SIP-EIT Scheme

The Support for International Patent Protection in Electronics & IT (SIP-EIT) scheme is a flagship initiative launched by the Department of Electronics & Information Technology (DeitY) and now known as Ministry of Electronics & Information Technology (MeitY), Ministry of Communications and Information Technology, Government of India. It aims to boost innovation in Micro, Small, and Medium Enterprises (MSMEs) and technology startups by providing financial assistance for international patent filings.

This scheme, targeted the growing Information and Communication Technology & Electronics (ICTE) sector in India. It helped Indian innovators safeguard their inventions on a global platform by offsetting the high costs of patent protection overseas. The SIP-EIT scheme launch date marks an important milestone in India's commitment to encouraging intellectual property rights among emerging technology businesses, especially MSMEs and startups.

Primary Purpose of the SIP-EIT Scheme

The primary purpose of the SIP-EIT scheme is to facilitate MSMEs and technology startup units in India to file patents internationally by providing financial support. This scheme recognizes the strategic importance of global intellectual property (IP) protection and innovation.

By reducing the financial burden on these enterprises, the scheme encourages innovation, fosters competitive advantage, and helps Indian businesses capture growth opportunities in the global Electronics and IT sectors. It also promotes the creation of high-value patents that can lead to technology commercialization and enhance India's position in the global IP landscape.

The SIP-EIT scheme in India supports various routes for international patent filings, offering flexibility based on the applicant's preference and strategic considerations. The supported types include:

• PCT Route (Patent Cooperation Treaty): Allows filing an international application that can later enter national phases in multiple countries.
• Paris Convention Route: Enables filing patent applications in foreign countries within 12 months of the Indian filing.
• Direct Filing in Foreign Countries: Applicants can also choose to file directly in a foreign country after fulfilling the requirements under Section 39 of the Indian Patent Act.

The Sip EIT scheme benefits include:

• Financial Assistance: Covers up to Rs 15 Lakhs or 50% of international patent filing costs.
• Encouragement for Innovation: Supports MSMEs and startups in protecting their inventions globally.
• Expert Evaluation: Requires prior art search and patent attorney involvement, ensuring quality patent applications.
• Flexibility: Reimbursement available for patent applications filed through PCT, Paris Convention, or direct foreign filings.
• Multiple Installments: Reimbursement is disbursed in stages based on the progress of the patent filing process.
• Recognition: Helps enterprises build a global IP portfolio, increasing business value and credibility.

Financial Support and Reimbursement under SIP-EIT Scheme

The financial support under the SIP-EIT scheme is in the form of reimbursement. It is provided for expenses incurred only after the complete application acceptance by DeitY and approval by the competent authority. The maximum support is Rs 15 Lakhs per invention or 50% of the total patent filing and processing expenses, whichever is less.

The reimbursement schedule varies depending on the patent filing route:

1. Direct Foreign Filing: 25% reimbursement on filing expenses and 75% post-grant.
2. Paris Convention Filing: 25% reimbursement on filing expenses abroad (within 12 months of Indian filing) and 75% post-grant.
3. PCT Route:

• 25% reimbursement on PCT filing upon positive ISR report.
• 25% reimbursement on examination expenses if report is positive.
• 25% reimbursement on national phase filing.
• 75% reimbursement on expenses incurred after national phase filing till patent grant.

The SIP-EIT scheme eligibility criteria focus on MSMEs and technology startups as per Indian government definitions. The main eligibility points are:

• The Applicant should be registered under the MSME Development Act 2006 of Government of India as amended from time to time as a MSME unit as per the criteria for such registration(the applicant would be required to furnish the proof of such registration).
• The applicant should be a registered company under the Companies Act of Government of India and should fulfill the investment limits in plant and machinery or equipment as defined in the MSME Development Act 2006 of Government of India as amended from time to time(this criteria will be ascertained from the proof of such registration and last audited balance sheet of the applicant).
• The applicant should be a registered STP Unit and should fulfill the investment limits in plant and machinery or equipment as defined in the MSME Development Act 2006 of Government of India as amended from time to time(this criteria will be ascertained from the proof of such registration and last audited balance sheet of the applicant).
• The applicant should be a technology incubation enterprise or a startup located in an incubation centre/ park and registered as a company (a certification from the incubation centre/ park in this case is mandatory) and should fulfill the investment limits in plant and machinery or equipment as defined in the MSME Development Act 2006 of Government of India as amended from time to time(this criteria will be ascertained from the proof of such registration and last audited balance sheet of the applicant).

The acceptance of applications under the SIP-EIT scheme depends on strict criteria:

• Patent application must already be filed in India or have a waiver under Section 39 of the Indian Patent Act.
• The invention should fall within Electronics or ICT technology sectors.
• Submission of a prior art search report by reputed agencies such as ISA, experienced IPR attorney firms, or government patent centers.
• The patent must be processed through an Indian patent attorney firm with at least 5 years’ experience in international patent filings.
• Applications can be made at any stage of international patent filing but reimbursement only covers expenses after DeitY's acceptance date.
• Reimbursement capped at Rs 15 Lakhs or 50% of the expenses incurred.
• Ownership must be with the company or assigned to it post-approval; the individual inventor must be an employee or board member when filing.
• Maximum 5 applications per financial year and 25 during the entire scheme period per applicant.
• Applicants must justify the choice of filing route and foreign country.
• Only one application per invention across all foreign filings is eligible for reimbursement.

The reimbursement under the Sip eit scheme in India follows these steps:

• Submit a complete application online with all required documents.
• DeitY conducts initial scrutiny to verify eligibility and completeness.
• An expert group reviews application, where the applicant presents the invention.
• Approved applications move to DeitY’s competent authority for final sanction.
• Post-approval, reimbursement claims can be submitted with original bills and proof of payment.
• Reimbursement is disbursed in installments according to the patent filing route and progress.
• Applicants must maintain transparent and documented expenditure details for audit purposes.
• Only expenses incurred after acceptance of the application by DeitY are reimbursable.
• The total reimbursed amount cannot exceed Rs 15 Lakhs or 50% of total expenses.
• Follow-up submissions must comply with scheme guidelines until patent grant.

How to Apply Online for SIP-EIT Scheme in India

To apply for financial support under the Sip eit scheme launch date, interested MSMEs and startups must:

• Visit the official DeitY website at http://www.deity.gov.in.
• Navigate to the SIP-EIT scheme portal or relevant IP support section.
• Register and fill out the online application form with all required details.
• Upload scanned copies of all mandatory documents as listed.
• Submit the application for review.
• Track the application status online.
• Respond promptly to any queries raised during the evaluation.
• Upon approval, proceed with the patent filing and subsequent reimbursement claims as per scheme rules.

Applicants must provide the following documents to apply under the Sip eit scheme:

• Application Form (giving requisite information about the applicant and the invention
• Proof of registration under MSME act 2006 or the proof of registration under companies act and last audited balance sheet of the applicant or a certification from the incubation centre/ park/STPI along with last audited balance sheet of the applicant
• Reimbursement Details (As per the format in the application form)
• Patentability Search Report 
• Product brochure (if any)
• Copy of official filing with Indian Patent Office of waiver under Section 39
• Latest Annual Report of the Company
• Declaration (as given in the application form) 

Corpseed is one of the top consulting firms, offering comprehensive assistance on government schemes and benefits, guiding businesses through necessary processes. Under the SIP-EIT scheme, we assist startups and MSMEs in securing financial support for international patent filing by handling the entire process with care and expertise.

Corpseed Can Help You In:

• Eligibility Assessment: We review your business profile to confirm it meets the SIP-EIT scheme requirements before proceeding with the application.
• Documentation Support: Our experts assist in gathering, organizing, and preparing all necessary documents such as patent filings, invoices, and legal undertakings.
• Application Filing: We accurately prepare and submit your SIP-EIT application on time, ensuring full compliance with MeitY guidelines.
• Government Liaison: We coordinate with government agencies, track your application status, and handle any queries during the evaluation.