The Delhi High Court recently championed the ruling made by the Protection of Plant Varieties and Farmers’ Rights Authority (PPVFRA), revoking PepsiCo India’s intellectual property protection for a potato variety, FL 2027. This article provides an in-depth understanding of the specifics of the FL 2027 Potato Variety case, the PPVFRA’s role and functions, and regulations surrounding intellectual property protection.
About the FL 2027 Potato Variety
FL 2027, a potato variety specifically designed for chip production, was designed by Robert W Hoopes at Frito-Lay Agricultural Research for use by PepsiCo’s Lay’s brand. Its high dry matter, low sugar content, and decreased moisture content make it an ideal potato variety for chip manufacturing. This is because these qualities reduce dehydration and energy costs during processing and decrease the risk of blackening when fried.
The FL 2027 Potato Variety Case
On February 1, 2016, PepsiCo India Holdings received a certificate of registration for FL 2027 as an “extant variety” from PPVFRA. Essentially, this meant that no one else could commercially produce, sell, market, distribute, import, or export it without obtaining the breeder’s authorization during the validity period. However, the protection was revoked by PPVFRA due to incorrect information provided by PepsiCo about the first date of commercialization of the variety.
Reasons for Registration Revocation
PPVFRA revoked the protection in December 2021 after finding out that PepsiCo had provided an incorrect first date of commercialization of the FL 2027 potato variety. This false information led to the denial of PepsiCo’s application for renewal in February 2022. The authority also clarified that Indian laws do not permit patenting seed varieties, which PepsiCo challenged in the Delhi High Court.
Delhi High Court’s Ruling
The Delhi High Court supported PPVFRA’s decision to revoke the intellectual property protection, stating that PepsiCo had wrongly applied for registration of FL 2027 as a “new variety” and provided incorrect information regarding its first commercialisation date.
Protection of Plant Varieties and Farmers’ Rights Authority
The PPVFRA, an organization responsible for securing the rights of plant breeders and farmers in India, was established under the Protection of Plant Varieties and Farmers’ Rights (PPVFR) Act, 2001. This authority plays a vital role in granting intellectual property protection for plant varieties whilst safeguarding the rights of breeders and farmers.
Patent Infringement Issues with Other Foreign Companies in India
Many other foreign companies, including Monsanto, Novartis, and Ericsson, have also faced patent infringement issues in India. These cases often involve questions of novelty and intellectual property rights, resulting in legal battles over patents and royalties. For instance, the Delhi High Court granted Monsanto an interim injunction against Nuziveedu Seeds, an Indian seed company, in 2016. Similarly, Ericsson launched a patent infringement suit against Micromax, prompting the Delhi HC to direct Micromax to pay royalties based on the net selling price of its devices.
