PHA-Exchange> WTO Rule To Sell Generics

[Claudio]

From: "Vern Weitzel" <vern at coombs.anu.edu.au>
> Thailand Invokes WTO Rule To Sell Generics For HIV And Heart Disease Drugs
> Article Date: 30 Jan 2007 - 0:00 PST
>
> Thailand has invoked a World Trade Organization (WTO) agreement on 
> intellectual property rights to allow the manufacture, purchase and sale 
> of generic versions of two drugs for heart disease and HIV/AIDS in the 
> country.
>
> The WTO agreement, which was negotiated as the Doha Declaration in 2001, 
> allows governments to circumvent patent licences in the event of national 
> health emergencies and to issue generic licences for the manufacture and 
> sale of cheaper versions of essential drugs.
>
> The two drugs in question are Plavix and Kaletra. Plavix (chemical name 
> clopidogrel) is made by the US pharmaceutical company Bristol-Myers Squibb 
> and the French pharmaceutical company Sanofi-Aventis, while Kaletra 
> (chemical name lopinavir) is made by the US company Abbott Laboratories.
>
> Plavix (clopidogrel) is an oral antiplatelet drug used to treat a range of 
> heart and cardiovascular diseases. In 2006, Apotex, a Canadian generic 
> drug manufacturer started selling clopidogrel but was stopped last month 
> when a Canadian court rejected its right to do so. In 2005, Plavix was the 
> world's second biggest selling pharmaceutical product with annual sales 
> approaching 6 billion US dollars.
>
> Kaletra (lopinavir) is a protease inhibitor antiretroviral drug and is 
> given in combination with ritonavir as a multi-drug capsule to treat 
> HIV/AIDS. Kaletra (lopinavir) was developed to enhance the HIV resistance 
> of ritonavir, and when given alone it does not have enough 
> bioavailability. The patent for the drug lapses in the US in 2016.
>
> Other countries such as Brazil and India have already used the WTO 
> national emergency exception rule to circumvent patent licences to make 
> HIV drugs more accessible.
>
> Thailand's Public Health Minister, Mongkol na Songkhla, said the decision 
> is justified because the high cost of the patented versions of the drugs 
> has made the health crisis worse in his country.
>
> Human rights agencies and aid organizations such as Medecins Sans 
> Frontieres are said to have applauded Thailand's actions.
>
> This is the second move by Thailand to issue compulsory generic licences 
> for patented drugs under the WTO regulation. Last November it issued 
> generic licences for the anti-AIDS drug efavirenz.
>
> The Thai government will first import some of the generic drugs from India 
> while it sets up its own production. They estimate that by using generics 
> treatment costs will reduce by up to 90 per cent, making it possible to 
> treat the 500,000 people with HIV/AIDS and 200,000 people with heart 
> disease in the country.
>
> The pharmaceutical companies are said to be displeased with the move as 
> they were not expecting it and are "concerned about continuing to invest 
> in a country where the government cannot provide a basic guarantee for the 
> safety of their assets," according to the Pharmaceutical Research and 
> Manufacturers' Association.
>
> The Thai Health Ministry said it would be willing to discuss imports at 
> cheaper prices with the pharmaceutical companies, but felt this was the 
> only way they would be able to deal with their public health crisis.