Economic Exploration

Notificação at SisGen, from finished product or reproductive material – developed from access to genetic heritage or associated traditional knowledge – must be carried out before its commercialization, as well as the Presentation do Benefit Sharing Agreement (ARB), which consists of the division of benefits arising from its economic exploitation.

Notification of finished product or reproductive material

The user must notify the finished product or reproductive material derived from access to genetic heritage or associated traditional knowledge carried out after the effectiveness of Law No. 13.123/2015. According to the article. 16 of this law, for the economic exploitation of a finished product or reproductive material arising from access to genetic heritage or associated traditional knowledge, the following shall be required:

I – notification of the finished product or reproductive material to CGen; and

II – the presentation of the benefit-sharing agreement, except for the provisions of § 5 of art. 17 and in § 4 of art. 25.

§ 1 The mode of benefit sharing, monetary or non-monetary, must be indicated at the time of notification of the finished product or reproductive material arising from access to genetic heritage or associated traditional knowledge.

§ 2 The benefit sharing agreement must be presented within 365 (three hundred and sixty-five) days from the moment of notification of the finished product or reproductive material, as provided for in Chapter V of Law No. 13.123/2015, except cases involving associated traditional knowledge of identifiable origin.

The sharing of benefits

According to article 18 of Law nº 13.123/2015, the benefits resulting from the economic exploitation of a product arising from access to genetic heritage or associated traditional knowledge for agricultural activities will be shared on the commercialization of reproductive material, even if access or economic exploitation takes place through a subsidiary, controlled, affiliated, contracted, outsourced or linked individual or legal entity, respecting the provisions of § 7 of art. 17.

§ 1 The sharing of benefits, provided for in the caption of article 18, must be applied to the last link in the productive chain of reproductive material, the other links being exempt.

§ 2 In the case of economic exploitation of reproductive material arising from access to genetic heritage or associated traditional knowledge for the purposes of agricultural activities and intended exclusively for the generation of finished products in production chains that do not involve agricultural activity, the sharing of benefits will occur only on the economic exploitation of the finished product.

§ 3 The economic exploitation of finished product or reproductive material arising from access to the genetic heritage of species introduced into the national territory by human action, even if domesticated, is exempt from the sharing of benefits, except:

I – those that form spontaneous populations that have acquired distinctive characteristics of their own in the Country; and

II – traditional local or creole variety or the locally adapted or creole breed.

Art. 19. The sharing of benefits arising from the economic exploitation of a finished product or reproductive material arising from access to genetic heritage or associated traditional knowledge may be constituted in the following ways:

I – monetary; or

II – non-monetary, including, among others:

  • projects for the conservation or sustainable use of biodiversity or for the protection and maintenance of knowledge, innovations or practices of indigenous populations, traditional communities or traditional farmers, preferably in the place where the species occurs in in situ condition or where the sample is obtained when not available can specify the original location;
  • technology transfer;
  • availability in the public domain of a product, without protection by intellectual property rights or technological restrictions;
  • product licensing free of charge;
  • training human resources on topics related to the conservation and sustainable use of genetic heritage or associated traditional knowledge; and
  • free distribution of products in programs of social interest.

§ 1 In the case of access to genetic heritage, it is up to the user to choose one of the modalities of benefit sharing provided for in the caput.

§ 2nd Act of the Executive Branch will regulate the form of non-monetary benefit sharing in cases of access to genetic heritage.

§ 3 The distribution of non-monetary benefits corresponding to the transfer of technology may be carried out, among other ways, through:

I – participation in research and technological development;

II – exchange of information;

III – exchange of human resources, materials or technology between a national scientific and technological research institution, public or private, and a research institution based abroad;

IV – consolidation of research and technological development infrastructure; and

V – establishment of a technology-based joint venture.

Art. 20. When the modality chosen is the sharing of monetary benefits arising from the economic exploitation of a finished product or reproductive material arising from access to the genetic heritage, a portion of 1% (one percent) of the annual net revenue obtained from the exploitation will be due economic, except for the hypothesis of reduction to up to 0,1 (one tenth) by sectoral agreement provided for in art. 21.

Art. 21. In order to guarantee the competitiveness of the contemplated sector, the Union may, at the request of the interested party, in accordance with the regulation, enter into a sectoral agreement that allows reducing the value of the sharing of monetary benefits to up to 0,1% (one tenth of a percent ) of the annual net revenue obtained from the economic exploitation of the finished product or reproductive material derived from access to genetic heritage or associated traditional knowledge of unidentifiable origin.