Biopharma Drugs Innovation in India and Foreign Investment and Technology Transfer in the Changed Patent Regime

This chapter addresses the relationship between the intellectual property rights and Foreign Direct Investment in the context of Indian biopharma Industry to assess the impact of the TRIPs agreement of WTO on the biopharmaceutical industry of developing countries. The central issue in this study is the extent to which patent reform (after the imposition of the TRIPs agreement in 1995) affects India’s ability to attract technology transfer for biopharmaceutical drugs innovation. The study analyzes FDI flow in the biopharma industry in Pre TRIPs (before the imposition of product patent protection 1991-1999) and post TRIPs (after product patent protection, 1999-2005). It does a comparative analysis of the relationship between the amount of foreign investment in different Indian states and the investment climate ranking of those states that are the part of Indian bio cluster.