The agrochemical sector has been thrown into a fresh policy clash after industry representatives warned that multinational corporations are pushing for data exclusivity provisions in India’s upcoming pesticide law and trade negotiations.
The Pesticides Manufacturers & Formulators Association of India (PMFAI) has strongly opposed coordinated lobbying by MNCs seeking a 5-year Regulatory Data Protection (RDP) in the forthcoming Pesticide Management Bill (PMB) and in Free Trade Agreement talks with EU and US.
According to PMFAI, the proposal amounts to a “TRIPS-Plus” measure that runs counter to parliamentary scrutiny.
The association pointed to findings of the Parliamentary Standing Committee on Agriculture, Animal Husbandry, and Food Processing (36th Report, 17th Lok Sabha), which had already reviewed stakeholder submissions and concluded that Regulatory Data Protection should not be considered for agrochemicals.
PMFAI argues that India’s existing 20-year patent framework already provides sufficient protection for innovation and returns on investment, making additional exclusivity unnecessary.
At the centre of PMFAI’s opposition is the potential impact on India’s smallholder farming system, where most cultivators operate on tiny landholdings and are highly sensitive to input prices.
Without competitive generics, the association warns that farmers would be forced into a restricted market with higher prices, stating that “Indian farmers will be legally compelled to purchase essential crop protection chemicals at inflated premium prices, estimated to range between 35% to 50% higher than competitive generic rates.”
PMFAI also disputes the justification offered by multinational firms that regulatory data protection is necessary to encourage innovation.
It argues that real-world commercialisation patterns tell a different story, claiming that many patented molecules are never launched in India despite global rollouts. The association says this gap is then used to justify extending protection over older or off-patent chemicals.
It further alleges that past regulatory practices effectively enabled similar outcomes, allowing older chemistries to be introduced as “new innovations” and sold at higher prices during earlier periods of de facto protection.
The association warns that any extension of exclusivity beyond the current patent term would severely impact India’s domestic manufacturing base, particularly micro, small and medium enterprises (MSMEs), which dominate the country’s agrochemical production ecosystem.
PMFAI argues that India’s strength lies in its large generic manufacturing capacity and export position, and that restricting competition would weaken both affordability and global competitiveness, undermining national initiatives such as “Make in India” and “Aatmanirbhar Bharat.”
PMFAI also points to recent industry data suggesting that innovation continues to flow into India without additional regulatory protections. It highlights that the country has recorded a high rate of new pesticide molecule registrations in recent years, arguing this demonstrates that market size and agricultural demand are sufficient to attract global companies.
The association has urged the government to adhere to the recommendations of the Parliamentary Standing Committee and reject any inclusion of Regulatory Data Protection provisions in the Pesticide Management Bill or ongoing trade negotiations.
It has appealed to the Prime Minister’s Office and key ministries to prioritise farmer welfare, domestic manufacturing, and long-term competitiveness.
