Exclusive right explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
A registered breeder must deposit seed of the variety in the National Gene Bank and in return holds an exclusive right to produce, sell, market, distribute, import or export it. The breeder can authorise others to deal with the variety, but only within the limits and in the form the regulations lay down.
Provisions as amended up to the Tribunals Reforms Act, 2021 (in force 4 April 2021); no later amendment as of 3 October 2026. Later notifications should be checked on plantauthority.gov.in.
The breeder must deposit seeds or propagating material, including parental line seeds, in the National Gene Bank in the quantity and time the regulations specify, at the breeder's expense (s.27). A certificate of registration confers an exclusive right on the breeder or successor, agent or licensee to produce, sell, market, distribute, import or export the variety (s.28(1)). A breeder may authorise any person, subject to limits set by regulations and in the form they specify (s.28(2)-(3)).
Section 27: deposit in the National Gene Bank
| Sub-section | Provision |
|---|---|
| 27(1) | The breeder shall deposit such quantity of seeds or propagating material, including parental line seeds, of the registered variety in the National Gene Bank as specified in the regulations, "for reproduction purpose at the breeder's expense", within the time the regulation specifies |
| 27(2) | The deposit shall be made to the National Gene Bank specified by the Authority |
The quantity is not in the Act. Regulation 12 of the 2006 Regulations says the quantities, including parental line seeds and varieties under DUS testing, are those specified in the DUS test guidelines under Regulation 11, published in the Journal of the Authority; see Regulations 10 to 13. Rule 29(10) separately requires the samples and parental lines deposited at the National Gene Bank to present maintainable standards of generic purity, uniformity, germination and sanitary and phytosanitary quality.
The deposit has a practical purpose beyond record-keeping: if a compulsory licence is granted, the Authority makes available to the licensee the reproductive material stored in the National Gene Bank or any other centre (s.50). Failure to comply with the Act, rules or regulations is also a ground for revocation under section 34(f). If you license seed to others, our agreement drafting team can build the deposit and supply obligations into the contract.
Section 28(1): the exclusive right
"Subject to the other provisions of this Act, a certificate of registration for a variety issued under this Act shall confer an exclusive right on the breeder or his successor, his agent or licensee, to produce, sell, market, distribute, import or export the variety."
Points to read carefully:
- The six verbs are produce, sell, market, distribute, import and export. The Act does not give a separate right to "use" in this clause.
- The right belongs to the breeder or successor, and also to the agent or licensee. An agent or licensee derives title from the breeder and must be registered under section 28(4); see section 28(4)-(11).
- The opening words "subject to the other provisions" bring in the limits elsewhere: farmers' rights (section 39), researchers' rights (section 30), compulsory licence (Chapter VII), and others.
The extant-variety proviso
"In the case of an extant variety, unless a breeder or his successor establishes his right, the Central Government, and in cases where such extant variety is notified for a State or for any area thereof under section 5 of the Seeds Act, 1966, the State Government, shall be deemed to be the owner of such right." So an extant variety does not automatically belong to anyone claiming it. Unless the breeder or successor establishes the right, the Government is deemed the owner, and the State Government where the variety is notified for a State or area under the Seeds Act. For the Seeds Act, 1966 itself, check the current law separately.
Section 28(2) and (3): authorising others
A breeder "may authorise any person to produce, sell, market or otherwise deal with the variety registered under this Act subject to such limitations and conditions as may be specified by regulations" (s.28(2)), and "every authorisation under this section shall be in such form as may be specified by regulations" (s.28(3)).
Regulation 13 of the 2006 Regulations provides, in summary, that:
- the authorisation is made in Form 1A;
- it is executed on non-judicial stamp paper conforming to the requirements of the Indian Stamp Act, 1899 (no rate is stated here);
- it is attested by the registered breeder or an authorised person in the presence of two witnesses, and registered in accordance with the rules;
- it must clearly identify the rights conferred, specify the term, and identify the territories, which must not violate rights granted to any licensee under the Act.
An invented example: Agrigen Biotech Ltd, a registered breeder of a cotton hybrid, wants Rajput Seeds to multiply and sell its seed in two named States for five years. It prepares Form 1A on stamp paper, names the rights (production and sale), the term and the two States, signs it before two witnesses and has it registered. Rajput Seeds then applies to be registered as licensee under section 28(4). If the form had left the territory unclear, it would not meet Regulation 13.
A licence that identifies the right, the term and the territory precisely is easier to register and to enforce.
What happens next
An authorisation is not the end of the process. To enjoy the benefit as a registered agent or licensee (including the right to sue), the person must register under section 28(4). The related rules are in rules 45 to 49. Infringement of the exclusive right is dealt with in sections 64 to 67.
Need help drafting a variety licence?
A licence to produce or sell a registered variety must identify the right, the term and the territory, and must be in the form the Regulations require. If you are a breeder or a seed company, talk to us about agreement drafting for your authorisations.
Key takeaways
- The breeder must deposit seed and parental line seed in the National Gene Bank at the breeder's expense.
- Registration confers an exclusive right to produce, sell, market, distribute, import or export.
- For an extant variety, the Government is deemed owner unless the breeder or successor establishes the right.
- Authorisation must be within regulatory limits and in the specified form (Form 1A).
- Registered agents and licensees are the next step (s.28(4)).
Read next
- Section 28(4)-(11): registering agents and licensees
- Sections 29-30: excluded varieties and researchers' rights
- Regulations 10-13: forms, seed standards and Form 1A
Disclaimer: Based on the Protection of Plant Varieties and Farmers' Rights Act, 2001 as amended up to the Tribunals Reforms Act, 2021, the PPV&FR Rules, 2003 as amended up to G.S.R. 803(E) of 16 November 2021, and the regulations, rules and scheme named in the article, as published by the PPV&FR Authority and consulted on 3 October 2026. Later notifications should be checked on plantauthority.gov.in. This article is general information, not legal advice; check the official text before acting.
