PHA-Exchange> Generics,prices and access to AIDS medicines

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From: mksmith at Oxfam.org.uk


10 July, 2002

Generic competition leads to dramatic drop in price of AIDS medicines

Research published today by Oxfam clearly shows that the availability
of
cheap generic medicines in developing countries plays a significant
role in
cutting  the price of patented antiretrovirals (ARVs) and in increasing
the
number of patients who have access to the lifesaving medicines.
The research tracks the price of brand name drugs in Uganda from May
2000
to April 2002 . Despite the fact the big five pharmaceutical companies
had
agreed under the Accelerated Access Initiative to reduce the prices of
ARVs, it was the introduction of generic equivalents from India in
October
2000 that led to an dramatic fall in the price of the brand name
medicines
in the country.
"We had been promised price cuts since May 2000 and didn?t see them
until
we started to import generics in October", says Dr Cissy Kityo, Deputy
Director of the Joint Clinical Research Council in Uganda.
Prices fell by as much as 78% within a couple of months and up to 97%
over
the two years. The largest decreases were for Stavudine/ D4T. A 40mg
monthly dose fell from $173 in May 2000 to $23 in February 2001 and
then
eventually to $6 in April 2002.
At the same time, the numbers of patients taking ARVs at one treatment
centre alone increased by 200 per cent within a year.
 "28 million people in the developing world are HIV positive and 6
million
need treatment with ARVs now.  This research shows that with generic
medicines,  more people can afford  the life-line that antiretrovirals
already provide to AIDS sufferers in richer countries. Any plans to
combat
AIDS in some of the world?s poorest countries must include the use of
generics and we must ensure that countries are allowed to continue to
import them", says Dr Mohga Kamal Smith of Oxfam.
Under WTO rules, Uganda will no longer be able to import generic
versions
of newly patented medicines after 2005 because countries that
manufacture
generics such as India will no longer be allowed to export them. Rich
country trade ministers committed themselves at Doha in November last
year
to find a solution to this problem by the end of 2002 but they are
backsliding on this pledge by putting forward temporary, impracticable
and
highly restrictive solutions.
Ends

For media enquires and copies of the report in Barcelona contact Adela
Farré, +34 626 992 057, or Dr. Mohga Kamal Smith, + 44 77762 55884. In
UK,
contact Tricia O?Rourke on 01908 233 273 or 07989 965 359.

Oxfam Briefing Paper No. 26: Generic competition, price and access to
medicines ? The case of antiretrovirals in Uganda available on :
http://www.oxfaminternational.org