Biodiversity Act Amendments and ABS (Access and Benefit Sharing) – Meaning, Key Changes and UPSC Notes (GS 3)
India is one of the world’s 17 mega-biodiverse countries, and its biological resources—plants, microbes, traditional knowledge, and genetic material—are of huge value for pharmaceuticals, agriculture, cosmetics, biotechnology, and climate resilience.
To protect these resources and ensure fair sharing of benefits, India enacted the Biological Diversity Act, 2002. However, over time, concerns emerged regarding:
- complex compliance procedures
- Challenges for Indian research and industry
- weak enforcement against biopiracy
- lack of incentives for local communities
To address these issues, India introduced amendments to the Biodiversity Act, focusing especially on the crucial concept of:
ABS – Access and Benefit Sharing
This is an important UPSC topic because it combines:
- Environment governance
- International conventions (CBD, Nagoya Protocol)
- Traditional knowledge
- Local community rights
- Bioeconomy and research
1. What is the Biological Diversity Act, 2002?
The Biological Diversity Act, 2002 was enacted to implement India’s commitments under:
Convention on Biological Diversity (CBD), 1992
CBD has three objectives:
- Conservation of biodiversity
- Sustainable use of biodiversity
- Fair and equitable sharing of benefits arising from genetic resources
India’s Biodiversity Act provides the legal framework for these objectives.
2. What is ABS (Access and Benefit Sharing)?
ABS Meaning
Access and Benefit Sharing (ABS) refers to a system where:
- People/companies/researchers who access biological resources or associated traditional knowledge must:
- Take permission from the authorities
- share monetary or non-monetary benefits with the rightful holders
Benefit Sharing Can Include:
- royalty payments
- joint research
- technology transfer
- local employment
- community development projects
- sharing research results
ABS is meant to ensure that local communities and biodiversity-rich regions are not exploited.
3. Why is ABS important for India?
India’s biodiversity and traditional knowledge are frequently used in:
- Ayurveda and herbal medicine
- biotech innovations
- agriculture and the seed industry
- cosmetics and wellness products
Without ABS, there is a risk of:
- biopiracy
- unfair commercialisation
- exploitation of local communities
ABS helps India build a fair bioeconomy while protecting community rights.
4. Institutional Structure Under the Biodiversity Act
The Act created a three-tier institutional system:
1) National Biodiversity Authority (NBA)
- Located at the national level
- Regulates access by foreign entities
- Approves ABS agreements
- Advises the government
2) State Biodiversity Boards (SBBs)
- Regulate access by Indian entities for commercial purposes
- Implement biodiversity-related decisions at state level
3) Biodiversity Management Committees (BMCs)
- Formed at local body level (Panchayat/Municipality)
- Document local biodiversity
- Maintain People’s Biodiversity Registers (PBRs)
- Represent local community interests
5. Key Problems in the Old Law (Why Amendments Were Needed)
Before the amendments, the Biodiversity Act faced multiple issues:
1) Compliance Burden for Indian Industry
- AYUSH, herbal, and cosmetics companies faced multiple approvals.
- This increased costs and reduced ease of doing business.
2) Lack of Clarity for Research and Startups
- Many researchers found the law complicated.
- Scientific work was slowed due to fear of legal violations.
3) Weak ABS Implementation
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Although ABS was a core objective, actual benefit sharing with communities was limited.
4) Difficulties in Patents and IPR
-
Companies required approvals before applying for patents.
-
This created delays in innovation and global competition.
5) Rising Bioeconomy and Need for Reforms
India’s bioeconomy is growing rapidly, so the law needed to balance:
- biodiversity protection
- scientific innovation
- industrial growth
6. Biodiversity Act Amendments: What Changed?
The amendments to the Biodiversity Act aim to:
- simplify procedures
- Encourage Indian research and the AYUSH industry
- strengthen ABS mechanisms
- ensure better clarity and enforcement
Let us understand the major changes from an UPSC point of view.
7. Major Features of Biodiversity Act Amendments (UPSC Focus)
1) Exemptions for Traditional Medicine Practitioners
The amendments provide more relaxation for:
- AYUSH practitioners
- traditional healers
- local vaidyas and hakims
This is to ensure traditional medicine is not unnecessarily criminalised.
2) Changes for Indian Companies (Commercial Use)
Earlier, Indian entities had to go through complex approvals for accessing biological resources.
The amendments aim to:
- Simplify compliance for Indian users
- reduce paperwork
- improve business environment
However, commercial access still requires ABS obligations.
3) Changes Related to “Codified Traditional Knowledge.”
This is a major concept.
The amendments differentiate between:
- codified traditional knowledge (already documented in books and classical texts)
- non-codified community knowledge (local and orally transmitted)
The law becomes more flexible for codified knowledge to support:
- AYUSH industry
- traditional product development
4) Patents and IPR-Related Changes
The amendments streamline rules related to:
- patent applications based on biological resources
- approval timelines and procedures
This is aimed at promoting:
- innovation
- biotech research
- startup ecosystem
5) Penalties: Criminal to Civil (Major Change)
One of the most discussed changes is:
Earlier:
- Many violations had criminal penalties (including imprisonment)
Now:
-
Several offences are shifted towards civil penalties (monetary penalties)
Why does this matter?
- Reduces fear among researchers and industry
- But critics argue it may weaken deterrence against biopiracy
6) Foreign Entities Still Require NBA Approval
The amendments continue to ensure that:
- foreign individuals
- foreign companies
- foreign-funded entities
must take approval from the National Biodiversity Authority before accessing biological resources.
This is crucial for preventing biopiracy.
8. ABS Under the Amendments: What is the Focus?
The core of the Biodiversity Act remains:
Access + Benefit Sharing
The amendments aim to make ABS:
- clearer
- more practical
- less bureaucratic
- more enforceable
9. How ABS Works in India (Step-by-Step)
Step 1: Access Request
A company or researcher wants access to:
- a plant species
- a microbe
- a traditional knowledge-based formulation
Step 2: Permission
Depending on the user:
- Foreign entities → NBA approval mandatory
- Indian entities (commercial use) → SBB involvement
Step 3: ABS Agreement
Authorities decide:
- what benefit will be shared
- with whom
- in what form
Step 4: Benefit Sharing to Communities
Benefits are shared with:
- local community
- BMCs
- conservation funds
- biodiversity registers holders
10. ABS: Types of Benefits (UPSC Prelims Friendly)
Monetary Benefits
- royalties
- upfront payments
- license fees
- joint venture profits
Non-Monetary Benefits
- technology transfer
- research collaboration
- training and skill development
- infrastructure support
- healthcare and education support in biodiversity areas
11. Link with International Agreements (Very Important)
1) Convention on Biological Diversity (CBD), 1992
-
Provides global framework for biodiversity conservation and benefit sharing.
2) Nagoya Protocol, 2010
The Nagoya Protocol is directly linked to ABS.
It provides:
- international rules for access to genetic resources
- benefit sharing with source countries and communities
- prevention of biopiracy
India is a party to the Nagoya Protocol.
12. Why the Amendments are Significant (UPSC GS 3)
1) Supports India’s Bioeconomy
India wants to promote:
- biotechnology
- herbal medicine exports
- research innovation
Simplified procedures help growth.
2) Balancing Conservation and Development
The law tries to balance:
- protection of biodiversity
- commercial use and innovation
3) Strengthening India’s Negotiating Power
A strong ABS system ensures:
- India’s genetic resources are not exploited internationally
- India gains economic value from biodiversity
13. Criticism and Concerns (UPSC Mains Points)
1) Risk of Diluting ABS
Critics argue that:
- Too many exemptions may weaken benefit sharing
- communities may not receive fair compensation
2) Civil Penalties May Reduce Deterrence
Earlier criminal penalties acted as strong deterrents.
Civil penalties may not stop big corporations.
3) Lack of Capacity at Local Level
BMCs often face:
- lack of funds
- lack of training
- weak documentation
Without strong local institutions, ABS becomes ineffective.
4) Community Rights vs Industry Ease
The amendments aim to make compliance easier, but the real test will be:
-
whether local communities truly benefit
14. Way Forward (UPSC Answer Enrichment)
To make amendments successful, India needs:
- strong MRV system (monitoring, reporting, verification)
- digitised People’s Biodiversity Registers
- capacity building of BMCs
- transparent ABS agreements
- stricter action against foreign biopiracy
- fair pricing and benefit distribution mechanisms
Conclusion
The Biodiversity Act amendments represent India’s attempt to modernise biodiversity governance in the era of a growing bioeconomy. The success of these reforms will depend on whether India can achieve a balanced outcome:
✅ Ease of doing research and business
AND
✅ Strong protection of biodiversity and community rights
ABS remains the backbone of the law and will determine whether biodiversity becomes a true source of sustainable development and equitable growth.
FAQs
Q1. What is ABS in the Biodiversity Act?
ABS (Access and Benefit Sharing) means sharing benefits arising from the commercial use of biological resources with local communities and stakeholders.
Q2. Which body regulates ABS at the national level?
The National Biodiversity Authority (NBA) regulates access by foreign entities and approves benefit sharing.
Q3. What is the role of Biodiversity Management Committees (BMCs)?
BMCs represent local communities and maintain People’s Biodiversity Registers (PBRs) to document local biological resources.
Q4. Which international treaty is directly linked to ABS?
The Nagoya Protocol (2010) is directly linked to Access and Benefit Sharing.
Q5. Why were amendments made to the Biodiversity Act?
To simplify compliance, encourage research and industry (especially AYUSH), streamline approvals, and improve ABS implementation.
Q6. What is the major criticism of the amendments?
Critics argue that exemptions and civil penalties may dilute ABS and reduce protection against biopiracy.
