Biopiracy refers to:

Use of bio-resources by companies and other organizations without proper authorization from countries and people concerned without compensation amount

The correct answer is Option (3) → Use of bio-resources by companies and other organizations without proper authorization from countries and people concerned without compensation amount.   

Biopiracy is the term used to refer to the use of bio-resources by multinational companies and other organisations without proper authorisation from the countries and people concerned without compensatory payment.

Most of the industrialised nations are rich financially but poor in biodiversity and traditional knowledge. In contrast the developing and the underdeveloped world is rich in biodiversity and traditional knowledge related to bio-resources.

Traditional knowledge related to bio-resources can be exploited to develop modern applications and can also be used to save time, effort and expenditure during their commercialisation. There has been growing realisation of the injustice, inadequate compensation and benefit sharing between developed and developing countries.Therefore, some nations are developing laws to prevent such unauthorised exploitation of their bio-resources and traditional knowledge.

The Indian Parliament has recently cleared the second amendment of the Indian Patents Bill, that takes such issues into consideration, including patent terms emergency provisions and research and development initiative.