FAQ's

Yes. If an entity has an annual turnover of less than Rupees Five crore, it is not obligated to pay the benefit sharing amount. However, such an entity has to comply with the following procedures:

1. The entity has to file an application with the NBA and complete the approval process.
2. If the annual turnover is above rupees one crore, the applicant has to submit an annual statement containing information regarding the biological resource utilized in the financial year in Form-A, within three months of finalisation of annual income tax or corporate tax return respect to that financial year.
3. For the entities covered under Section 7, manufacturing products containing both cultivated and non-cultivated medicinal plants, the benefit-sharing payment may not be payable in respect of the products, if notified by the MoEFCC, in consultation with the Authority and Ministry of Ayush, from time to time.

Yes. Section 4 of the BD Act mandates that the share or transfer of results of research by any person to a Section 3(2) person shall be with the prior approval of the NBA.

No, the Indian researchers are exempted from obtaining approval of SBB/NBA for accessing the biological resources including DSI or associated knowledge thereto, for undertaking research or bio-survey and bio-utilisation in India.

No. The collection fees to be paid to the BMC are in addition to the benefit-sharing component payable to the NBA/SBB.

The BMC is empowered under Section 41(3) of the BD Act to levy charges by way of collection fees from any person for accessing or collecting any biological resource for commercial purposes from areas falling within its territorial jurisdiction.

The collection fee, referred to as “access fee”, is, a nominal amount statutorily required to be paid to the BMC directly. BMC, as the overseer and protector, at the local level, of both the resource and the realisation of the right of the “benefit claimer”, besides being the custodian of the Biodiversity Register, is entitled to collect the fee, to meet part of its administrative expenses. As such, this statutory entitlement cannot in any way be considered as part of the benefit-sharing amount nor as a toll fee.

Any person covered under section 3(2) of the Act, who intends to use the results of research relating to biological resources or traditional knowledge associated thereto, for commercial utilisation, shall pay the benefit-sharing amount to the Authority as provided under sub-regulation (1) of regulation 4. The quantum of the benefit-sharing obligation shall be determined based on the annual turnover of the entity concerned as per the slab structure.

The Indian Forest Act 1927, Wildlife (Protection) Act, 1972 and the Forest (Conservation) Act, 1980 substantially address matters relating to the conservation of forests, protection of species and habitats, regulation of forest land diversion and sustainable use in forestry and wildlife sectors. However, these legislations do not cover regulating access to the biological resources, preventing biopiracy, ensuring benefit sharing with local communities arising out of use of biological resources and associated traditional knowledge. The Biological Diversity Act, 2002 covers all these aspects and thus fills a critical gap aligning domestic law with India’s obligations under the CBD.

No, when biological resources are used solely for testing of infringement of commercially available biological resources (hybrid/variety), it will not attract the provisions of the BD Act.

No. Scientists, researchers, and students are not required to obtain prior approval from the NBA for comparing holotype or herbarium samples within institutions such as herbaria, museums, universities, BSI, or ZSI. However, prior approval from the NBA is mandatory for taking such materials outside India.

Yes, permission from the NBA is required even if a biological resource is procured/ accessed from the market or a trader.

The responsibility for determining whether a material qualifies as a value-added product, biological resource, or derivative lies with the NBA. The NBA reviews each application on a “case-by-case basis”, considering the nature of the resource, how it aligns with the definitions provided under the Act and Rules.

• No. If the transferee {Section 3(2) entity} wants to utilise the obtained results of research for further research, they need to register with the NBA in Form-4.
• Similarly, for further commercial utilisation of the results of the research, prior approval of the NBA has to be obtained in Form-5. For obtaining any IPR within or outside India, prior approval from the NBA is required in Form-6 as per Rule 15 of the BD Rules,2024.
• In the case of accessing biological resources along with the obtained results of research for further research, prior approval from the NBA is required in the application in Form -1.

If a Section 3(2) applicant accesses certain biological resources, including digital sequence information or knowledge associated thereto, for research, the applicant has to pay the upfront payment as determined by the NBA. However, this upfront payment is not applicable in cases where the research is undertaken for academic purposes.

The biological resources notified under Section 40 of the BD Act are exempted when normally traded as commodities. However, obtaining IPR for the inventions based on the use of such notified biological resources is not exempt from the provisions of the Act.

There is no contradiction between the provisions of the two Acts regarding access/management of forest resources by the local communities as Section 7 of the BD Act clearly states that the local people and communities of the area, including growers and cultivators of biodiversity, are exempted from the provisions of the BD Act, 2002.

Further, Section 59 of the BD Act states that the provisions of this Act shall be in addition to and not in derogation of the provisions of any other law, for the time being in force, relating to forests or wildlife. This ensures legal harmony between the BD Act and other environmental / forest related legislations including the Forest Rights Act, 2006.

Prior approval of the NBA is required before accessing the DNA sequence from a foreign microbial repository for undertaking research. You must apply in Form-1, as accessing the biological resources occurring in or obtained from India or digital sequence information on biological resources which are accessed from India, including those deposited in repositories outside India, is regulated under the provisions of the BD Act.

Yes. Both foreign individuals and entities fall under Section 3(2) of the Act. Hence, such persons have to obtain prior approval of the NBA by applying in Form-1 for access to biological resources or knowledge associated thereto for research or bio-survey and bio-utilisation as per Rule 13 of the BD Rules, 2024.

If an applicant acquires biological resources or associated TK from outside India for purposes such as research, commercial utilization, or seeking lPR in India, they are required to submit a declaration under Form-10 to the NBA. This declaration ensures that the NBA is notified of any access to biological resources or TK of foreign origin.

1. a person who is not a citizen of India;
2. a citizen of India, who is a non-resident as defined in clause (30) of Section 2 of the Income-tax Act, 1961;
3. a body corporate, association or organization;
   1. Not incorporated or registered in India; or
   2. Incorporated or registered in India under any law for the time being in force, which is controlled by a foreigner within the meaning of clause (27) of Section 2 of the Companies Act, 2013.

According to Section 2(g) of the Act, “fair and equitable benefit sharing” means sharing of benefits as determined by the NBA under Section 21.

Section 21 states that the NBA will determine the benefit sharing. The Authority in consultation with the local bodies impose terms and conditions while granting approvals, for securing equitable sharing of benefits.