I thank Senators for their contributions to the debate and broad support for the Bill. The rationale behind it is very sound. It can end the current financial burden on industry by providing the full translation of the European patent to ensure full protection of the patent across Europe. There is a strong appreciation in this House that it is vital that Irish business no longer be hampered by a system that is inefficient and costly.
I wish to address two issues raised on Second Stage last week, one of which was raised by Senator Mooney. Concern was expressed that Irish enterprises were losing under the current European patent system as a result of the expense of registering a patent throughout Europe. I would characterise it more as a loss of opportunity for Irish firms to enter new markets in Europe when patent holders take a selective cost-effective approach to invalidating states for patent protection. Implementation of the London Agreement will go a considerable way to reducing this barrier, offering Irish enterprises easier access to these markets as a result of being able to protect their intellectual property at a more reasonable cost.
I will address an issue raised on Second Stage by Senator Crown last week, namely, a patent cliff for pharmaceutical products. This is an issue that is well recognised by the pharmaceutical sector based in Ireland and our enterprise agencies. The strategy for dealing with this includes a greater emphasis on niche markets and markets in rapidly developing economies and a modest but growing generic medicine industry in Ireland. It is encouraging that the most recent trade figures continue to show strong export growth in medical and pharmaceutical products and the best way to sustain this growth is to maintain the current policy of the IDA of targeting the attraction of research and development activities in the pharmaceutical sector in Ireland.
Although the Bill introduces modest changes, I ask Senators to take a note of two important points. First, as the London Agreement comes into force throughout Europe, Irish-based enterprises and research are saving increased amounts in translation costs. By ratifying the London Agreement Ireland will become a more attractive location to validate European patents, resulting in greater innovation activity here and income increase for the Irish Patents Office. Second, this is one element in the continuing process of reforming the patent and overall intellectual property regime in Ireland to ensure it remains fit for purpose and enhance our attractiveness as an international IP hub.
The Bill will not come into effect until the corresponding patent rules are amended. They give the detailed administrative guidance on the application of the Patents Act 1992. Amendments to these rules will be brought in to effect by means of a statutory instrument signed by the Minister. With regard to the EU patent, to date, 25 of the 27 member states of the EU have indicated a willingness to partake in such a system. The Commission envisages that the first unitary patent protection will be issued in 2014. I hope that adequately addresses the question.
I am grateful to the Senators for their comments and contributions on this issue, and also for their insights. Some very incisive comments were made on Second Stage, to which we must have regard as we proceed with the legislation. I express my appreciation to the House in that regard.
