As per Section 2(c) of the BD Act, the biological resources include plants, animals, micro-organisms or parts of their genetic material and derivatives (excluding value added products) with actual or potential use or value for humanity, but does not include human genetic material.
In compliance with our obligations under CBD, the Biological Diversity Act was enacted with the core objectives to conserve the biological resources, ensure sustainable use of its components, and promote the fair and equitable sharing of benefits arising from the utilisation of such biological resources and or associated knowledge
ABS mechanism has been evolved under the CBD and Nagoya Protocol to ensure that the users of biological resources share a portion of their gains/profits with the conservers of these resources which serves as an incentive for them to continue their efforts in conserving, preserving and maintaining the biological diversity and TK associated thereto. This works on the principle of equity which contributes to the conservation and sustainable use of the components of biological resources.
Yes. As a signatory to the CBD, India has enacted BD Act, 2002, to conserve biological resources and associated TK of the tribal people and local communities. The BD Act mandates the establishment of BMCs, at the local level, which documents biological diversity and associated TK through the preparation of People’s Biodiversity Registers (PBRs).
The Act also regulates access to biological resources and associated TK. Access for research or commercial utilisation requires prior informed consent (PIC) of the concerned communities, obtained through the relevant BMCs as provided under Section 41 of the Act. Furthermore, the Act ensures fair and equitable sharing of benefits arising out of the use of biological resources and associated TK with the concerned tribal/ local communities or the original knowledge holders. These provisions empower local communities and help safeguard their TK.
The variety of life and lifeforms referred to as “biodiversity” is the source of support, sustenance and succour to all the lifeforms, including humans, on earth. Rapid loss of biological diversity and its unfair commercial application, owing to a host of reasons - unplanned development, over exploitation, unscientific use and commercial application, piracy from host nation and communities of people etc., all over the world, became a matter of grave concern of humanity. To arrest such a trend and to take measures for its conservation, its sustainable and fair use, a new international legal arrangement was crafted. CBD is the outcome of such a deliberation and the first major international legal arrangement, under the United Nations. Ratified by 196 Countries, it promotes the conservation of biological diversity, the sustainable use of its components, and the fair and equitable sharing of benefits arising from the utilisation of genetic resources. The Convention was opened for signature on 5 June 1992 at the United Nations Conference on Environment and Development (the Rio “Earth Summit”). It remained open for signature until 4 June 1993, by which time it had received 168 signatures. The Convention entered into force on 29 December 1993, which was 90 days after the 30th ratification.
The CBD reaffirms the sovereign rights of the Parties (i.e., member countries) over their biological resources. It encourages countries to facilitate appropriate access to genetic resources by other Parties, subject to their national legislations.
While encouraging access to genetic resources by other Parties, the CBD makes it clear that such access is subject to prior informed consent (PIC) and mutually agreed terms (MAT), as determined by the provider country (country providing the genetic resource(s) and associated traditional knowledge).
Additionally, the CBD promotes the fair and equitable sharing of benefits arising from the utilization of genetic resources, including benefits derived from associated traditional knowledge (TK), innovations, and practices of indigenous and local communities. CBD provides the legal framework for the member countries to evolve their own legislations, with institutions of enforcement for achieving its goals that would include, regulation of access, determination of the terms for benefit sharing, and ensuring fairness and equity in sharing of benefits arising from the commercial application of biodiversity.
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.
No. Section 4 exempts publication of research papers on any biological resources occurring in or obtained or accessed from India or dissemination of knowledge in any seminar or workshop involving financial benefit, provided such publication or dissemination is in conformity with the guidelines issued by the Central Government.
The Act provides for the following exemptions:
As per regulation 4 of the BD (ABS) Regulations, 2025, the applicant shall have to pay the benefit sharing amount to the NBA as per the slabs prescribed below:
| Sl. No. | Annual turnover of the entity (in Indian rupee) | Amount payable on account of benefit sharing for access to biological resource for commercial utilisation (Percentage of annual gross ex-factory sale price of product excluding Government taxes) |
| (1) | (2) | (3) |
| 1. | Up to 5 crore | Nil |
| 2. | Above 5 crore to 50 crore | 0.2% |
| 3. | Above 50 crore to 250 crore | 0.4% |
| 4. | Above 250 crore | 0.6% |
Biological resources having conservation or high economic value, including species notified under Section 38 of the Act are subject to 20% more than the benefit sharing due.
If access is made to a biological resource that has conservation value, or high economic value such as red sanders, sandalwood, agarwood, or any other item identified by the Authority, including threatened species listed under Section 38 of the Act, the ABS component shall not be less than five percent of the proceeds of the auction or sale amount, or purchase price, as the case may be. This amount will be decided by the Authority on a case-by-case basis and must be paid as an upfront payment.
| e-Forms | Purpose of the application |
| 6 | Application for seeking prior approval to use the results of research for obtaining IPR by the transferee (Section 3(2) entity). |
| 7 | Application for seeking prior approval of the NBA before grant of IPR by persons covered under Section 3 (2) of the Act. |
| 8 | Application for registration with the NBA before grant of IPR by persons covered under Section 7 of the Act. |
| 9 | Application for seeking prior approval of the NBA for commercialisation of IPR by persons covered under Section 7 of the Act. |
| Applications are available in ABS e-filing portal | |
Yes. - The Biological Diversity Rules, 2004 were notified by the Ministry of Environment, Forest and Climate Change (MoEFCC) on April 15, 2004 which came into force on July 01, 2004.
Pursuant to the amendments to the BD Act in 2023, the MoEFCC notified the Biological Diversity Rules, 2024 on October 22, 2024, thereby superseding the BD Rules, 2004. The BD Rules, 2024 came into force on December 21, 2024 upon expiry of 60 days from the date of notification in accordance with rule 1(2) of the BD Rules, 2024.
Further the BD Rules, 2024 were amended vide Biological Diversity (Amendment) Rules, 2025 which were notified on May 06, 2025 and came into force on November 01, 2025.
Approval shall be granted in the form of an agreement executed between the applicants and the NBA. The agreement shall contain the benefit sharing component, terms and conditions subject to which the applicant shall access the biological resources for research/commercial utilization/bio-survey and bio-utilization/IPR.
If a Section 3(2) entity accesses biological resources from any place or location within India, including from a trader or the wholesale market or institute or repository in India, it is mandatory to obtain prior approval from the NBA by applying in Form-2 for accessing the biological resources for commercial utilization under Section 3 of the BD Act read with Rule 13 of the BD Rules, 2024.
No. As per Section 59A of the Act, the provisions of the BD Act shall not apply to a person who has been granted approval or rights under the PPVFRA, to the extent that such approvals or rights do not require similar approval under the BD Act.
A “Foreign controlled company” means any company 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.
Under Section 2(27) of the Companies Act, 2013 -“control” shall include the right to appoint majority of the directors or to control the management or policy decisions exercisable by a person or persons acting individually or in concert, directly or indirectly, including by virtue of their shareholding or management rights or shareholders agreements or voting agreements or in any other manner.
In case of biological resource having conservation value or high economic value such as red sanders, sandalwood, agarwood or any other items as decided by the Authority from time to time, and including threatened species notified under section 38 of the Act, the benefit sharing shall not be less than 5% of the proceeds of the auction or sale amount or the purchase price, as the case may be, as determined by the Authority on case to case basis, as upfront payment. This includes from both cultivated and non-cultivated biological resources
The Act does not recognise a category called 'company-owned material', while dealing with biological resources. Hence the recipient/user of the biological resource needs to obtain approval of NBA under Section 3 of the Act if the biological resources contain any strain of an Indian germplasm.
Yes. Upon receipt of an application for access to biological resources, the NBA forwards the application to the concerned SBB(s) for obtaining the consent or otherwise of the relevant BMC(s) through a consultative process in the area from where the biological resources are obtained/accessed. The BMC is responsible for facilitating the task of obtaining prior informed consent from the concerned local communities or individual benefit claimants, if any. A similar procedure is followed by the SBBs in the respect of applications submitted by the applicants other than those covered under Section 3(2) of the Act.
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