The Deputy Director-General (DDG) of the World Trade Organization (WTO), Yi Xiaozhun, has underscored the significance of the WTO’s Agreement on Trade-related Aspects of Intellectual Property Rights (TRIPS), which has created unprecedented possibilities for creators, innovators and companies across the globe.
According to DDG Yi, intellectual property is embedded in our lives, and that, creations and inventions spark the development of new products and services; which can generate business opportunities, jobs, and economic growth.
“We know that intellectual property is an important component of global value chains. WTO research shows that, for example, 91% of the price of a man’s jacket is linked to intangible assets, of which intellectual property rights are an important component”.
He made this statement whilst speaking at the International Association for the Protection of Intellectual Property (AIPPI) World Congress on October 5, 2020.
“Over the last 30 years, trade in goods and services with high intellectual property content has grown exponentially. Statistics from the International Monetary Fund show that payments for the use of intellectual property rights increased by 1725%, from 24 billion US Dollars in 1990 to 438 billion in 2019. This increase greatly surpasses the rate of growth in conventional trade in goods – and thereby illustrates the success of trade in IP”.
DDG Yi stated that the WTO and AIPPI have a long-standing and fruitful collaboration. According to him, AIPPI has brought contemporary topics to the WTO Public Forum, such as the well-attended session on New Digital Technologies, last year.
“We have also mutually benefited from educational opportunities and discussions. More recently, AIPPI and the WTO joined forces to develop a database on TRIPS case law. effectively illustrating the transformative effect of TRIPS implementation, not only in the grant of IP rights across the globe, but also in their effective enforcement”.
He further stated that the contributions of AIPPI members all over the world will be instrumental to map developments in different jurisdictions and assess their potential effect in the international system. He further acknowledged that the WTO looks forward to continuing working with AIPPI to improve their understanding of the role played by the intellectual property system in the global economy.
“The value of this partnership is greater than ever, at a time when there are serious questions being posed about the relevance and the utility of the multilateral system. We know that AIPPI members use and benefit from the multilateral IP system thousands of times literally every working day as applications are filed and prosecuted in WTO Members across the globe”.
DDG Yi also highlighted the 25th anniversary of the TRIPS Agreement and warned of the risk of taking for granted the improvements achieved by its implementation around the world.
“As we mark the 25th anniversary of the entry into force of the TRIPS Agreement, there is a risk that we may overlook or take for granted the fundamental, far‑reaching improvement of the legal, administrative and enforcement foundations of IP rights that was brought about by implementation of the TRIPS Agreement in over 130 jurisdictions across the globe”.
DDG Yi noted that the system is not perfect; and there is plenty more work that can and should be done. Even though he acknowledged that there has been much improvement in today’s global IP system as compared to the one that existed in 1986, when the TRIPS negotiations were launched.
“We should recognize the massive investment in legislative, institutional and professional development that countries across the globe have undertaken to implement TRIPS standards. And we should acknowledge the remarkable possibilities this has opened for creators, innovators and companies across the globe, at a time when the knowledge component of development is recognized as being of paramount importance.
“I would like to invite AIPPI, as a trusted professional voice, with the credibility that flows from practical experience, to underscore the enduring significance and value of the multilateral IP system underpinned by TRIPS, that enables the knowledge economy to thrive today”.
