Equitable Benefit Sharing Arrangements for the Commercialisation of Traditional Knowledge - Presentation

Slide 1: Research Projects

• Traditional medicines employed by Ngai Tūhoe (Patent law)
• Commercialisation of traditional foods with TROTAK (Patent law)
• Commercialisation of native ornamentals with Ngarauru (PVR)
• Commercialisation traditional kumara lines (Closed loop- trade secret)
• Use of native flavours
• Assess to flora unique to Northland

Slide 2: By Contractual Agreement

• Contractual agreement a process are where parties, through negotiation, agree upon terms that are deemed equitable to all involved. Criteria are dependant upon
• Pre-existing intellectual property (science expertise vs. Traditional Knowledge)
• Capital investment (government/private)
• Resource investment (High Technology based equipment vs. natural resource)
• Terms derived from negotiation process primarily relate to
  • Ownership of pre-existing intellectual property
  • Ownership/management (control) of newly created intellectual property
  • Allocation of revenue derived from the commercialisation process (royalties)

Slide 3: Prior Informed Agreement

We consider prior informed agreement to be:

• agreement to proceed from an iwi or Māori - representative body in areas where Māori have a particular interest and/or a particular concern - and this is achieved through the principles of negotiation as embodied within Te Pūtahi

Slide 4: Integrity

We understand integrity to be client-specific in nature and to be a fundamental principle that underpins the way the parties operate. Negotiation that preserves integrity has the following characteristics:

• due regard is given to the respective parties' responsibilities, obligations, values, strengths and weaknesses.
• both parties act in a transparent, honest and professional manner
• both parties communicate in a consultative, creative and responsive manner
• both parties seek to actively pursue a mutually beneficial outcome that creates a path forward

Slide 5: Meaningful Consultation [1]

• That discussions have occurred at an Iwi level
• That CFR receive letter of support from Iwi prior to start of project
• That there be full disclosure in writing of the "content" of discussions- Envisaged ownership of know-how, intellectual property derived from the project

Slide 6: Meaningful Consultation [2]

• Mechanisms that enable Māori to participate in the development of this opportunity (in particular in added value aspects of the production chain) if the outcome(s) are achieved.
  • Note that CFR is seeking high level statements of intent. E.g. That the Māori entity be given the opportunity to jointly develop the opportunity via a given commercial model. CFR expects that conditions (including exit clauses/strategies) also be described.
  • Mechanisms by which project findings will be disclosed to Māori entity (e.g. Meetings to be held, forwarding research report directly to Māori entity)
• That the Iwi be given the opportunity to gain independent appraisal of the project (that there be sufficient time given to consider the proposal)
• That CFR be given the opportunity to liaise directly with the Māori entity.

Slide 7: Business Strategy

The overall aim of the CFR business strategy is to support the economic development of Māori by

• Identifying opportunities that are consistent with Māori business trends. These trends include the desire to secure position and to close the production loop.
• Undertaking due diligence to ensure opportunities are economically viable i.e. CFR will have a reputation of promoting/supporting well researched (business and science) ventures.
• Supporting Māori business through the transition stage, i.e. CFR will have a reputation of following through with services.
• Integrated approach into other service providers that support the economic development of Māori; i.e. CFR will have a reputation of facilitating engagement with other providers.
• CFR providing a vehicle into the high value sectors of the economy. CFR is committed to identifying a point of entry for Māori and assisting Māori to establish a position.

Slide 8: Negotiation

Negotiation is always just the beginning of a longer process of learning, adjustments and building relationships. No agreement is perfect. Unexpected situations arise, and there are disputes over the original meaning of the words used. Adjustments are always necessary, and the most important product of a successful negotiation is a level of trust and commitment on both sides, which facilitates these later adjustments as well as agreements on other topics

(Barsh and Bastien, 1997)

Slide 9: Crop and Food Research Vision

• A negotiation process that joins the strengths and values of both partners is needed to create a turbulent-free zone of mixing that will provide an environment amenable to both parties.

Slide 10: Our Approach

• We want to develop a reputation among Māori as the organisation to come to for help in our core areas. We believe that we need to act with integrity across all our R&D sectors to achieve this. To achieve this we will:
  • demonstrate best practice in addressing core underlying issues (prior informed agreement, integrity)
  • engage Māori representative groups at a meaningful level
  • be proactive in science/dialogue areas attractive to Māori

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