"India remains on the Priority Watch List in 2014. In making this determination, the U S recognises not only the concerns..., but also the critical role that meaningful, constructive, and effective engagement between India and the U S should play in resolving these concerns," US Trade Representative said in the 2014 Special 301 report.
In the coming months, America will redouble its efforts to seek opportunities for meaningful, sustained, and effective engagement on IP-related matters with the "new government", including at senior levels, the report said.
Under the US Trade Act, a Priority Foreign Country is the worst classification given to those that deny adequate and effective protection of IPR or fair and equitable market access to US entities relying on IPR protection.
India remaining on Priority Watch List in 2014 would mean it is not properly protecting the US copyrights and patents but the US would continue to engage with India to improve IPR regime.
"In many areas, however, IP protection and enforcement challenges are growing, and there are serious questions regarding the future of the innovation climate in India across multiple sectors and disciplines," the report said.