What is IP Awareness Scheme?
The "Building Awareness on Intellectual Property (IP) for MSMEs" scheme is an initiative by the Ministry of Micro, Small and Medium Enterprises (MSME) to enhance IP awareness and facilitate IP protection among MSMEs. The scheme recognizes that intellectual property is a valuable business asset that can provide competitive advantage and drive growth.
Many MSMEs in India create innovative products, processes, and brands but fail to protect them due to lack of awareness or financial constraints. This scheme addresses both issues by providing IP education and financial support for registration of patents, trademarks, designs, and geographical indications.
Objectives of IP Awareness Scheme
- • Create awareness about intellectual property rights among MSMEs
- • Encourage MSMEs to protect their innovations and brands
- • Provide financial support for IP registration
- • Enhance IP management capabilities of MSMEs
- • Promote commercialization of IP assets
- • Reduce cost barrier for IP protection
Why IP Protection Matters for MSMEs
Competitive Advantage
IP protection prevents competitors from copying innovations, maintaining market differentiation
Business Value
IP assets add to company valuation and can be licensed or sold for revenue
Investment Attraction
Investors prefer businesses with protected IP portfolios
Market Expansion
Protected brands and products enable confident market expansion
Scheme Components
The IP Awareness Scheme operates through multiple components to create comprehensive IP support:
Component 1: IP Awareness and Sensitization
Organizing seminars, workshops, and training programs to educate MSMEs about various forms of IP and their importance.
Activities:
- • IP awareness seminars in MSME clusters
- • Training on patent searching and drafting
- • Workshops on trademark and brand protection
- • Sensitization on design registration
- • Awareness on geographical indications (GI)
Component 2: Financial Support for IP Registration
Providing reimbursement of fees paid for filing patents, trademarks, designs, and geographical indications.
Support Includes:
- • Patent filing and prosecution fees
- • Trademark registration fees
- • Industrial design registration fees
- • GI registration fees
- • Attorney/agent fees (partial)
Component 3: International IP Filing Support
Special support for MSMEs seeking IP protection in international markets through PCT, Madrid Protocol, etc.
International Support:
- • PCT international patent application fees
- • Madrid Protocol trademark filing
- • Hague System design registration
- • Country-specific filing support
Component 4: IP Facilitation Centers
Setting up facilitation centers to provide on-ground support to MSMEs for IP protection.
Services:
- • Prior art search assistance
- • Application drafting support
- • Filing facilitation
- • IP management guidance
IP Registration Reimbursement
The scheme provides financial reimbursement for various IP registration expenses:
Reimbursement Structure
| IP Type | Maximum Reimbursement | Coverage |
|---|---|---|
| Patents (Domestic) | Up to ₹1,00,000 | Filing, examination, and prosecution fees |
| Patents (International/PCT) | Up to ₹3,00,000 | PCT filing and national phase entry |
| Trademarks | Up to ₹25,000 | Application and registration fees |
| Industrial Designs | Up to ₹25,000 | Filing and registration fees |
| Geographical Indications | Up to ₹50,000 | Application and registration fees |
What is Covered
Included
- • Government filing fees
- • Examination fees
- • Publication fees
- • Grant/registration fees
- • Patent attorney fees (partial)
- • Prior art search fees
Not Included
- • Renewal/maintenance fees
- • Opposition/litigation costs
- • Translation costs (general)
- • R&D expenses
- • Commercialization costs
- • Infringement enforcement
IP Awareness Programs
The scheme conducts various awareness programs to educate MSMEs:
Types of Programs
IP Awareness Seminars
One-day seminars covering basics of patents, trademarks, designs, and copyrights. Open to all MSMEs at no cost.
Training Workshops
Hands-on workshops on patent searching, drafting claims, and filing procedures.
IP Clinics
One-on-one consultations with IP experts for specific queries and guidance.
Online Webinars
Virtual sessions accessible to MSMEs across India, covering various IP topics.
Program Coverage
- • Patents: What is patentable, application process, patent search, claims drafting
- • Trademarks: Brand protection, registration process, class selection, enforcement
- • Designs: Industrial design protection, application filing, design strategy
- • Copyrights: Creative work protection, registration benefits
- • Geographical Indications: GI protection for traditional products
- • Trade Secrets: Protecting confidential business information
Eligibility Criteria
To avail benefits under the IP Awareness Scheme:
Enterprise Requirements
MSME Registration
Must have valid Udyam Registration Certificate. Both manufacturing and service MSMEs are eligible.
Innovation Ownership
For patent reimbursement, the MSME must be the applicant/owner of the patent. Licensed IP is generally not eligible.
Timely Filing
Reimbursement claims must be filed within specified time from IP filing date (typically 6-12 months).
First-Time Filing
Priority given to first-time IP filers. Existing IP holders may have limited or no eligibility for subsequent filings.
Exclusions
The following are generally not eligible:
- • Large enterprises (non-MSMEs)
- • MSMEs with repeated filings for same IP
- • IP applications filed before scheme notification
- • IP not owned by the MSME
- • IP applications already granted/registered before claim
Application Process
Follow these steps to claim IP registration reimbursement:
Step 1: Identify IP Assets
Assess your business for protectable IP - inventions (patents), brands (trademarks), designs, etc.
Step 2: Conduct IP Search
Perform prior art search to check novelty and avoid infringement. IP facilitation centers can assist.
Step 3: File IP Application
File your patent, trademark, or design application with the appropriate IP office. Keep all receipts.
Step 4: Pay Fees
Pay all applicable government fees and retain payment receipts for reimbursement claim.
Step 5: Submit Reimbursement Claim
Submit claim form with required documents to DC MSME or through designated portal within stipulated time.
Step 6: Verification and Processing
Authority verifies the claim, checks eligibility, and processes the reimbursement.
Step 7: Receive Reimbursement
Approved reimbursement amount is credited to the MSME's bank account.
International IP Filing Support
The scheme provides enhanced support for MSMEs seeking IP protection in international markets:
International Filing Routes
PCT (Patent Cooperation Treaty)
File one international patent application to seek protection in 150+ countries. Scheme supports PCT filing and national phase entry fees.
Madrid Protocol
International trademark registration system covering 120+ countries through a single application.
Hague System
International design registration for protecting industrial designs in multiple countries.
Enhanced Support for International Filing
- • Higher reimbursement cap (up to ₹3 lakh for patents)
- • Support for multiple country filings
- • Priority to MSMEs with export potential
- • Assistance through IP facilitation centers