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RP retained in US copyright watchlist

By Ayen Infante

04/26/2008

The Philippines was retained under the annual watchlist of intellectual property rights violators under the regular category, the US government announced yesterday. Intellectual Property Office of the Philippines (IP Philippines) director general Adrian Cristobal Jr. said the US Trade Representative’s official choice to maintain the country’s standing in the Special 301 annual report, was a welcome move despite the strong lobby staged by various international groups against the Philippines.

“We are pleased to learn that the USTR graded the Philippines a status quo because this means it has recognized our efforts in fighting intellectual property rights violators,” Cristobal said.

According to Cristobal, the Philippine government was officially informed by the US Embassy officials via the Washington office, Thursday night (April 24, Manila time) that a final report is ready to be announced today keeping the Philippines on its present status.

Asked why the Philippine government is pleased with the US report, Cristobal explained there are major concerns particularly in the prosecution that could influence the US decision to downgrade the country’s status.

“Ours concerns before the final result of the review was completed were mainly on the prosecution side, managing the cases in courts and pursuing actual penalty,” he added.

This is the third year that the country is on the ordinary watch list which includes countries that the USTR perceives to have problems on IP protection and enforcement that requires bilateral talks or attention.

The US government removed the Philippines from the Priority Watch List (PWL) and placed it on the lower level of the ordinary watch list in 2006. The country stayed on the same list in 2007.

The 29 other trading partners of the US on the 2007 lower level watch list were Belarus, Brazil, Colombia, Costa Rica, Dominican Republic, Ecuador, Guatemala, Hungary, Indonesia, Jamaica, Kuwait, Lithuania, Malaysia, Mexico, Pakistan, Peru, Poland, Romania, Saudi Arabia, Taiwan, Tajikstan, Turkmenistan, Uzbekistan and Vietnam. Developed countries Canada, Italy and Korea were also on the ordinary watch list.

Before the improvement on the country’s standing, the Philippines had been on the PWL for five consecutive years, 2001 to 2005, classified as countries that do not provide enough IPR protection or enforcement of laws protecting IPR, or market access for persons relying on intellectual property are included in the PWL.

“The United States acknowledges the continuing efforts to increase enforcement actions against pirated optical disc production facilities and retail establishments. We also recognize the continuing efforts of the Intellectual Property Office to coordinate among IPR enforcement agencies,” the US Embassy stated.

“This is a clear recognition of the government’s political commitment to strengthen the IPR regime in the country, and the sustained campaign against counterfeiters,” Cristobal said. “Credit goes to the enforcement agencies of the National Committee on IPR (NCIPR) namely, the Philippine National Police (PNP), the National Bureau of Investigation (NBI), the Optical Media Board (OMB), the Bureau of Customs (BoC) and the Department of Justice (DoJ).”

“The enforcement agencies have accelerated their momentum. Enforcement operations yielded close to P3 billion worth of pirated items in 2007, higher by P497 million than the combined figures of 2005 and 2006,” Cristobal said.

The US Embassy likewise encouraged the Philippine government to adopt and implement an IPR action plan for 2008 that will address the concerns raised. The NCIPR has an action plan for 2007 to 2008 with seven strategic components: public information and education; effective enforcement; copyright protection; judicial reforms, adjudication and alternatives; policy and legislation; inter-agency work and public-private partnerships and; international cooperation.

Apart from these, the IP office has submitted to Malacañang this month a draft Executive Order calling for a permanent creation of IP units in all Customs offices all over the country that would be composed of personnel from the NBI, PNP and Customs.

The US Embassy also voiced concerns of US rights holders on lack of results in certain areas of the IPR regime, and the persistence of high levels of piracy and counterfeiting in the Philippines. The rights holders’ concern stem from lack of progress to successfully prosecute and convict IPR violators, institutionalize permanent IP units in BoC and other enforcement agencies, legislation that would weaken patent protection for pharma-ceuticals and; the illegal downloading of copyright material to mobile devices.

“Moving and managing these cases (498 cases) of IP violators in the court is the biggest challenge for the country. But, this will be addressed vigorously through closer cooperation with the judiciary.” ThPhilippine government expects a removal from the list by 2010.