The revision of patent legislation has put in place a stronger patent protection mechanism, in line with international standards or the standards set out in the agreement. The result was positive for India, as foreign investors were encouraged to invest in India. Domestic investments can be expected not to respond to the stricter patent system, but foreign direct investment (FDI) could do so. In addition, research and development spending (R-D) by national actors increased significantly in the period following the agreement, compared to the period prior to the agreement. (d) international agreements on intellectual property protection that came into force before the WTO agreement came into force, provided that these agreements are notified to the Council for the TRIPS AGREEMENT and do not constitute arbitrary or unjustified discrimination against nationals of other members. Article 27 of the agreement concerns patents, patentability of processes and inventions. The patentable object covered by the agreement represents inventions, whether products or processes, in all areas of technology, as long as they are new, involve an inventive/innovative approach and are industrially usable. However, the following conditions were excluded from the scope of patentability: more TRIPS conditions, which impose standards beyond TRIPS, were also examined. [38] These free trade agreements contain conditions that limit the ability of governments to introduce competition for generic drug manufacturers. In particular, the United States has been criticized for promoting protection far beyond the standards prescribed by the TRIPS. The U.S. free trade agreements with Australia, Morocco and Bahrain have expanded patentability by making patents available for new uses of known products. [39] The TRIPS agreement authorizes the granting of compulsory licences at the discretion of a country.

The terms of trips plus in the U.S. Free Trade Agreement with Australia, Jordan, Singapore and Vietnam have limited the application of mandatory licences to emergencies, remedies for cartels and abuse of dominance, and cases of non-commercial public use. [39] The Trade-Related Intellectual Property Rights Agreement (TRIPS) was negotiated between 1986 and 1994 as part of the Uruguay Round of the General Agreement on Tariffs and Trade (GATT), which led to the creation of the World Trade Organization (WTO). The TRIPS agreement sets minimum levels for different types of intellectual property protection, including copyright, trademarks, patents, industrial design and trade secret protection. WTO membership implies an obligation to respect the TRIPS agreement. According to the WTO, the agreement seeks to strike a balance between long-term social benefits to society through increased innovation and short-term costs to society due to lack of access to inventions (World Trade Organization: Intellectual Property: Protection and Enforcement. Appeal of the WTO agreement: agreements: wto.org/english/thewto_e/whatis_e/tif_e/agrm7_e.htm). The Agreement on Trade-Related Intellectual Property Rights (TRIPS) is an agreement of international law between all World Trade Organization (WTO) member states. It sets minimum standards for the regulation of different forms of intellectual property by national governments, as is the case for nationals of other WTO member states. [3] The TRIPS agreement was negotiated at the end of the Uruguay Round of the General Agreement on Tariffs and Trade (GATT) between 1989 and 1990[4] and is managed by the WTO.

Article 1 of the agreement provides that Member States implement the provisions of the agreement as Member States deem appropriate, i.e. that the standards of the provisions of the agreement constitute a ”minimum” to be maintained on the ground and that nations can continue to invoke full protection on national territory.