No Compromise: India Protects Patents Act in High-Stakes UK Trade Pact

India, the “pharmacy of the world,” has long been a lifeline for millions, churning out affordable generic medicines that make healthcare accessible across the Global South. With over $25 billion generic drug industry exporting half its production, India’s commitment to low-cost medicine is a global game-changer. Yet, this role has often pitted it against pharmaceutical giants and developed nations pushing for tighter intellectual property (IP) rules. The India-UK Free Trade Agreement (FTA), finalized on July 24, 2025, showcases India’s firm stand in safeguarding its generic drug industry while navigating complex trade dynamics. By rejecting patent evergreening and data exclusivity—tactics Big Pharma uses to prolong monopolies—India has struck a bold balance between public health and international trade. This article dives into how India’s resolute stance, as highlighted in a July 29, 2025, Economic Times report, reflects its dedication to affordable healthcare while addressing foreign pressures and trade opportunities.

The Stakes: Evergreening and Data Exclusivity:

Evergreening is a clever ploy: pharmaceutical companies tweak existing drugs—think new dosages or slight formula changes—and secure fresh patents to extend their market control beyond the standard 20 years. These tweaks rarely add meaningful therapeutic value but delay cheaper generics, keeping prices sky-high. Data exclusivity, meanwhile, blocks generic makers from using original clinical trial data for regulatory approval, forcing them to run costly, redundant trials. This stalls generic drug launches, hitting hardest in poorer nations where every dollar counts.

The Economic Times noted on July 29, 2025, that “the India-UK free trade agreement (FTA) does not mandate patent term extensions or data exclusivity, which are two common tools of evergreening of patents, the commerce and industry ministry said Monday, adding that this would protect the interests of the domestic generic drugs industry.” This clarity from the ministry signals India’s triumph in shielding its generic sector from provisions that could favor multinational giants like AstraZeneca or GSK, ensuring medicines remain within reach for millions.

Facing Down Foreign Pressure:

The UK, a hub for pharmaceutical innovation, pushed hard for data exclusivity during FTA talks, echoing demands made by the European Free Trade Association (EFTA) in 2024. These “TRIPS-plus” provisions, which go beyond the World Trade Organization’s Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement, prioritize innovator companies but threaten India’s ability to supply affordable generics to its 1.4 billion people and countless others globally. An expert quoted in The Economic Times emphasized that “data exclusivity is beyond the provisions of the Trade Related Aspects of Intellectual Property Rights (TRIPS) agreement under the WTO,” giving India solid ground to push back.

India’s resistance isn’t just about principle—it’s about lives. The country’s generic industry has slashed costs dramatically, like when compulsory licensing in 2012 dropped Bayer’s cancer drug Nexavar from $5,500 to $175 a month. By rejecting data exclusivity and preserving Section 3(d) of the Indian Patent Act, which bars patents for minor drug tweaks unless they significantly improve efficacy, India ensures generics hit the market faster. The commerce ministry’s statement that “India’s patent law provisions on patentability criteria under Section 3(d) remain fully protected” is a clear signal: India won’t bend to foreign advocacy at the expense of public health.

A Global Health Lifeline:

India’s firm stand resonates far beyond its borders. Developing nations rely on its generics to combat diseases like tuberculosis and HIV. Médecins Sans Frontières (MSF) has flagged data exclusivity as a threat to drugs like delamanid, critical for multi-drug-resistant tuberculosis. In 2022, leaked FTA drafts raised red flags among activists, hinting at provisions that could curb pre-grant patent oppositions or weaken anti-evergreening measures. MSF’s Leena Menghaney warned, “India should stay vigilant and not allow barriers to affordable medicines to be written into FTA negotiations.” The final agreement’s rejection of these provisions proves India listened, cementing its role as a global health champion.

But the fight isn’t one-sided. The UK and other developed nations argue that stronger IP protections fuel innovation, enabling the development of new drugs. Without patents or data exclusivity, they claim, companies might hesitate to invest billions in research. India, however, counters that innovation shouldn’t come at the cost of access. The TRIPS agreement already balances these interests, and India’s generics don’t stop innovation—they democratize its benefits.

Trade Wins Without Compromise:

The FTA isn’t just about medicine; it’s a masterclass in balancing priorities. India secured zero-duty access for over 95% of its agricultural exports to the UK, boosting farmers and traders, while granting duty concessions on British niche products like cranberries and durians, which don’t compete with Indian crops. This give-and-take shows India’s knack for negotiating trade gains without sacrificing its generic industry.

Still, there’s a shadow of concern. Some experts worry the FTA’s focus on voluntary licensing—where generic makers negotiate with patent holders—could weaken compulsory licensing, a TRIPS tool allowing governments to authorize generic production in emergencies. The agreement’s nod to “adequate remuneration” for patent holders raises questions about potential hurdles. While the government insists compulsory licensing rights are untouched, full transparency in the IP chapter’s terms would ease these concerns.

Conclusion:

A Purposeful Advance – Guiding Progress with Balance:

India’s firm stand in the UK FTA is a compelling narrative of principle meeting pragmatism. By blocking evergreening and data exclusivity, India protects not just its citizens but millions worldwide who depend on its generics. Yet, the tension between trade and health equity looms large. Can India keep fending off Big Pharma’s influence while forging global partnerships? The UK FTA suggests it can, blending trade wins with a fierce defense of affordable healthcare.

This isn’t just a policy win—it’s a moral statement. ‘India’s vigilance is critical to keeping medicines accessible’. In a world where healthcare is often a luxury, India’s fight to make it a right is both a challenge to global powers and an inspiration. As more FTAs loom, India’s ability to hold this line will shape not just its future but the health of nations worldwide.

By: Tapan J. Ray

Disclaimer: The views/opinions expressed in this article are entirely my own, written in my individual and personal capacity. I do not represent any other person or organization for this opinion.