What significant event regarding Basmati rice occurred in 1997?

The correct answer is Option (2) → An American company received patent rights on Basmati rice through US Patent and Trademark Office.

Basmati rice, known for its aroma and flavour, has been grown in India for centuries; 27 documented varieties are grown here. In 1997, an American company got patent rights on Basmati rice through the US Patent and Trademark Office. The ‘new’ variety it sold had in fact been derived from Indian farmers’ varieties. The book uses this case to explain biopiracy: the use of bio-resources by companies without proper permission from, or payment to, the people concerned.

NCERT Extract:
Ethical Issues – “… Basmati rice is distinct for its unique aroma and flavour and 27 documented varieties of Basmati are grown in India. There is reference to Basmati in ancient texts, folklore and poetry, as it has been grown for centuries. In 1997, an American company got patent rights on Basmati rice through the US Patent and Trademark Office. This allowed the company to sell a ‘new’ variety of Basmati, in the US and abroad. This ‘new’ variety of Basmati had actually been derived from Indian farmer’s varieties.”