NBA to Mark 23rd Foundation Day tomorrow with significant progress in Access and Benefit Sharing

1. At a Glance

• The National Biodiversity Authority (NBA) is a statutory body under the Biological Diversity Act, 2002. It regulates access to India's biological resources and associated traditional knowledge, and ensures fair and equitable benefit sharing [1][S3].
• Access and Benefit Sharing (ABS) makes users of biological resources (such as seed, pharma, AYUSH and cosmetics firms) pay part of the value back into conservation and to local communities [1].
• It is relevant to GS-III (biodiversity, conservation), GS-II (statutory bodies, federal three-tier governance) and India's international commitments (Nagoya Protocol, KMGBF Target 13) [1][5].
• Prelims focus: cumulative figures, the three-tier structure, the Section 7 vs foreign entity split, and the 2023 amendment changes [1][4].

2. Why in the News

• The NBA marks its 23rd Foundation Day on 01.10.2026, according to a PIB release dated 30.09.2026 [1].
• Since 2008, the NBA has realised over Rs 278 crore through ABS and disbursed over Rs 200 crore [1].
• Between 01.09.2025 and 31.08.2026 it received Rs 12.93 crore and released Rs 132.01 crore. The releases included accumulated amounts from earlier collections [1].

3. Background & Evolution

• 2002: The Biological Diversity Act, 2002 was enacted. It set up a three-tier ABS architecture [1].
• 2003: The NBA was set up under Section 8 of the Act, headquartered in Chennai [S3†]. The 23rd Foundation Day on 1 Oct 2026 implies a founding date of 1 Oct 2003 [1].
• 2008: ABS receipts start being counted from this year ("Since 2008") [1].
• 2010: The Nagoya Protocol on access to genetic resources and fair and equitable benefit sharing was adopted [6].
• Dec 2022: The Kunming-Montreal GBF was adopted by 196 countries at COP15. It has 4 goals for 2050 and 23 targets for 2030 [5].
• 16 Dec 2021 → 25 Jul 2023 (LS) → 1 Aug 2023 (RS): The Biological Diversity (Amendment) Bill, 2021 was introduced and passed [4].
• 2024–2030: The updated NBSAP 2024–2030 was aligned with the KMGBF [1].
• After the 2023 amendment, the system moved toward registration-based processes, with a reported surge in IPR filings [S2†].

4. Core Static Facts

Item	Fact	Src
Parent Act	Biological Diversity Act, 2002	[1]
Parent ministry	MoEFCC	[4]
NBA legal basis	Section 8; statutory body; HQ Chennai	[S3†]
Three tiers	NBA (national) → SBBs (States) / UTBCs (UTs) → BMCs (local)	[1]
"Section 7 entities"	Indian entities; ABS approvals for them are granted by SBBs/UTBCs	[1]
Cumulative ABS realised (NBA)	> Rs 278 crore (since 2008)	[1]
Cumulative disbursed (NBA)	> Rs 200 crore	[1]
Recipients of disbursal	> 10,500 BMCs, 28 SBBs, 7 UTBCs, 6 Forest Depts, 58 research institutions and universities	[1]
SBB/UTBC-level ABS	> Rs 51 crore from approvals to Section 7 entities	[1]
FY window 1.9.25–31.8.26	Received Rs 12.93 cr; released Rs 132.01 cr	[1]
e-filing tally	11,273 applications; 6,074 agreements signed or approvals granted; 2,098 certificates issued	[1]
Largest single head	~Rs 100 crore for Red Sanders, released via the AP Forest Dept and AP SBB	[1]
Crop-specific releases	Rs 6.67 cr for 25,431 cotton varieties; Rs 15.52 cr for mustard; Rs 3.51 cr for 139 okra varieties + 28 hybrids	[1]
Contributing sectors	Seeds, AYUSH, pharma, nutraceuticals, biotech, cosmetics, chemicals, biofuels, food and beverages	[1]
Global anchors	Nagoya Protocol; KMGBF Target 13 (plus Targets 4, 5, 9); NBSAP 2024–30; SDGs	[1]
NBA functions	Regulates access and benefit sharing; publishes the Internationally Recognized Certificate of Compliance (IRCC); supports States in notifying Biodiversity Heritage Sites	[S2†]

5. Multi-Dimensional Analysis

Economic

• ABS turns biodiversity into a revenue stream. Contributors include seed MNCs (Nunhems, East West Seeds, Pioneer, Bayer Bioscience), AYUSH firms (Himalaya, Dabur, Organic India), enzyme and biotech firms (Novozymes, Advanced Enzymes) and cosmetics (L'Oréal India) [1].
• Scale is small relative to the bio-economy: annual receipts were only Rs 12.93 crore in 2025–26 [1].
• The 2023 amendment eased compliance for domestic companies. IPR approval is now needed at commercialisation, not at the application stage [4].

Social / Tribal

• Benefits reach farmers, local communities and BMCs. Where individual claimants can't be identified, funds go to the socio-economic development of the areas the resources come from [1].
• The release links ABS to PM-JANMAN, the Pradhan Mantri Janjatiya Vikas Mission and Van Dhan [1].
• Concern: the 2023 amendment exempts codified traditional knowledge (TK) users and AYUSH practitioners from sharing benefits with local communities. "Codified TK" is undefined [4].

Environmental

• ABS funds support People's Biodiversity Registers (PBRs), habitat restoration, community gene banks and conservation of traditional varieties [1].
• The Red Sanders allocation (~Rs 100 crore) is a flagship example of species-specific conservation financing [1].
• Supports KMGBF Targets 4, 5, 9 and 13 [1].

Legal / Governance

• Offences were decriminalised in 2023. Prison terms were replaced by penalties of Rs 1 lakh to Rs 50 lakh, rising to up to Rs 1 crore for continuing violations. Penalties are adjudicated by an officer of Joint Secretary (Centre) or Secretary (State) rank [4].
• Benefit terms are now agreed between the user and the local BMC represented by the NBA, which reduces direct community participation [4].
• The e-filing system, model agreements and standardised procedures improve transparency and predictability [1].

Federal / Administrative

• The three tiers split the work. The NBA deals with foreign and IPR matters. SBBs and UTBCs handle Section 7 (Indian) entities, raising over Rs 51 crore. BMCs work at the ground level [1].
• Disbursal lags collection. Much of the 2025–26 release came from accumulated past collections [1].

Geopolitical

• India presents itself as a pioneer in operationalising ABS [1].
• KMGBF Target 13 now also covers Digital Sequence Information (DSI), which is the next frontier for ABS negotiations [6].

6. Recent Developments (last 12–18 months)

• 01.09.2025–31.08.2026: Rs 12.93 crore received and Rs 132.01 crore released [1].
• Recent releases: cotton (Rs 6.67 cr), mustard (Rs 15.52 cr), okra (Rs 3.51 cr) [1].
• About Rs 100 crore released for Red Sanders conservation in Andhra Pradesh [1].
• 01.10.2026: 23rd Foundation Day [1].
• Oct 2025: FAO's Plant Treaty Governing Body (GB-11) considered cooperation with the CBD on KMGBF Target 13 and DSI [6].

7. Prelims Hooks

• The NBA is a statutory body under Section 8 of the Biological Diversity Act, 2002, with its HQ in Chennai [S3†].
• The NBA's 23rd Foundation Day falls on 1 October 2026 [1].
• ABS realisation is counted since 2008: over Rs 278 crore realised and over Rs 200 crore disbursed [1].
• ABS funds have supported over 10,500 BMCs, 28 SBBs, 7 UTBCs, 6 Forest Departments and 58 institutions [1].
• "Section 7 entities" = Indian entities. Their ABS approvals come from SBBs/UTBCs, not the NBA [1].
• About Rs 100 crore was released for Red Sanders, through the AP Forest Dept and AP SBB [1].
• NBA e-filing tally: 11,273 applications, 6,074 agreements or approvals, 2,098 certificates [1].
• KMGBF Target 13 covers fair and equitable benefit sharing, including from DSI [1][6].
• The KMGBF was adopted at COP15, December 2022, by 196 countries, with 4 goals and 23 targets [5].
• The Nagoya Protocol was adopted in 2010 [6].
• The Biological Diversity (Amendment) Bill was introduced in LS on 16 Dec 2021 and passed by LS on 25 Jul 2023 and RS on 1 Aug 2023 [4].
• Under the 2023 amendment, AYUSH practitioners and codified-TK users are exempt from sharing benefits with local communities [4].
• Research and bio-survey are outside the benefit-sharing requirement after 2023 [4].
• Penalties now range from Rs 1 lakh to Rs 50 lakh, up to Rs 1 crore for continuing contravention, instead of imprisonment [4].
• The NBA publishes the IRCC (Internationally Recognized Certificate of Compliance) [S2†].

8. What the Rs 278 Crore Figure Does Not Tell You

• About half of all money paid out went to one tree species in one State
• Since 2008, the NBA has disbursed over Rs 200 crore [1].
• About Rs 100 crore of that went to Red Sanders conservation, through the AP Forest Department and the AP SBB [1].

• So a large part of the total is conservation spending run by the State. It did not go straight to village-level BMCs (Biodiversity Management Committees, the local bodies that are supposed to receive community benefits).

• The money collected each year is small

• In 2025–26 the NBA received only Rs 12.93 crore [1].
• Over about 18 years (2008–2026), Rs 278 crore comes to roughly Rs 15 crore a year on average [1].

• The payers include big seed, pharma and cosmetics companies such as Bayer Bioscience, Dabur and L'Oréal India [1]. Even so, the yearly total stays small.

• Money waited years before it moved

• In one year, releases (Rs 132.01 crore) were about ten times the receipts (Rs 12.93 crore) [1].
• That was only possible because money collected earlier had not been spent [1].

• The release does not say how long the money waited. A community whose resource was used gets its share years late.

• Part of the money collected has still not been paid out

• The NBA has collected over Rs 278 crore but disbursed over Rs 200 crore [1]. That leaves a gap of roughly Rs 78 crore still with the system.
• Read the numbers this way: the cumulative total shows that ABS exists. It does not show that ABS money is reaching people.

9. Who Now Speaks for the Village: The 2023 Amendment Debate

• The strongest case FOR the amendment
• Under the old law, Indian AYUSH firms and researchers needed approval before they could even apply for a patent. The 2023 amendment moved this to the commercialisation stage [4].
• PIB reports a surge in IPR (intellectual property rights, such as patents) filings after the reform [S2†].
• Exempting cultivated medicinal plants (plants grown on farms) rewards farming. That can reduce pressure on wild plants [7].

• This gain is real, and an answer should say so.

• But communities lost their direct seat at the table

• Earlier, the terms of benefit sharing were agreed between the user, the local bodies and the benefit claimers [7].
• Now they are agreed between the user and the BMC "represented by NBA" [7].

• The PRS summary of the Joint Committee report notes that this removes the direct role of local bodies and benefit claimers [7]. A national body in Chennai now bargains on behalf of a village it has never seen.

• The term "codified traditional knowledge" is not defined, so the exemption could cover almost everything

• Codified TK means traditional knowledge that has been written down. Users of codified TK are exempt from sharing benefits, but the law does not define the term [4][7].
• If "codified" means "written down anywhere", most traditional medicine based on old texts could fall outside benefit sharing.

• PRS warns this may deny benefits to a majority of local traditional knowledge holders [7].

• The farm-plant exemption depends on a certificate that is hard to check

• Cultivated medicinal plants are exempt. The Centre may make rules on how a "certificate of origin" (proof that the plant was grown, not collected from the wild) is issued [7].
• Once a root is harvested and dried, you cannot tell whether it came from a farm or a forest. If the certificate is weak, plants collected from the wild can be passed off as farm-grown and escape benefit sharing.

• The Joint Committee recommended removing this rule-making power [7].

• Balanced verdict: the amendment makes compliance easier for companies. The cost falls on the people with the least voice: forest dwellers and holders of unwritten knowledge.

10. Gene Data Online: The Gap the 2002 Act Cannot Reach

• A company may no longer need the plant at all
• DSI (Digital Sequence Information) is the genetic code of a plant or animal, stored in online databases.
• A firm can download a sequence and use it in a lab without ever collecting a physical sample.

• India's ABS system is built around access to biological resources and traditional knowledge [1]. A firm that only downloads data may never come to the NBA or an SBB for approval.

• The global answer so far is a fund companies are only "expected" to pay into

• The Cali Fund for benefit sharing from DSI was launched on 26 February 2025 [8].
• Large firms using DSI in pharma, cosmetics, plant breeding and biotech are expected to pay 1% of profits or 0.1% of revenue [9].
• Academic institutions, public databases and public research institutions are exempt [9].

• The word is "expected", not "required". This is weaker than India's own approval-based system.

• Why this matters for India's numbers

• KMGBF Target 13 now covers benefit sharing from DSI [1][6]. The FAO Plant Treaty body is already discussing DSI with the CBD [6].
• As research moves from samples to data, India's Rs 12.93 crore a year [1] could shrink even if Indian genes are used more.

11. What Should Change, and Who Must Do It

• MoEFCC should define "codified traditional knowledge" in the Rules
• The Joint Committee on the 2021 Bill flagged that the term was undefined [7].

• A narrow definition would keep unwritten, community-held knowledge inside benefit sharing. For example, "codified" could cover only named classical texts.

• MoEFCC should tighten the certificate of origin for farm-grown medicinal plants

• The Joint Committee wanted Parliament, not the rules, to control this [7].

• At the very least, the certificate should be traceable to a registered farm, so that plants taken from the wild cannot use the exemption.

• The NBA should publish where each rupee went, BMC by BMC

• PIB releases give totals by crop or State, such as cotton, mustard, okra and Red Sanders [1]. They do not show what each BMC spent.

• The NBA already runs an e-filing system that has handled 11,273 applications [1]. The same portal could show BMC-wise receipts and spending.

• The NBA should set a time limit for passing money on

• The 2025–26 releases came mostly from accumulated past collections [1].

• A fixed deadline (for example, release within one financial year of receipt) would stop money from sitting unused.

• India should use its existing network for DSI money

• India has a working chain of NBA → 28 SBBs and 7 UTBCs → over 10,500 BMCs that have received funds [1].
• MoEFCC can push for any Cali Fund share for Indian-origin sequences [8][9] to flow through this chain to the communities that conserved the resource.

12. Anchors for Answers

• Data: Over Rs 278 crore realised and over Rs 200 crore disbursed under ABS since 2008; about Rs 100 crore of the disbursal went to Red Sanders alone [1]
• Data: 2025–26: Rs 12.93 crore received vs Rs 132.01 crore released, mostly from past collections [1]
• Report/Committee: Joint Parliamentary Committee on the Biological Diversity (Amendment) Bill, 2021 (Chair: Dr Sanjay Jaiswal), report tabled 2 August 2022. It flagged the undefined "codified TK" and the exemption for cultivated medicinal plants [7]
• Law/Case: Biological Diversity Act, 2002 (Section 7: Indian entities; Section 8: NBA); Biological Diversity (Amendment) Act, 2023; Nagoya Protocol, 2010 [1][4][6]
• Comparison: Cali Fund (launched February 2025): DSI users are expected to pay 1% of profits or 0.1% of revenue, compared with India's approval-based ABS [8][9]
• Scheme: PM-JANMAN and Van Dhan: the release links ABS benefits to these tribal livelihood schemes [1]

13. Mains Relevance

• GS-III: Conservation, environmental pollution and degradation, EIA; Biotechnology and IPR.
• GS-II: Statutory bodies; Devolution to local bodies (BMCs); Government policies for vulnerable sections (tribal communities).
• GS-IV (peripheral): Ethics of biopiracy and intergenerational equity.
• Possible question stems: 1. Access and Benefit Sharing has moved from a compliance obligation to a conservation-finance instrument in India. Critically examine with reference to the Biological Diversity Act, 2002 and its 2023 amendment. 2. Assess the extent to which the Biological Diversity (Amendment) Act, 2023 balances ease of doing business with the rights of local communities over biological resources and traditional knowledge. 3. Discuss the role of Biodiversity Management Committees in realising India's commitments under the Nagoya Protocol and KMGBF Target 13.

14. Related Topics to Study Next

• Nagoya Protocol and the Cartagena Protocol: they are the two CBD protocols, and are often confused with each other.
• KMGBF '30x30' (Target 3) and Target 13: India's NBSAP 2024–30 is aligned to them.
• Digital Sequence Information (DSI) and the Cali Fund: the emerging ABS frontier under Target 13.
• PPV&FR Act, 2001, and the ITPGRFA (Plant Treaty): they overlap with ABS for crop genetic resources, and the Plant Treaty has its own multilateral system.
• Traditional Knowledge Digital Library (TKDL): India's defence against biopiracy, linked to the "codified TK" debate.
• Biodiversity Heritage Sites: notified by States under the same Act.
• Red Sanders: an endemic species of the Eastern Ghats and the largest single ABS allocation.
• Forest Rights Act, 2006 and PESA: community rights over resources, alongside BMC rights.

15. Common Errors / Trap Areas

• Section 7 vs foreign entities: Indian (Section 7) entities go to SBBs/UTBCs, not the NBA. The Rs 51 crore at State level is separate from the NBA's Rs 278 crore [1].
• "Realised" vs "disbursed" vs "annual": Rs 278 cr is cumulative realisation, Rs 200 cr is cumulative disbursal, and Rs 12.93 cr / Rs 132.01 cr are figures for a single year. Releases in 2025–26 were higher than receipts because of accumulated funds [1].
• Base year: ABS figures count "since 2008", but the NBA dates from 2003 [1].
• Amendment year: the Bill is from 2021, and the Act came in 2023 after passing both Houses in July–August 2023. Don't confuse the two years [4].
• Target number: benefit sharing is KMGBF Target 13, not Target 3 (30x30) [1][5].
• Tier naming: Union Territories have UTBCs (Councils), not "Boards" [1].