Bangalore, December 12, 2024- With the implementation of Law No. 65 of 2024, which amends the previous Patent Law No. 13 of 2016, Indonesia has made substantial modifications to its patent regime. This legislative reform aims to align the nation's intellectual property (IP) system with global standards, fostering innovation, reducing administrative barriers, and creating a more investor-friendly environment.
Broader Scope for Patents
The updated law expands the definition of patentable inventions to include not only products and processes but also systems, methods, and uses. This comprehensive approach encourages research and development across diverse sectors, offering more robust protection for innovators.
New Rules on Software Patents
A major highlight is the clearer stance on software-related inventions. While standalone software remains non-patentable, software integrated with hardware or contributing to technical solutions can now be patented. This change is expected to attract tech investments and stimulate growth in Indonesia’s digital economy.
Extended Grace Period
The disclosure grace period for patent filing has been extended to 12 months, giving inventors more flexibility to publicly present their work without risking their IP rights.
Enhanced Licensing Framework
The reforms also prioritize public health and fair market access. Compulsory licensing provisions have been streamlined, enabling quicker access to patented innovations, particularly in sectors like healthcare. Patent holders are now required to utilize their patents within 36 months of grant or risk third-party licensing.
Simplified Patent Processes
To improve efficiency, the Directorate General of Intellectual Property (DGIP) has introduced faster processing times and a shift toward digital platforms for patent applications. These updates reduce bureaucracy and make it easier for both local and international applicants to navigate the system.
Support for Foreign Applicants
In a move to attract global innovation, initial patent filing are now allowed in English, with translations into Bahasa Indonesia required later.
Annual Reporting Obligations
Patent holders must now submit annual reports detailing the use of their patents in Indonesia. This ensures accountability and encourages active commercialization of protected innovations.
With these reforms, Indonesia positions itself as a regional hub for innovation, providing businesses and inventors with a streamlined and globally competitive patent framework.
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