[e-drug] Financial Times on patent abuse

[E-drug <e-drug@usa.healthnet.org>]

E-drug: Financial Times on patent abuse
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[Interesting that it is the Financial Times who is talking here. Copied
as fair use. HH]

LEADER: Patent abuse
Financial Times; Oct 22, 2001

Western governments are guilty of double standards. Having
defended the inviolability of pharmaceutical patents in the
developing world, they are ready to override them at home as alarm
about bioterrorism spreads.

Health authorities across the world are stocking up on anti-anthrax
drugs. The US government is talking to pharmaceutical company
Bayer about relaxing its patent on Cipro, the only treatment for all
strains of anthrax. Last week, the Canadian government placed a
large order for the generic version of Cipro, defying Bayer's patent.

The pressure on Bayer contrasts with the support given to
pharmaceutical companies to defend their Aids drugs patents in
developing countries. Yet the case for defending Bayer's rights in
the rich west is stronger.

The risk of a large anthrax attack is small. The disease is not
contagious. Of course, governments must take the necessary steps
to protect their populations. Building up supplies of medicine is
therefore prudent. But whether 11 confirmed cases of infection and
one death count as an extreme public health emergency, under
which patent rights may be suspended, is a moot point. The scare
certainly looks trivial alongside the public health disaster facing
Africa, where 25m people face the prospect of dying of Aids unless
they are treated.

Neither is there a practical case for breaking the Cipro patent. Bayer
has already pledged to triple US production, making 200m tablets
over the next three months, and to step up supply from its plants in
other countries. It is also prepared to license production by other
companies. Demand for the drug is rising fast but Bayer should be
able to meet it.

Although cost is hardly the issue, Canada could agree cheaper bulk
purchases with the company. If Canada or the US insist that
generic production is the only way of fulfilling their needs, they
should pay appropriate compensation to Bayer.

The pharmaceutical industry has not always acted with the noblest
intentions. Some companies use underhand tactics to monopolise
markets after their patents have expired; others have not done
enough to make their products affordable in poorer countries.

That said, companies must have their patents protected to ensure
that money is available to fund research into new treatments. The
industry should work with poor countries to reduce prices, with
help from the west. But in the developed world the industry's right
to a proper return must be respected if research is to continue.


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