Compulsory Licence 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.
After three years from the certificate, any interested person may ask the Authority for a compulsory licence if the public's reasonable requirements for seed are not satisfied or the seed is not available at a reasonable price. The Authority consults the Central Government, hears the breeder, and may order the breeder to grant a licence. The breeder can seek a limited adjournment.
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.
After three years from the date of issue of a certificate, any person interested may apply to the Authority alleging that reasonable requirements of the public for seed are not satisfied or that seed is not available at a reasonable price (s.47(1)). The Authority, after consulting the Central Government and hearing the parties, may order the breeder to grant a licence on terms it deems fit (s.47(3)). It weighs the factors in section 48. The breeder may get an adjournment not exceeding twelve months in aggregate (s.49).
Section 47: the application and the order
| Sub-section | Provision |
|---|---|
| 47(1) | At any time after the expiry of three years from the date of issue of a certificate of registration, any person interested may apply to the Authority alleging that the reasonable requirements of the public for seed or other propagating material have not been satisfied, or that it is not available to the public at a reasonable price, and pray for a compulsory licence to undertake production, distribution and sale |
| 47(2) | The application shall contain a statement of the nature of the applicant's interest, with the particulars prescribed and the facts on which it is based |
| 47(3) | The Authority, after consultation with the Central Government, and if satisfied after giving the breeder an opportunity to file opposition and after hearing the parties, may order the breeder to grant a licence to the applicant on such terms and conditions as it deems fit, and send a copy of the order to the Registrar to register the applicant's title as licensee under section 28(4), on payment of the fee referred to in that sub-section |
Two separate grounds: requirements not satisfied and not available at a reasonable price. Either suffices. The application must also say what interest the applicant has; "any person interested" is not defined.
If you are a seed company thinking of applying, or a breeder expecting an application, a legal dispute resolution adviser can assess the position before the notice period starts.
The rules on the application
Under rule 71, the application is in Form PV-28 with the fee in the Second Schedule. It must give the denomination and the generic and specific name of the variety, state the grounds with supporting documents, and be supported by the applicant's qualification and technical and financial capabilities with evidence, the particulars of the holder of the right to the variety, and written evidence that the applicant has exhausted all measures for a voluntary licence. If the Authority is not satisfied that a prima facie case has been made, it notifies the applicant. Otherwise it serves notice on the breeder or assignee or registered agent inviting opposition within one month of receiving the notice; opposition is in Form PV-29 supported by documentary proof. After hearing both sides, if the Authority is satisfied there is a need, it may order the licence on terms of royalties and other remuneration as it deems fit. Rule 71 prints a sub-rule "(7)" where sub-rule (2) is meant; this is a numbering slip in the printed text. Details are in rules 71 to 73.
Section 48: how the public requirement is judged
In determining whether the reasonable requirements of the public for seeds are met, "the Authority shall take into account":
- the nature of the variety, the time that has elapsed since the grant of the certificate, the price of the seed, and the measures taken by the breeder or any registered licensee to meet the requirement of the public; and
- the capacity, ability and technical competence of the applicant to produce and market the variety to meet the requirement of the public.
The second limb tests the applicant, not only the breeder. An applicant with no capacity to produce seed is unlikely to succeed even if the breeder has fallen short. This is why rule 71 asks for evidence of the applicant's qualifications and technical and financial capabilities.
Section 49: adjournment
| Sub-section | Provision |
|---|---|
| 49(1) | If the breeder, in respect of an application pending under section 47, makes a written request on the ground that, due to any reasonable factor, he has been unable to produce seed or propagating material on a commercial scale to an adequate extent, the Authority may, if satisfied that the ground is reasonable, adjourn the hearing for a period not exceeding twelve months in aggregate as it may consider sufficient for optimum production |
| 49(2) | No adjournment unless the Authority is satisfied that the breeder has taken immediate measures to meet the reasonable requirements of the public |
The twelve months is a cap on the aggregate of all adjournments, not on each. The breeder must ask in writing and must show immediate measures. The Act does not set a form for the request.
An invented example: Harvest Seeds Pvt Ltd registered a pulse variety. Three years and two months later, a regional seed cooperative applies for a compulsory licence, alleging that the seed is unavailable in its State and that the price is unreasonable. Harvest Seeds writes to the Authority that a drought hit its seed plots, shows the measures it has taken to restore production, and asks for an adjournment. The Authority may adjourn for up to twelve months in aggregate if satisfied that the ground is reasonable and immediate measures have been taken.
What follows a licence order
The title of a compulsory licensee is registered under section 28(4) on payment of the fee. The duration, terms, revocation and modification of the licence are in sections 50 to 53. Failure by the breeder to supply seed to a compulsory licensee is a ground for revocation of protection under section 34(e); see sections 33 and 34. A breeder's own duty to arrange seed availability is the subject of rule 36A.
Need help with a compulsory licence matter?
Whether you are applying for a licence or answering an application, the early steps decide the case. Start with our legal dispute resolution team.
Key takeaways
- An application can be made only after three years from the date of issue of the certificate.
- Grounds: public requirements not satisfied, or seed not available at a reasonable price.
- The Authority consults the Central Government, hears the breeder, and may order a licence on terms it deems fit.
- Section 48 looks at both the breeder's measures and the applicant's capacity.
- An adjournment is possible for up to twelve months in aggregate if the breeder shows reasonable cause and immediate measures.
Read next
- Sections 50-53: duration, terms, revocation and modification
- Sections 27-28(3): breeder's exclusive rights
- Rules 71-73: compulsory licence procedure
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.