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<\/div>\n<\/div>\n<\/div>\n<\/section>\n<\/div><\/div>\n<\/div>\nThe European Union and United States are urging India to accept \u201cdata exclusivity\u201d provisions in free trade agreements, but a GTRI report has warned otherwise. Think tank Global Trade Research Initiative (GTRI) has cautioned that such commitments could damage its agrochemical industry, increase dependence on imports and raise costs for farmers. Furthermore, it could also \u201cundermine one of India\u2019s most competitive export sectors.\u201dThe report says data exclusivity would create an extra monopoly on top of patents by stopping regulators from using existing safety and field-trial data to approve cheaper generic pesticides for five to ten years. This would delay generic products even after patents expire or when no patent exists, forcing companies to either wait or repeat costly trials.\u201cData exclusivity prevents regulators from relying on safety and field-trial data submitted by original innovators to approve generic versions of pesticides and crop-protection products for a fixed period, typically five to 10 years. In effect, it creates an additional monopoly even after patents expire or where no patent exists. Generic firms are forced either to wait for exclusivity periods to end or repeat costly trials,\u201d the report stated. GTRI also added that these demands go beyond WTO rules and are therefore \u201cTRIPS-plus\u201d requirements, which India is not obliged to follow under the WTO TRIPS Agreement.According to the report, Article 39.3 of the TRIPS Agreement only requires protection of undisclosed test data from unfair commercial use or disclosure. It does not grant exclusive rights over the data or restrict regulators from relying on it for approvals.Historically, India has opposed such provisions in WTO and bilateral negotiations, arguing they primarily benefit multinational corporations at the cost of domestic generic industries.India\u2019s agrochemical sector<\/span>India\u2019s agrochemical industry has become a key global supplier of affordable pesticides, herbicides and crop-protection chemicals, generating a trade surplus of nearly $14 billion over the past five years.The country is now the world\u2019s third-largest agrochemical exporter, with exports rising from $1.7 billion in 2012\u201313 to $4.4 billion in 2024\u201325, a growth of 159%. Indian products are exported to more than 150 countries and support thousands of MSMEs, formulation units and rural supply chains.The report notes that nearly 90% of the global agrochemical market consists of generic products, an area where India has built strong competitiveness.Despite not offering data exclusivity, India continues to show strong innovation in agrochemicals. Between January and April 2026, the country approved 84 new pesticide registrations, among the highest globally.Over the past two years, 36 new pesticide molecules were registered, reportedly more than countries such as Brazil, Malaysia and Thailand, which already provide data exclusivity protections.The 36th Standing Parliamentary Committee on Agriculture, Animal Husbandry and Food Processing had earlier observed in December 2021 that India\u2019s large agrochemical market and vast arable land were sufficient to attract new molecules even without data protection.Concerns over domestic policy changes and lobbying<\/span>The report also flags concerns that data exclusivity provisions could be introduced through the proposed Pesticide Management Bill. Public comments on the draft notification were invited until February 4, 2026, amid allegations that multinational corporations are lobbying for stronger exclusivity rules.The think tank said, \u201cThe issue has become particularly important because India is currently negotiating multiple trade agreements where developed countries are seeking stronger intellectual property commitments extending beyond WTO obligations. Industry groups fear that data exclusivity clauses may also find their way into domestic legislation through the proposed Pesticide Management Bill, for which comments on the draft notification were invited until February 4, 2026. Industry representatives claim multinational corporations are lobbying for explicit exclusivity clauses in the legislation.\u201dIndia\u2019s past \u201cde facto\u201d exclusivity experience<\/span>Reinforcing its point, GTRI pointed to India\u2019s earlier experience between 2007 and 2017, when executive restrictions effectively created a \u201cde facto\u201d data exclusivity regime.During this period, agrochemical imports surged by 547%, while domestic manufacturers struggled to compete. Imported pesticides were sold at monopoly prices.GTRI stated, \u201cSome products banned elsewhere reportedly entered the Indian market during this period, while imported molecules were repackaged and sold at high prices. One frequently cited example is Halosulfuron Methyl 75%, a 25-year-old herbicide imported at around Rs 12,000 per kilogram and sold in India at over Rs 40,000 per kilogram.\u201dThe report further warned that granting data exclusivity in addition to patents would create a second monopoly layer without ensuring domestic manufacturing or technology transfer. It argues this could undermine competition in the generic market and distort pricing.Impact on farmers and national policy goals<\/span>GTRI cautions that accepting such provisions could weaken India\u2019s \u201cMake in India\u201d and \u201cAtmanirbhar Bharat\u201d objectives by increasing import dependence and raising input costs for millions of farmers.It concludes that India\u2019s strength in generics and regulatory flexibility under WTO rules has been central to its global agrochemical competitiveness, and any shift towards TRIPS-plus obligations could significantly alter the sector\u2019s growth trajectory.<\/div>\n