Mon, May 26, 2003 - Page 11 News List

Taiwan's IPR protectors set for tough fight ahead

With the spotlight on Taiwan's intellectual property rights (IPR) after the nation was placed back on the US Trade Representative Office's Special 301 Priority Watch List earlier this month, `Taipei Times' staff reporter Bill Heaney spoke to Taiwan's No. 2 man on IPR, Jack Lu, deputy director-general of the Ministry of Economic Affairs' Intellectual Property Office about what Taiwan is doing about counterfeiting

By Bill Heaney  /  STAFF REPORTER

The Legislative Yuan and Ministry of Justice have reminded judges over and over that there should be no difference in the treatment of local and foreign companies.

TT: The government has said that it wishes to convert Taiwan into a knowledge-based economy. How important is the issue of IPR to this development? What will happen if you can't get the protection of IPR under control?

Lu: If IPR protection is out of control, there will be a lack of incentives for inventors and innovators, which will discourage industrial development. It will also affect the willingness of foreigners to invest here, and lead to a decrease in the employment rate and tax revenues, which will damage social welfare. Generally speaking, we will lose our position in national and global competitiveness.

TT: Some commentators have said that counterfeiting in Taiwan is in the hands of a few powerful criminal gangs and that the administration is just not strong enough to tackle them. How do you respond to that?

Lu: We can defeat them. We are aware of the situation and have taken an aggressive approach to deal with it. Without sufficient evidence we cannot say a suspect is a gangster. We have some special police teams to deal with these situations. We have the confidence to tackle any IPR infringer whether they are a gang member or individual.

TT: People have said the failure for Taiwan to sort out IPR issues is hurting investment. Last year foreign direct investment dropped 36 percent, and a further 21 percent in the first three months of this year according to the Ministry of Economic Affairs How do you respond to that?

Lu: I have to say I'm not an economist, so I can't judge what percentage of the drop in investment is due to IPR issues, but understanding that IPR protection is critical to Taiwan's expanding trade and economic development and to its global competitiveness is not only the mission but also the obligation of the IPO, in order to provide a healthy IPR protection environment that will encourage innovation and the technological improvement of the nation.

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