing this definitive anti-dumping duty on imports of electrical insulators (HS 8546) originating in China. Electrical insulators are used to hold conductors in position, separating them from one another and from surrounding structures. This measure was reviewed and extended in April 2020. The rate of duty is USD 638 or USD 1,383 per tonne, depending on the company. The duty is in force for a period of five years.
Coverage Product: Electrical insulators (HS 8546)

Country: China

INDIA

Since April 2013, last amended in October 2020

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Consolidated Foreign Direct Investment (FDI) Policy Circular of 2020
As stipulated in Section 5.2.7.2 of the 2020 Consolidated Foreign Direct Investment (FDI) Policy Circular, foreign direct investment in broadcasting content services, specifically related to the uploading and streaming of news and current affairs via digital media, is limited to 26% and is subject to government approval.
Coverage Digital media

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