Thailand the latest drug patent buster

Jan 29 2007

Thailand's military government has used World Trade Organization (WTO) rules regarding intellectual property, to allow the sale of generic versions of two important drugs used to treat HIV/AIDS and heart disease.

The move will effectively break patenting restrictions and allow for either the production or purchase of generic versions of the drugs for use in Thailand.

The WTO's agreement allows governments to issue compulsory licenses in the event of a national public health emergency and the action by the Thai authorities has been commended by aid agencies and activists in the country who say the lives of thousands of people will be greatly improved; they also believe it will present an example to other countries battling with similar problems.

Medecins Sans Frontieres has applauded the Thai move and say the country has used a legal method to ensure access to essential drugs for Thai people.

Thailand's Public Health Ministry says the decision is justified under international trade rules because the high cost of the drugs had exacerbated the health crisis in the country.

Other countries, most notably Brazil and India, have already taken advantage of such rulings by the WTO to issue compulsory licenses in case of a national public health emergency to acquire affordable HIV medicines.

In Thailand's case the two drugs involved are the HIV drug Kaletra (Abbott Laboratories) and the blood thinner Plavix (Bristol-Myers Squibb's) used to treat heart disease.

Generic production of the drugs would considerably reduce the costs, in the case of Plavix down from over $ 2.00 a pill to less than 20 cents.

Bristol-Myers Squibb's has yet to comment but Abbott has said it regards the Thai government's actions as illegal and not in the best interest of patients.

The Thai Health ministry is apparently willing to negotiate with the drug companies about importing their drugs at more affordable prices.

The Pharmaceutical Research & Manufacturers Association have criticised the decision and say it could force companies to relinquish their patents and could also have an impact on foreign investors.

More than 500,000 people in Thailand are living with HIV according to UNAIDS, the U.N. agency that coordinates the global fight against the deadly virus and the $112 million currently allocated to the treatment of HIV patients means as few as 108,000 patients would be able to access the drugs at the companies' price.

Health officials also say of the 200,000 patients in Thailand who suffer from heart conditions and have blood clotting problems' only 20 percent of them currently have access to the medicine because of the costs involved.

The Department of Communicable Disease Control says that the drugs would initially be imported from India and would then be produced by Thailand's state-owned drug maker and then be made available only for public health services and not sold in drugstores for profit.

Plavix is Bristol-Myers Squibb's biggest-selling medicine, which had annual sales of $6 billion before a generic Canadian-manufactured version hit the market last year.