Malaysia IP News
Malaysian Geographical Indications
In a recent report, the Malaysian Domestic Trade and Consumer Affairs Minister Datuk Seri Ismail Sabri Yaakob said that there were only six registrations for Geographical Indicators (GI) as intellectual property. This seems to be inadequate as the country is known to have much more of and the only reason is that there is just a lack of awareness of the potentials of intellectual properties.
According to the minister, items like belacan, laksa, ginger and cencalok could certainly qualify for registrations as Geographical Indicators as they are unique to the region. And when compared to Europe, Malaysia would have plenty to catch up with. There are some 6,000 items registered in Europe, with items like wine, spirit and many milk products with unique regional names.
Some unique names registered recently were Sarawak Pepper, Sabah Tea, Borneo Virgin Coconut oil, Tenom Coffee and Bario Rice. Besides giving these registrants an intellectual property asset, GI’s could help to promote the country’s tourism sector as unique products do attract people from other parts of the world to come here and taste them in their place of origin. Meanwhile, there are others like Tongkat Ali, Kacip Fatimah, Gamat which also have medicinal properties should be register as well, before foreigners steal them away and register it in other countries. Do you have something unique that qualifies as a GI? Give us a call then.
GI or geographical indicators will enhance a country’s indigenous products from being exploited by unscrupulous people. In a recent meeting in Bangkok, the EU invited the ASEAN countries to adhere to the protection of GI so as to ensure that its rural products will not be exploited. In this respect, the EU has offered to give €5.1 million euros assistance to help the Asian countries implement GI legislations so that it would benefit the rural poor. It would also help in maintaining the standards and ensure that rural produces retain their qualities and get exported to far off regions. So far, Vietnam, Indonesia, Malaysia, Laos and Cambodia have enacted GI standards in their countries. EU will also renew its cooperation with ASEAN on matters like intellectual property.
As GI’s are new to ASEAN, there is a need to increase the dissemination of its idea especially to the rural areas. The people have to be told of what they have and in areas where there is the possibilities of further developing these GI’s. Basically it is a kind of branding, and the concept is alien to the rural populace, although some of their products have enjoyed GI status but they do not know of the greater significance of such a status! An example is the fragrant rice that Thailand is famous for and many others have eagerly imported them and put it on their dinner tables. Much of it does not come with any branding, and thus lost in marketing value. However, a special type of Thai rice by the name of Tung Kula Rong-Hai Thai Hom Mali rice is setting a trend in Thailand as an example where GIs can be exploited. Presently, most of the ASEAN countries that have allotted GI status are on products. There is another area that should be exploited and that is in services which is allowed by the World Trade Organization Trade-Related Aspects of Intellectual Property Rights (TRIPS). Hopefully, ASEAN countries will speed up their enactment processes and go all out to establish a GI culture that will bring about a long term benefit to its people.
June 29, 2009
Malaysia looks forward…
Malaysia has reached a middle income bracket conundrum, and efforts should be made to move up the ladder. Such things are easier said than done, not withstanding the bulk of the national resources falling on natural assets such as oil and gasses. Since natural resources are running out fast, it is becoming a big headache for strategist to come up with a viable plan for moving the country forward. The Malaysia Productivity Corporation, as part of the government think tank, has earnestly championed and focused on improving the lot of the people via innovation and creativity in both the public and private sector.
In a recent conference entitled “Competitiveness: Enhancing Competitiveness through Creativity and Innovation”, sponsored by the Malaysian Productivity Corporation, many speakers were unanimous on increasing productivities through innovation. As Malaysia is opening up its economy to foreign players in accordance to WTO requirements, and as it has vowed to increase its services sector in its economy, institutions should encourage and put in place for more creativity and innovations in not only the technical sector, but also the non-technical activities. Institutional managers have been urged to lead by thinking out of the box, as well as not to allow those little Napoleons’ in their area of jurisdiction to stifle new innovative thinking and practices.
An area that is of great concern is the country’s spending on research and development as a percentage of the GDP. In this respect, Malaysia has only attained a dismal 1 percent, far below the world recommended average of 2.5 percent. Looking from the angle of intellectual property rights protection, Malaysia is ranked 26 in the world, far from a level that would inspire sufficient foreign direct investment, especially in the higher skilled industries. The World Bank had recently cautioned Malaysia that she should not depend on oil resources as it is heading towards depletion. Unfortunately, saddled with a high annual deficit, Malaysia could only look forward to a higher oil price to overcome its short term problem. Meanwhile, innovations, if at all it can be implemented, will only bring result in a few years time. For this country, it should be made a way of life, and not before scare resources runs out.
August 17, 2009.
The McDonald versus McCurry saga……
In a Malaysian appeals court decision in April 2009, McCurry was given the go ahead to continue using its trademark, which was contested by fast food giant McDonald. The case was brought about by the franchisor of the Big Mac in Malaysia in 2006. The reason sighted by the fast food franchisor was that it owns the trademark and McCurry was illegally passing itself off as an affiliate and therefore misleading the general public. Well, here are the two confronting trademarks.
Big Mac and...................................................the little guy
On Monday, September 07, 2009, the Malaysian McDonald franchisor will go to the highest appeal court to again reclaim its property. Would it succeed this time around? The McCurry Chicken House is an Indian curry eatery, and because of the long battle with the fast food giant, it has not been possible for them to open up more stores. But just looking at the two trademarks, will one be miss-leaded into thinking that they are both related? To be sure, the long (about eight years) drawn out battle has put more awareness on intellectual property in this country, where people often take things for granted as far as intellectual property is concerned!
With three judges sitting in the federal appeal court on September 8, 2009, and after four hours of intense deliberations, it was decided that Bic Mac has no standing in preventing McCurry Chicken Curry from continuing to use the McCurry trademark. Well, it looks like its going to a field's day now for anyyone who had previousely wished to use the prefix "Mc" in their brandings. To be sure, the winner might not be laughing all the way to the bank, as after the this bro ha ha, and when things settle down, it would not be too soon for people to forget the whole episode, and sales to drop. Even so, Malaysians are now made more aware of their rights, not withstanding the ever presence of Big Brother overlooking at what they are doing.
September 8, 2009.
Your friendly malaysian patent and trademark agent
How do you deduce the monetary loss from software piracy?
Here is an interesting deduction of human behavior gleamed from actual happenings. According to Tarun Sawney, the senior director of the Business Software Alliance Asia Pacific Anti-Piracy, "when there's less piracy, people tend to buy more computers. For instance, at 59 per cent piracy, people might buy around 100 computers but if the piracy rate decreases by 2 per cent to around 57 per cent, people might buy around 120 computers with unlicensed software, translating into greater revenue losses." Sawney was commenting in a news conference given by the Malaysian Domestic Trade, Cooperative and Consumerism Ministry which had reported success in seizing RM794, 300 worth of pirated software from a private institution of higher learning in the capital, Kuala Lumpur. This was the first time the ministry’s enforcement division had raided a private institution of higher learning, where 58 copies of pirated software were seized.
Software piracy happens in almost any country, but it is especially endemic in less developed countries. In Asia, the average piracy is rated at around 60 over percent, and Malaysia has a rating of about 59 percent. It is almost certain that the actual piracy rate is very much higher in these countries. In order to make an actual monetary value to the loss suffered by missed sales of software, it would be necessary to take into account the number of hardware and also the number of people using them. But there is another indication that should give a fairly good estimation of the pervasiveness of piracy. And that is how easily you can buy a pirate copy in the market place. If higher institutions of higher learning have to resort to using pirated copies (they can certainly afford the real stuffs), and they certainly have, then it thus indicate that piracy is rampant! It is definitely more than 59 %. Indeed, a stroll at the major capital cities will point to the easy availability of these counterfeits, and not only do you see the locals buying them, but more often than not, you also see the tourist (read light skin types) who thronged these outlets and enthusiastically buy up that copy with multiple programs, for a cost of a few dollars!
October 13, 2009.
New Tax relief for IP registrations
The Malaysian Prime Minister announced new tax deduction for intellectual property filings like patents and trademarks in the 2010 budget recently. The details are still being worked out and will be announced later on. The cost of filing intellectual properties in Malaysia is not expensive if you only file a single patent for Malaysia, but will become costly if you go international or through the PCT. The same goes with trademark registrations. A single registration for a single class will not cost the earth, but if registrations for other countries is added in, the cost could be high. As at this moment, it is not clear as to whether foreign country filings will be considered for reliefs. A 100% tax deduction will be allowed for up to five years. We will post updates when they are available. Still, it is going to be a much appreciated move, especially to the SME's. It is a first in the world anyway!
October 24, 2009.
Wrong even if you possess one pirated disk.
The Malaysian government is considering taking action against the possession of even one pirated video compact disc (VCD). According to the Minister of Domestic Trade, Cooperatives and Consumerism, Ismail Sabri Yaakob, an amendment to the Copyright Act 1987 will be taken so that any person who is caught in possession of even one pirated copy will be deemed to be in contravention of the act. At the present moment, a person is deemed to be in contravention of the act if they possess three copies. The Minister further elaborated that "in my personal view a person owns a pirated VCD that's an offence, even if it’s one, two or three." It is also known that the fine will be imprisonment.
November 18, 2009.
GI for Bario rice
Good news for Bario rice as it will be accorded a Geographical Indication (GI) by latest January 2010. This is according to Sarawak Agriculture Department senior research officer Teo Gien Khieng , who added that this will allow a better marketing of this grade of rice without having others adulterating it in the market. Bario rice which is cultivated 1000 meters above sea level is sold for its excellent taste and fine texture and a preferred choice in fine cuisine outlets. This variety of rice is sold at a premium price of RM 10 per kilogram, and with its GI tag, adulterators will be prosecuted if they are caught selling them to unsuspected buyers. With the GI approval, the Sarawak’s state Agriculture Department will pursue GI tagging for other rice varieties in the coming months.
Sourced from Bernama-December 2009.
Malaysia at the cross road to technology
The Malaysian prime minister has initiated a move by the country to move into a higher income bracket profile for its resource based economy. Malaysia has been trapped into a middle income economy no thanks to its heavy reliance on selling commodities like oil and natural fats. There is no denying that there is a viable industry in the country to supply enough jobs to the population, but on deeper look, there is cause for concerns. The industries are mostly of the low tech kind that sees the need to import foreign workers that are lowly paid. Local workers just can’t survive doing with the low paid jobs and the country is just stuck with low income bracket. With imported goods selling at rock bottom prices, the local industries just can’t compete with the price and many of them have folded. The remaining ones are stuck, with the bigger ones finding the need to invest in lower cost producing countries like China, Africa and Vietnam just to manage to balance their books. So what can the country do?
According to some experts, the one possible way is to upgrade the technologies into those that can command lesser competition from the low cost producing countries. But in order to do that, there should be a concerted effort from both the government and the small scale industries sector to embrace new technologies that are either sourced locally or from more advance countries. But because there is almost no useful research and development coming from both the universities and industries, there is a need to acquire them from outside. And in this respect, local industries must be acquainted with buying outright intellectual properties from abroad to steer themselves outside the circle of deadbeat sunset industries. Better still, there should be encouraged, as proposed by a writer from TheEdgeMalaysia, a market for IPs. However, this is a new thing for the country to embrace, as compared to Taiwan and Hong Kong where IP markets are more developed, but something that needs to be done, and quickly.
January 6, 2010.
Malaysia going after the creation of intangible assets
The Malaysian Prime Minister in a recent speech cautioned his subjects to get ready to face the future without the benefits of subsidies. For too long, the Malaysian population has enjoyed various kinds of subsidies ranging from fuel to food and it is time that the people adjust for these subsidies to be abolished. On another matter, the people has been reminded that for the country to move to a higher income bracket (it is presently stuck in a middle income level), there is a need to create more intangible assets like proprietary technologies, intellectual property, brand names and institutions. According to a World Bank report, the country could do with at least 60% of their GDP from intangible assets. The question is the people ready to make the change getting out from their comfort zones?
February 9, 2010.
Malaysia to bank on ICT
Malaysia’s Science, Technology and Innovation Minister Dr Maximus Ongkili has indicated that Information Communication Technology (ICT) will be one of the main catalysts for boosting Malaysia’s economy into the next decade. He believes that ICT is capable of moving the national economic value chain from that of a middle-income to a high income economy. Dr Ongkili, who was officiating in the 1nita Project, also said “Innovation and ICT will expedite economic growth and reduce the digital divide among the people, as well as give everyone equal opportunities.” The 1nita Project is a government initiative that would provide a platform for women entrepreneurs to build strong businesses through the use of information technology and the Internet.
March 12, 2010