2023: The year ahead on access and benefit sharing (ABS)

Building on the outcomes of COP15 in Montreal, 2023 promises to be a significant year on the topic of access and benefit sharing (ABS), including international discussions on digital sequence information and evolving national requirements for biodiversity-based research and development. This note provides an overview of key developments to watch for companies working with ingredients from biodiversity.

For more information and to stay up to date on evolving ABS laws and regulations, please contact abs@uebt.org

ABS in the Kunming-Montreal Global Biodiversity Framework

Outcomes of the 2022 Montreal biodiversity are described as “historic,” but also a “first step” in resetting the relationship between people and nature. The Kunming-Montreal Global Biodiversity Framework (GBF) sets out a strategic plan for broad-based action on biodiversity, including on access and benefit sharing (ABS).

In line with GBF target 13, countries now need to take measures to ensure that, by 2030, there is a significant increase of benefits shared as a result of the utilisation of genetic resources, traditional knowledge, and digital sequence information. Target 13 does not include any numerical targets, as some countries proposed. However, ABS remains a core element in the GBF. For example, under Target 15, companies will be called upon to report on compliance with ABS regulations and measures.

In the year ahead, countries will update their national biodiversity strategies and action plans to align with the GBF. In 2024, countries will report on national targets and actions adopted in support of GBF targets, including on ABS. For example, what is the national target on increasing benefit sharing? What measures will be taken to promote this? How will progress be measured? Countries will also report on relevant commitments made by other actors, including business.

Digital sequence information (DSI)

As part of the GBF, countries also agreed to establish a multilateral mechanism for benefit-sharing from the use of digital sequence information on genetic resources. “Digital sequence information” (DSI) is a term used to describe information on genetic resources, such as DNA sequences, protein sequences, or molecular data, that could be accessed and used for research and development, separately from the genetic resources themselves.

The scope of the mechanism – that is, what type of information would be covered by benefit-sharing requirements – is still unclear. However, it could be relevant for technologies used in the research and development of ingredients for biodiversity in food and beverages, cosmetics, fragrance and flavours, and natural pharmaceuticals (see figure 1).

In the year ahead, countries will further define what this distinctive solution might look like. A multilateral benefit-sharing mechanism would maintain open access to data and provide a global fund for fair and equitable benefit-sharing. Details on the governance of the fund, triggers for benefit-sharing, and disbursement of benefits will be negotiated by a working group. Countries and other actors are invited to provide perspectives. The working group will make recommendations for a decision in 2024.

Evolving national laws on ABS

In the year ahead, there will also be developments on ABS in several countries of importance for the sourcing of ingredients from biodiversity, including:

Brazil

In early January, Marina Silva became the Brazilian environment minister. One of the new minister’s first acts was to change the name to the Ministry of the Environment and Climate Change, to highlight what she called the “greatest global challenge” currently faced by humanity (the acronym, however, remains MMA). She established a series of new units within MMA, including the Secretariat of Bioeconomy. This is to recognise the wealth of biodiversity, as well as associated traditional knowledge, in Brazil and the need to, jointly with other federal agencies, develop an economy based on its sustainable use and valorisation. The Genetic Heritage Department will fall under this new secretariat. In the year ahead, measures to be taken on the issue of ABS are still unclear, but will likely include the launch of a new, English-language version of SisGen, the online ABS system, and the operationalisation of the national benefit-sharing fund.

India

A bill to amend the Biological Diversity Act, first introduced in 2021, is still under discussion in the Indian parliament. The bill addresses concerns from the Indian system of medicine, seed, and other industry sectors, as well as the research community regarding the need to streamline processes. For example, one of the main proposed changes is that ABS requirements would not apply to codified traditional knowledge, cultivated medicinal plants and its products, and local communities. In early January 2023, the joint parliamentary committee currently reviewing the bill launched a public consultation to gather feedback from different groups of stakeholders. Only a two-week period for comments was provided, as the committee must submit a report to Parliament by February 6.

Madagascar

In 2022, Madagascar launched an ABS project funded by the Global Environment Facility (GEF). This project, scheduled to run for two years, has activities that include the adoption of a new law on ABS and at least five pilot cases. The draft law on ABS, as well as supporting regulations, have been drafted by not yet officially adopted. The scope of ABS requirements in the draft text covers the utilisation of genetic resources, associated traditional knowledge and the information resulting from such utilisation, specifically activities that do not constitute research and development. The draft text also includes several provisions on regularising past access to genetic resources. In the year ahead, the ABS law and regulations are expected to be adopted, and authorities should begin processing applications in a more systematic manner.