# \[e-drug\] Panos News Release - Access to Essential Drugs

**URL:** <https://talk.edrugplus.org/t/e-drug-panos-news-release-access-to-essential-drugs/15585>\
**Category:** e-drug\
**Created:** [December 1, 2002, 5:56am UTC](https://talk.edrugplus.org/t/e-drug-panos-news-release-access-to-essential-drugs/15585 "2002-12-01T05:56:19Z")\
**Posts on this page:** 1\
**Page:** 1

<div class="post-metadata">

**Author:** ![Caludio\_Schuftan](https://avatars.discourse-cdn.com/v4/letter/c/df788c/32.png) [@Caludio\_Schuftan](https://talk.edrugplus.org/u/Caludio_Schuftan)\
**Post date:** [December 1, 2002, 5:56am UTC](https://talk.edrugplus.org/t/e-drug-panos-news-release-access-to-essential-drugs/15585/1 "2002-12-01T05:56:19Z")

</div>

E-drug: Panos News Release - Access to Essential Drugs  
---------------------------------------------

[cross posted from Afronets with thanks. BS]  
Panos News Release  
----------------------------------------------

ACCESS TO ESSENTIAL DRUGS MAY BE UNDERMINED BY GLOBAL PATENT  
AGREEMENT

December 1 World AIDS Day

A third of the world's population still has no access to essential  
drugs. In the poorest countries of Africa and Asia this figure rises  
to half. With the global agreement on intellectual property rights  
(TRIPS) forcing countries to introduce new patent protection laws  
over the next decade, this situation could worsen, according to a new  
report from the London-based Panos Institute.

Developing countries have until 2005 or 2016 to implement TRIPS-  
compliant legislation on pharmaceuticals. So far many governments  
have drafted or enacted legislation that seems to prioritise patent  
rights over public health. Some countries are being pressurised into  
adopting policies that go further than TRIPS in protecting patents.

Patents give big international pharmaceutical firms monopoly over  
production of new drugs, including, for example, those needed to  
treat HIV/AIDS. There is concern they may push up prices, and the  
TRIPS rules could thus limit poor countries' freedom to buy cheaper  
"generic" versions of patented drugs. For example, in January 2001,  
South African HIV/AIDS treatment activist Zackie Ahmat went to  
Thailand to buy 5,000 pills of the generic version of an anti-fungal  
drug patented by the US pharmaceutical giant Pfizer. He paid $0.21 a  
pill. The price of the patented version in South Africa was $13.

The Panos Report, Patents, Pills and Public Health: can TRIPS  
deliver? \<[http://www.panos.org.uk/briefing/TRIPS\_front.htm&gt](http://www.panos.org.uk/briefing/TRIPS_front.htm&gt); warns  
that patent legislation is not being debated widely enough in most  
developing countries, and the process of introducing it needs to be  
more  
consultative and transparent.

In Uganda, for example, American consultants were brought in to  
review the country's patent laws and make proposals for reform. The  
result was the drafting of laws which, according to local campaigners,  
are skewed in favour of business interests rather than social or  
development needs.

The principle of extending access to essential drugs in poor  
countries is widely supported, but the means of doing this is still  
hotly  
disputed, says the report. According to the World Bank, middle-income  
countries may benefit from increased foreign investment, but if the  
cost of drugs rises as a result of patent systems spreading through-  
out the developing world, there is a real danger of restricting  
access to drugs, such as anti-AIDS drugs, where they are most needed.  
The World Health Organisation suggests that implementing patent  
protection where it did not already exist would result in the average  
price of drugs rising, with projected increases ranging from 12 to  
200 percent.

The pharmaceutical industry argues that patent systems promote  
innovation and investment in research and development. Without  
patents, new ones would not be developed to tackle diseases such as  
tuberculosis and HIV/AIDS. They believe the real barriers to making  
drugs more available are poverty, weak political leadership, lack of  
trained health personnel and poor health infrastructures.

The report examines alternative approaches and gives examples where  
differential pricing (where poorer countries pay considerably less  
for a product than wealthier ones) and compulsory licensing (where a  
patent is overridden in return for a payment of a royalty) have  
potential, although they are not free of problems.

Two countries highlighted in the report, show how differently patent  
protection can impact on the nation's public health:

Brazil is seen as a model for other countries of what can be achieved  
for public health by boosting local production of drugs such as the  
anti-AIDS drug AZT, lowering prices through competition and  
negotiating discounts on patented drugs. Between 1996 and 2001 around  
358,000 AIDS hospitalisations were prevented, saving around $1.1  
billion.

On the other hand, Thailand's capacity to provide essential drugs for  
its people has been severely limited in the last decade due to  
relentless pressure from the US to tighten up its patent laws which,  
they complained, meant the loss of $30 million a year in sales for  
the American pharmaceutical industry because it referred only to  
pharmaceutical processes and not products. The US went as far as  
imposing $165 millions' worth of sanctions on eight Thai products  
exported to the US. The US continued to exert pressure until the  
patent  
laws were changed and made even more restrictive than the  
international TRIPS agreement requires.

"This report should be a wake-up call to developing countries to look  
carefully at how they go about complying with TRIPS legislation and  
make sure that access to essential drugs is kept as an overriding  
right for the entire population - not just a wealthy few" says Martin  
Foreman, author of the Panos report.

The full report can be downloaded from  
[http://www.panos.org.uk/briefing/TRIPS\_front.htm](http://www.panos.org.uk/briefing/TRIPS_front.htm)

For further information contact Martin Foreman \<idiomist@aol.com\>

The Panos Institute is an independent, non-profit organisation  
specialising in communication for development. It works to catalyse  
informed public debate, particularly in developing countries. It has  
12  
offices in Africa, Asia, Europe and the Caribbean.

Extended versions of the country studies in the report will also be  
available to download from the site soon.

posted by Claudio Schuftan \<aviva@netnam.vn\>  
--  
To send a message to E-Drug, write to: e-drug@usa.healthnet.org  
To subscribe or unsubscribe, write to: majordomo@usa.healthnet.org  
in the body of the message type: subscribe e-drug OR unsubscribe e-drug  
To contact a person, send a message to: e-drug-help@usa.healthnet.org  
Information and archives: [http://www.essentialdrugs.org/edrug](http://www.essentialdrugs.org/edrug)
