Chapter

The Accumulation of Capabilities in Indian Pharmaceuticals and Software: The Roles that Patents Did (and Did Not) Play

Bhaven N. Sampat

in Intellectual Property Rights, Development, and Catch-Up

Published in print April 2010 | ISBN: 9780199574759
Published online May 2010 | e-ISBN: 9780191722660 | DOI: http://dx.doi.org/10.1093/acprof:oso/9780199574759.003.0011
The Accumulation of Capabilities in Indian Pharmaceuticals and Software: The Roles that Patents Did (and Did Not) Play

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This chapter discusses India. Following the 1972 patent law amendment that prohibited product patents in pharmaceuticals, new Indian pharmaceutical firms entered and old firms expanded, competing to reverse‐engineer bulk drugs. Also, two government pharmaceutical firms provided a training ground for scientists who later established private firms. Since the 1990s, some firms began to move away from imitation to innovation but, with the 2005 reform of the patent law to comply with TRIPS, the future of the pharmaceutical industry is yet unclear. In software, the growth was supported by the liberalization in the 1980s and 1990s that made the import of hardware and multinationals' investment easier, and by the presence of a large pool of technically trained engineers. Unlike pharmaceuticals, however, patents were generally not a big factor.

Keywords: India; pharmaceutical; software; patent; TRIPS

Chapter.  7785 words. 

Subjects: Innovation

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