Industry throws a spanner in the KSBB works

T. NANDAKUMAR
The Hindu, February 27, 2016

Faced with stiff resistance from industry, the Kerala State Biodiversity Board (KSBB) has turned to the government for help in implementing the Access and Benefit Sharing (ABS) mechanism for commercial utilisation of biological resources.

According to officials, certain sectors of industry had complained to the government that the proposed levy would add to their financial burden and weigh down their prospects of becoming competitive in the global market. The government, in response, has asked the KSBB to provide the details of the ABS mechanism and the guidelines issued by the National Biodiversity Authority (NBA).

The board had earlier written to the Environment Department, seeking a government order to implement the ABS mechanism under the provisions of the Biodiversity Act, 2002 and the Kerala Biodiversity Rules, 2008.

The KSBB has identified 2,694 industrial units in the State that will be liable to pay a levy for access to bioresources and associated traditional knowledge.

The companies will be required to plough back a portion of their sales revenue to the State Biodiversity Fund, in return for commercial exploitation of plants, animals, microorganisms, their parts, and genetic material (excluding human genetic material). The fund would be utilised for conservation activities.

The proposed levy opens up a new revenue stream for the government, but there are fears that it would be bogged down by litigation.

The bio resource-based industries identified by the KSBB include Ayurveda drug companies, tea and coffee manufacturers, agro-based units, food and fruit processing centres, leather, cashew, textiles, paper, rubber, coir, spices, wood and bamboo based industries and exporters of these products. Traditional healers and farmers have been exempted.

KSBB officials said some sectors of industry were using their lobbying power and connections with Union Ministries to delay the proposed levy, while others had begun efforts to sell high value products as normally traded commodities eligible for exemption.

K.P. Laladhas, member secretary, KSBB, admitted that the organised resistance from certain sectors was thwarting efforts to implement the ABS mechanism through a consensus approach. “As an advisory body with no enforcement mechanism, our only option is to seek the help of the government.”