(1) The Central Government shall constitute a Fund to be called the National Gene Fund and there shall be credited thereto--
         (a) the benefit sharing received in the prescribed manner from the breeder of a variety or an essentially derived variety registered under this Act, or propagating material of such variety or essentially derived variety, as the case may be;
         (b) the annual fee payable to the Authority by way of royalty under sub-section (1) of section 35;
         (c) the compensation deposited in the Gene Fund under sub-section (4) of section 41;
         (d) the contribution from any national and international organisation and other sources.
     (2) The Gene Fund shall, in the prescribed manner, be applied for meeting--
         (a) any amount to be paid by way of benefit sharing under sub-section (5) of section 26;
         (b) the compensation payable under sub-section (3) of section 41;
         (c) the expenditure for supporting the conservation and sustainable use of genetic resources including in-situ and ex-situ collections and for strengthening the capability of the Panchayat in carrying out such conservation and sustainable use;
         (d) the expenditure of the schemes relating to benefit sharing framed under section 46.