Subject Matter of Protection

Section 2 

(b) "biological diversity" means the variability among living organisms from all sources and the ecological complexes of which they are part, and includes diversity within species or between species and of eco-systems.

(c) "biological resources" means plants, animals and micro-organisms or parts thereof, their genetic material and by-products (excluding value added products) with actual or potential use or value, but does not include human genetic material;

Beneficiaries or Rightholders

Section 2

(a) "benefit claimers" means the conservers of biological resources, their byproducts, creators and holders of knowledge and information relating to the use of such biological resources, innovations and practices associated with such use and application.

Scope of Protection

Section  3

(1) No person referred to in sub-section (2) shall, without previous approval of the National Biodiversity Authority, obtain any biological resource occurring in India or knowledge associated thereto for research or for commercial utilization or for bio-survey and bio-utilization.
(2) The persons who shall be required to take the approval of the National Biodiversity Authority under sub-section (1) are the following, namely:
      (a) a person who is not a citizen of India;
      (b) a citizen of India, who is a non-resident as defined in clause (30) of section 2 of the Income-tax Act, 196 1;
      (c) a body corporate, association or organization-
            (i) not incorporated or registered in India; or
            (ii) incorporated or registered in India under any law for the time being in force which has any non-Indian participation in its share capital or management.

Section 21

(1) The National Biodiversity Authority shall while granting approvals under section 19 or section 20 ensure that the terms and conditions subject to which approval is granted secures equitable sharing of benefits arising out of the use of accessed biological resources, their by-products, innovations and practices associated with their use and applications and knowledge relating thereto in accordance with mutually agreed terms and conditions between the person applying for such approval, local bodies concerned and the benefit claimers.
(2) The National Biodiversity Authority shall, subject to any regulations made in this behalf, determine the benefit sharing which shall be given effect in all or any of the following manner, namely:
      (a) grant of joint ownership of intellectual property rights to the National Biodiversity Authority, or where benefit claimers are identified, to such benefit claimers;
      (b) transfer of technology.
      (c) location of production, research and development units in such areas which will facilitate better living standards to the benefit claimers;
      (d) association of Indian scientists, benefit claimers and the local people with research and development in biological resources and bio-survey and bio-utilization;
      (e) setting up of venture capital fund for aiding the cause of benefit claimers;
      (f) payment of monetary compensation and non-monetary benefits to the benefit claimers as the National Biodiversity Authority may deem fit.

Exceptions and Limitations

Section 5

(1) Sections 3 and 4 not to apply to certain collaborative research projects. The provisions of sections 3 and 4 shall not apply to collaborative research projects involving transfer or exchange of biological resources or information relating thereto between institutions, including Government sponsored institutions of India, and such institutions in other countries, if such collaborative research projects satisfy the conditions specified in sub-section (3).
(2) All collaborative research projects, other than those referred to in sub-section (1) which are based on agreements concluded before the commencement of this Act and in force shall, to the extent the provisions of agreement are inconsistent with the provisions of this Act or any guidelines issued under clause (a) of sub-section (3), be void.
(3) For the purposes of sub-section (1), collaborative research projects shall-
      (a) conform to the policy guidelines issued by the Central Government in this behalf;
      (b) be approved by the Central Government.