The drugmaker won’t get a lift from Bern. The Swiss government apparently has decided not to pursue the allegation that India’s patent law isn’t compatible with the Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement to the World Trade Organization’s dispute settlement board, according to The Business Standard.

“The Swiss government never gets involved in any judicial pronouncements of other countries. We accept any case which is settled in India. It is a normal litigation in which one party happens to be a company while other is a country,” Doris Leuthard, Federal Councilor, Department of Economic Affairs of the Swiss Confederation tells the paper.

“We must have a reliable TRIPS system, and the one in India is good enough,” says Leuthard, who was in New Delhi to sign an Memorandum of Understanding on cooperation in international property rights with India.

Her comments came after the Madras High Court yesterday rejected a Novartis petition questioning the validity of the Indian Patents Act, which restricts patenting of minor improvements of known molecules. The drugmaker was championing its Gleevec cancer med, but the court advised Novartis to approach the dispute settlement forum of WTO on TRIPS compliance for which the Swiss company would have to approach its government.

However, Leuthard also says the impact of the verdict on prospective Swiss investors in India remains to be seen. “I do not know how Swiss companies will react to it. May be, they will have a closer look at the verdict. Some of them may find that investing in India may not be attractive,” she says.

According to Commerce Minister Kamal Nath, the Indian Patents Law is compatible with TRIPS and there have been no complaints against it in the international forum. “It has been two years since the Indian Patents Act has been passed, and no country has filed any complaint in the WTO. This Act is compliant with TRIPS,” says Nath, who was at the meeting in New Delhi.

The memorandum between India and Switzerland is expected to lead to the formation of a committee, which will facilitate exchange of experience by both the countries on creating awareness as well as protection of traditional knowledge.