WHY REGISTERATION OF IP IN EXPORT SHOULD BE GIVEN UTMOST PRIORITY?
Due to increase in IP crimes protecting IP has become integral part of the digitized era in order to promote innovation, creativity and competitiveness. However, it has been mistakenly believed by the exporters in India especially MSMEs in export business that by applying for trademark, patent or industrial design protection in their own country gives universal protection. The fact is IP protection has territorial limitation in the country where it is registered and therefore entrepreneurs should take steps to protect their IP in each country wherein they are willing to do business because it enhances your asset and provides competitive advantage internationally.
IP contribution in national economy is endless. There were many instances wherein creative ideas, brand logo or name, aesthetic features develop by original creator were stolen by the other countries and immense profits were earned without the consent or knowledge of the original creator which contributed in the economy development of those countries, leaving India behind in stagnant condition. Therefore, in order to protect the work and provide certain rights in the favour of the original creator, there is a need to protect IP against unauthorized third-party use. The following are the advantages for securing IP.
- Securing Intellectual Property in Exports Safeguards Domestic Company from falling to hard: IP-intensive industry employs millions of Indians also these industries are expected to grow at greater pace. Hence, infringement of the IP in exports by other unauthorized countries, leads to, in many cases shutting down of the domestic company which in turns creates unemployment and directly affects families and their standard of living. Therefore, securing IP safeguards Domestic Company and contributes in the economic development of the country.
- Securing Intellectual Property in Exports gives recognition and business opportunities: It improves the productivity and provides the sole right to use, sell, and modify the brand or goods in any way you see fit. It can use their logo or brand name or design to sell their goods and services in foreign countries. They can also obtain franchise arrangement from the foreign companies or indulge in exports of the proprietary products.
- Securing Intellectual Property protects innovation and motivates entrepreneurs: Failure and risk is the part and parcel of the innovation economy and in order to protect from such failure and mitigate risk IP holder’s have right to compensate from the unauthorized third-party user and facilities such as reimbursement for creating IP are available in the countries where the exports are done .This pushes entrepreneurs to explore more their innovative ideas. Also, IP rights facilitate the free flow of information by sharing the protected know-how critical to the original, patented invention. In turn, this process leads to new innovations and improvements on existing ones.
Not checking whether a IP is already registered or is being used by competitors in the export market causes lots of inconveniences because using a IP in another country that is identical or similar to one that is registered or is already being used there by a different company could be considered to be an infringement on the other firm's IP Rights. You may be asked to cease using such an IP or asked to pay damages for infringement, which may be a huge blow to the entire marketing and export strategy of your enterprise. Therefore, doing proper IP search in the relevant export market and IP registration in the countries wherein exports are done is a crucial step prior for initiating, facilitating recognition and protecting your export operations.
