IPRs in Brazil for EU SMEs Mercosur IPR

IPRs in Brazil for EU SMEs Mercosur IPR SME Helpdesk

INDEX o INVEST IN BRAZIL o Why o IPR Statistics o Innovation Statistics o IP Responsible Institutions & International Treaties o Main IPRs in Brazil • • • Patents Industrial Designs Trademarks Copyrights Software o Innovation policies & Funding system o Additional information

IPRs IN BRAZIL FOR EU SMEs WHY INVEST IN BRAZIL

WHY INVEST IN BRAZIL EU- Brazil Market: • EU goods exports to Brazil in 2013: € 40 billion • EU goods imports from Brazil in 2013: € 33. 1 billion • Total amount traded in 2011: € 73. 1 billion Source: http: //trade. ec. europa. eu/doclib/docs/2006/september/tradoc_113359. pdf

WHY INVEST IN BRAZIL EU- Brazil Market: • EU services exports to Brazil in 2013: € 14 billion • EU services imports from Brazil in 2012: € 6. 3 billion • Total traded services in 2012: € 20. 3 billion • Brazil GDP in 2012: U$$ 2. 246 trillion (Source: World Bank) • Brazil GDP growth in 2014: 0. 33% (Source: BR Central Bank)

WHY INVEST IN BRAZIL KEY SME’S SUCCESS FACTOR IN BRAZIL: IPR PROTECTION Main countries of origin of non-residents patent applications at the Brazilian Patent Office in 2011: • • • United States: 8, 218 Germany: 2, 820 France: 1, 784 Netherlands: 1, 148 United Kingdom: 824 Italy: 626

WHY INVEST IN BRAZIL • EU is Brazil’s number one trading partner, accounting for a 20. 8% of its total trade. • Brazil is the EU’s eighth trading partner, accounting for a 2. 1% of total EU trade (2013).

WHY INVEST IN BRAZIL The main economic sectors in Brazil are “Primary products” related markets BUT: 1. 2. 3. Strong R&D institutions for agriculture, forestry, cattle raising (public investments), energy: EMBRAPA, National Institutes of S&T, universities. Strong relations between those institutions and industrial sectors. Current Brazilian global position had forced Brazil to put the spotlight on innovation.

IP STATISTICS o IPR activity by residents and non-residents — patent system is largely used by non-residents (about 77% of applications are done by non-residents). — Trademarks - 80% of the applications were made by non-residents. o During 2012, the IP Office (INPI) received — 33. 395 patent applications, — 150. 107 trademark applications (312. 808 word trademarks , 24. 123 figurative trademarks , 537. 934 mixed trademarks and 1. 046 tridimensional trademarks ). o The technological areas with more patent applications in the last years are: — Chemistry — Metallurgy — Environmental technologies More information can be found at: http: //www. inpi. gov. br/portal/artigo/estatisticas

IP STATISTICS Patent Applications Year Resident Rank Non- Rank Abroad Rank Resident 2011 4, 695 18 23, 954 8 1, 664 26 2012 4, 798 18 25, 637 8 1, 809 27 2013 4, 959 15 25, 925 9 1, 891 27 INPI statistics report that Germany, France, the Netherlands, Italy and the United Kingdom were responsible for 24. 5% of the patent applications received in Brazil between 2007 and 2011 (Source: INPI). They were mainly applied via PCT (Source: INPI)

IP STATISTICS Patent Applications by Top Fields of Technology (1999 - 2013) Field of Technology Share Civil engineering 6. 74 Transport 6. 26 Other special machines 6. 24 Medical technology 5. 85 Handling 5. 77 Furniture, games 5. 56 Other consumer goods 5. 30 Electrical machinery, apparatus, energy 4. 67 Engines, pumps, turbines 4. 08 Pharmaceuticals 4. 06 Others 45. 47 Patent grants to non-residents by field of technology (2012): 1. 2. 3. 4. 5. Organic fine chemicals (546) Chemistry for basic materials (520) Macromolecular chemistry, polymer (381) Mechanical engineering, management (344) Metallurgy materials (285) Source: INPI

IPRS STATISTICS Category Score Global Rank Regional Rank International Property Right Index 5. 6 55 of 130 6 of 23 Physical Property Rights 6. 0 68 of 130 9 of 23 Protection of Physical 6. 7 48 of 130 5 of 23 Registering Property 6. 8 120 of 130 21 of 23 Intellectual Property Rights 5. 6 52 of 130 6 of 23 Protection of Intellectual Property Rights 7. 2 48 of 130 21 of 23 Patent Protection 7. 2 48 of 130 20 of 23 Copyright Protection 4. 7 40 of 130 2 of 23

IPRS STATISTICS IPRs registration Utility Models (applications) Trademarks Industrial Designs Year Residen t Non. Resid ent Abroad 2012 2, 880 117 26 2013 2, 891 141 33 2012 41, 670 13, 560 8, 683 2013 27, 714 9, 197 10, 228 2012 2, 415 1, 917 874 2013 1, 487 1, 169 1, 183 Software registration • • Applications (2013): 1, 448 Grants (2013): 619

INNOVATION STATISTICS o According to the Global Innovation Index 2014, Brazil ranked 61 out of 143 and 5 out of 22 at regional level (LA). o On the other hand, the previous edition of the Index (2013) remarked Brazil’s strenghts in high-tech and medium-high-tech output (22 nd), the QS university ranking average score of top 3 universities (24 th), royalties and license fees receipts over total service exports (29 th), GERD performed by business enterprise as a percentage of GDP (36 th), patent families filed in at least three offices (42 nd), and logistics performance (45 th). o Additionally, Sao Paulo is appointed as one of the 20 top start-up ecosystems in the world

IPRs IN BRAZIL FOR EU SMEs IP RESPONSIBLE INSTITUTIONS & INTERNATIONAL TREATIES

IPR RECOGNIZED BY NATIONAL LAW – AND RESPONSIBLE INSTITUIONS PATENTS UTILITY MODELS INTEGRATED CIRCUIT DESIGN COPYRIGHT PLANT VARIETIES TRADEMARKS APPELLATIONS OF ORIGIN GEOGRAPHICAL INDICATIONS INDUSTRIAL DESIGN TRADITIONAL KNOWLEDGE AND GENETICAL RESOURCES INPI X X X Serviço Nacional de Escola Fundação Proteção Nacional Biblioteca de de Belas Nacional Cultivares - Artes MAPA X X X X Source www. inapi. cl

INTERNATIONAL TREATIES RATIFIED ü ü ü Berne Convention (Copyright) Paris Convention (Industrial Property) TRIPS Agreement (IP – WTO) PCT (Patents) UPOV 78 (Plant Variety Rights) Convention on Biological Diversity Since Brazil has not ratified the Madrid System (Trade Marks) and The Hague Agreement (Designs), it is not possible to designate this country in a single International application for registrations of trademarks or designs, respectively.

STRENGTHS & WEAKNESSES OF THE IP SYSTEM Strengths: • Brazil is member of most IPR-related International Treaties. Thus, its substantive Law includes the IPRs essential provisions such as priority, or rights duration; • Brazilian regulation provides reasonable standards of protection for IPRs; • Strong funding and financing system;

STRENGTHS & WEAKNESSES OF THE IP SYSTEM Weaknesses: • Lengthy IP registration proceedings, specially in cases patents and trademarks; • Due to the strict observation of the due process of law, enforcement is also considered lengthy in comparison to other countries; • Pharmaceutical patents must be submitted to approval for granting by ANVISA (Health Surveillance Agency) which, in practical terms, reexamines the patentability conditions, creating a double examination on such patent applications.

IPRs IN BRAZIL FOR EU SMEs MAIN IPRS IN BRAZIL: PATENTS

PATENTS: WHAT YOU NEED TO KNOW o What are Patents? They are exclusive rights granted by the State for protecting an invention, which is a technical solution for an industrial problem. o Which kind of Patents can be protected? Patents protect inventions such as a product or a process. Utility Models, are ‘petty patents’, such as new devices that provide an improvement, or technical effect in the function of an object.

PATENTS: WHAT YOU NEED TO KNOW Basic patenting requirements: • Patents of Invention must be New, imply an Inventive Step and subject to Industrially Applicability. • Utility Models are also patentable if they comply with the abovementioned requirements. Please note that, even when the requirements are the same, the Novelty and Inventive Step in Utility Model have a less demanding standard than in Patents

PATENTS: WHAT YOU NEED TO KNOW How long does legal protection last? o Patent of Inventions protection lasts 20 years from the filing date. o Utility Models protection lasts 15 years from the filing date.

PATENTS: WHAT YOU NEED TO KNOW o What is excluded from Patentability? Immoral inventions and those which its commercial exploitation is forbidden for public order, ethics, health and environment protection reasons.

PATENTS: WHAT YOU NEED TO KNOW o What is not considered Invention? Subject matters are excluded from patentability if they lack of technical purpose or concern plants, animals, essentially biological processes to produce plants or animals, parts of living beings, surgery and diagnostic methods applied to human body or animals. o Is there any exception? Yes. Genetically modified microorganisms.

PATENTS: WHAT YOU NEED TO KNOW o Who can register? Any natural or legal person can apply for the registration of a Patent. Foreign natural or legal persons shall appoint an agent or representative in Brazil. o Where to register? Applications can be filed before Instituto Nacional da Propriedade Industrial (INPI) offices, personally, by post or electronically.

PATENTS: WHAT YOU NEED TO KNOW How much does it cost? Ø Depending on whether the request is submitted electronically or in paper, the costs range between € 22 and € 31 for national Patents or Utility Models. Ø Requests for Technical Examination of patents cost € 41 if less than 10 claims. From the 11 th to 15 claim, an amount ranging from € 12 per claim (up to 15 claims) to € 61 per claim (more 30 claims) will be charged.

PATENTS: TIPS AND WATCH OUTS Grace Period o Brazilian legislation grants the inventor the ‘grace period’ for Patents and Utility Models. o The ‘grace period’ provides that the novelty requirement is not affected by disclosure of the invention during the twelve (12) months prior to the filing date.

IPRs IN BRAZIL FOR EU SMEs MAIN IPR IN BRAZIL: INDUSTRIAL DESIGNS

IDs : WHAT YOU NEED TO KNOW o What are industrial designs? Industrial Design (IDs) protects the exterior ornamental forms of objects, lines and colours applied to a product, provided that they make a new and original result and are suitable to industrial application. o Features, dimensions, materials or manufacturing processes of an object are excluded from design protection.

IDs : WHAT YOU NEED TO KNOW How long does legal protection last? o Industrial Designs are protected for a period of time of 10 years from the filing date, with the possibility to renew it for 3 additional periods of 5 years (25 years in total).

IDs : WHAT YOU NEED TO KNOW o Who can register? Any natural or legal person can apply for the registration of an Industrial Design. Foreign natural or legal persons shall appoint an agent or representative in Brazil. o Where to register? Applications can be filed before Instituto Nacional da Propriedade Industrial (INPI) offices, personally, by post or electronically.

IDs : WHAT YOU NEED TO KNOW How much does it cost? o Industrial Design application fees are around € 235 for companies and around € 95 for individuals o In case of paper application for companies, fees are around € 163, whereas natural persons have to pay an approximate € 63 fee.

IDs : WHAT YOU NEED TO KNOW Grace Period o Brazilian Law establishes a 6 -month grace period. o Therefore, any disclosure made during the 6 months prior to the application would not affect either the novelty or the originality of your designs.

IDs : WHAT YOU NEED TO KNOW Cancelation action: The deadline to request for the cancellation of an Industrial Design registration before INPI is five years from the granting date. After such period, the cancellation should be requested before the Courts.

IPRs IN BRAZIL FOR EU SMEs MAIN IPR IN BRAZIL: TRADEMARKS

TRADEMARKS: WHAT YOU NEED TO KNOW o What are trademarks? A trademark is a distinctive sign that can be represented graphically and distinguish the origin of goods and services. o Which kind of trademarks can be protected? • • Word marks (words and slogans) Figurative marks (images) Combined marks (words and images) Three-dimensional marks (for shapes)

TRADEMARKS: WHAT YOU NEED TO KNOW Registration requirements : Ø Graphically represented: Therefore, sound, tactile, taste and smell marks cannot be registered. Ø Distinctive: a sign is to be original and/or fanciful. Ø Not deceptive: regarding the ownership or the origin of the goods and services Ø Available: a sign must be not identical with or similar to existing prior trademarks

TRADEMARKS: WHAT YOU NEED TO KNOW How long does legal protection last? Trademark protection lasts for 10 years from the granting date and can be indefinitely renewed for consecutive tenyears periods.

TRADEMARKS: WHAT YOU NEED TO KNOW o Who can register? Any natural or legal person can apply for the registration of a trademark. Foreign natural or legal persons shall appoint an agent or representative in Brazil. o Where to register? Applications can be filed before Instituto Nacional de Propriedade Industrial (INPI) offices, personally, by post or electronically.

TRADEMARKS: WHAT YOU NEED TO KNOW How much does it cost? Ø A trademark in Brazil costs around € 390 if the application is filed in paper (in person or by post) or € 336 if application is filed online. This includes the application fee and the registration certificate fee for the first 10 years. ØThe renewal cost is around € 336.

TRADEMARKS: TIPS AND WATCH-OUTS How much does it cost? Ø Brazil adopted the single class trademark registration system. Therefore, a separate trademark application must be filed with respect to each class of products or services of the International Classification of Nice (10 th edition) for which the trademark protection is requested.

TRADEMARKS: TIPS AND WATCH-OUTS Company name´s protection The registration of a company at the State Clerk’s Office (State Board of Trade) also entails certain degree of protection for the name of the company.

IPRs IN BRAZIL FOR EU SMEs MAIN IPR IN BRAZIL: COPYRIGHT

COPYRIGHT: WHAT YOU NEED TO KNOW • What is it? Copyright is an IPR that protects the exclusive rights of authors of intellectual works. • Who is the author? The author is the creator of the work (usually the person indicated in the work when it is disclosed, or the person indicated in the registration). • Which kind of assets does it protect? Any literary, artistic or scientific work.

WHAT IS IT PROTECTABLE?

COPYRIGHT: WHAT YOU NEED TO KNOW o Why Copyright may be important? Copyright protection grants to the author both moral and economic rights. o Economic Rights: are exclusive rights over the use and commercial exploitation of the intellectual work. o Moral Rights: are exclusive personal rights of the author. • When is Copyright protection acquired by authors? Copyright protection is legally acquired by the author by the mere creation of the intellectual work.

COPYRIGHT: WHAT YOU NEED TO KNOW How long does legal protection last? o Copyright protection lasts for the author’s life plus 70 years after his/her death. o In case of computer programs, if the rightholder is a legal entity, the term of protection shall last for 50 years after the first publication.

COPYRIGHT: WHAT YOU NEED TO KNOW Shall I register copyright? Copyright Registration is voluntary but advisable, especially to enforce the right. • Possible options: Ø Unregistered Copyright Ø Registered Copyright

COPYRIGHT: WHAT YOU NEED TO KNOW • Example Unregistered Copyright: authors must recollect and furnish documents such as publications, including detailed information to prove authorship and ownership. Registered Copyright: the registration certifies the date of creation of the work, its content and confers authors a (rebuttable) presumption of authorship by law. If your copyright is already registered in a foreign country member of Berne Convention, you can ASSURE its PROTECTION in Brazil including the following: Mention: ‘All rights reserved or Reproduction forbidden’, Letter c rounded by a circle (©), name of copyright holder and registration number.

COPYRIGHT: WHAT YOU NEED TO KNOW o Who can register? A natural person (the author), or a legal person (work´s right holder i. e work inventions). Foreign applicants do not need to be represented. o Where to register? Fundação Biblioteca Nacional (BN) On-line, on its website. In person, before Fundação Biblioteca Nacional or its offices By post

COPYRIGHT: WHAT YOU NEED TO KNOW o Which documents do I need? • An Application Form duly fulfilled and • Documentation required • Details can be found at BN offices or website o How much does It cost? • Literary works: 6€ for individuals and 80€ for companies • Images: 10€ for individuals and 17€ for companies

COMPUTER PROGRAMS IN BRAZIL: WHAT YOU NEED TO KNOW? o Why COMPUTER PROGRAMS registration may be important? In order to demonstrate ownership on computer programs, Brazilian legislation requires proof of authorship upon the work, either by publication or by other means of evidence (always subjected to further questioning in court). Consequently, for computer programs, registration represents the best option for authors to protect their rights and ownership.

COMPUTER PROGRAMS IN BRAZIL: WHAT YOU NEED TO KNOW? o Who can register? A natural person (the author), or a legal person (that holds the rights). Foreign applicants must appoint a Brazilian legal representative. o Where to register? — Instituto Nacional de Propriedade Insdustrial (INPI) — In person, at INPI or its offices — By post

COMPUTER PROGRAMS IN BRAZIL: WHAT YOU NEED TO KNOW? o Which documents do I need? — An Application Form duly fulfilled and — Documentation required — Details can be found at INPI offices or website o How much does it cost? — From 76€ up to 361€, depending the size of the program

IPRs IN BRAZIL FOR EU SMEs INNOVATION POLICIES & FUNDING SYSTEM

INNOVATION POLICIES & FUNDING SYSTEM Economic stability and a new cycle of industrial development policy: § Sectorial funding system: National Fund for S&T and Development (inter-ministerial): space, agriculture, biotech, oil&gas, infrastructures, transports, telecommunications, etc. § BNDES (National Development Bank) and FINEP (Federal Innovation Agency) linked: sectorial priorization and SME funding systems § S&T States Agencies: funding for SMEs (in collaboration with Universities and S&T Institutes)

INNOVATION POLICIES & FUNDING SYSTEM Entreprises based in Brazil for more than 3 years can access to: o Funding and finance instruments (credit) o Fiscal incentives (Law of Good)

INNOVATION POLICIES & FUNDING SYSTEM Websites of interest o Brazilian Development Bank (BNDES) website: http: //www. bndes. gov. br/Site. BNDES/bndes_en/Instit ucional/Financial_Support/support_modalities. html o Financiadora de Estudos e Projetos (FINEP) website: www. finep. br

IPRs IN BRAZIL FOR EU SMEs ADDITIONAL INFORMATION

MAIN IP ORGANISATIONS AND SOURCES OF INFORMATION NAME WEB ADDRESS INPI - Instituto Nacional de Propiedade Industrial http: //www. inpi. gov. br Fundação Biblioteca Nacional http: //www. bn. br SEBRAE: A PORTAL FOR SMEs Industrial Property Agents Association : http: //www. sebrae. com. br/sites/Portal. Sebrae Industrial Property Agents Association Listing: http: //www. abapi. org. br/abapi 2014/listaassociados. asp? ati vo=Sim&secao=Associados&subsecao=Lista%20 completa &regiao= Mercosur IPR SME Helpdesk: http: //www. mercosur-iprhelpdesk. eu http: //www. abapi. org. br

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