CGEN takes another step in the regulation of benefit-sharing derived from genetic resources

June 28, 2023

The Genetic Heritage Management Council (CGEN) has established guidelines for the allocation of investments intended for the National Fund for Benefit-Sharing (FNRB) and created chambers to foster and conduct discussions on access and benefit-sharing legislation related to the use of genetic resources.

On June 27, 2023, Rule #34/2023 of the Genetic Heritage Management Council (CGEN) was published in the Federal Register, which establishes guidelines for the application of investments intended for the National Fund for Benefit-Sharing (FNRB) related to genetic resources.

The Rule defines “application of investments” as the limits on the use of FNRB's available resources in relation to benefit-sharing. It also defines “technical reserve” as the minimum liquidity reserve of the FNRB's available resources, intended to fulfill the Fund's legal obligations.

The Rule further establishes that the technical reserve must cover (i) the travel and accommodation expenses for the seven representatives of indigenous peoples, traditional communities, and traditional farmers, who are expected to be part of the FNRB’s Management Committee, as well as (ii) the remuneration and expenses of the financial institution responsible for administering the fund.

Furthermore, it was established that FNRB investments must be applied in the National Program for Benefit-Sharing (PNRB). The purpose of this allocation is to support actions and activities that foster the creation, conservation, and restoration of biological diversity through agreements, partnership, collaboration, or other instruments of cooperation and transfer of resources provided for in the law.

In this same publication of the Federal Register, Rules #35, #36, and #37 of CGEN were also made available, respectively creating the “Sectorial Chamber of the Biodiversity Guardians”, the “Sectorial Chamber of Academia”, and the “Sectorial Chamber of Enterprises”. The objective of the Chambers is to conduct technical discussions and present proposals of interest to the sectors regarding access and benefit-sharing legislation.

The guidelines will be effective as of July 3, 2023, the first working day of the month following their publication in the Federal Register.

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