IFPI, the International Federation of the Phonographic Industry, representing the recording industry worldwide, with over 1400 members from 66 countries has expressed its displeasure over inclusion of Section 31 D in the proposed copyright amendment bill.

Section 31 D deals with compulsory licensing and IFPI urges the ministry to delete the clause from the approved bill. Sound Box is in possession with the letter addressed by IFPI to the Ministry.

It reads:

We have grave concerns regarding the proposal for a compulsory license for broadcasters (Section 31D of the proposed amendments to India’s copyright law). This proposal is unprecedented, and conflicts with the exclusive rights granted to creators in India. It could also find India in breach of its international obligations, as it represents an overly broad limitation on exclusive rights.

The reason for this major change in India’s approach to the rights of producers and other creators is unclear. Existing law has worked well for many years and the major shift in India’s approach to the nature of producers’ broadcasting rights is unexplained. The statutory license would diminish the exclusive nature of the broadcasting right, turning it into a mere right to receive royalties. This would not only negatively impact on creators’ ability to negotiate license terms with broadcasters, but also cause significant losses to rightholders in terms of the costs they will need to bear in Board proceedings. India should avoid such a change in its law.

We urge that Section 31D be deleted and that the nature of existing broadcasting rights granted to record producers and other creators is maintained.