Friday, October 19, 2001

Remora
Our eyes have turned to the NYT Story in the biz section today
Canada Overrides Patent for Cipro to Treat Anthrax
by Amy Harmon and Robert Fear.
Lede graf:
"Canada, taking an unusual step that the United States has resisted, said yesterday that it had overridden Bayer's patent for Cipro, an antibiotic to treat anthrax, and ordered a million tablets of a generic version from a Canadian company."

This rings a bell. In August, Brazil decided to put the screws to Roche, the Swiss drug manufacturer. It declared a national emergency to break the patent on nelfinavir, an AIDS drug. The US reaction to Brazil's patent policies in general has been aggressive, as in this WP story:

"Last February, the United States filed a claim against Brazil with the World Trade Organization over Brazil's intention to produce generic versions of patented AIDS drugs. The United States later withdrew its complaint under heavy international criticism.

But Washington's complaint had mainly centered on a more controversial Brazilian law that allowed Brazil to to produce generic drugs -- including those not related to AIDS -- if companies did not begin producing the drugs in Brazil within three years of patent. Though that law remains on Brazil's books, the action announced today is being taken under different legislation that permits domestic production of internationally patented drugs during national emergencies."

The Financial Times, in Patent Nonsense, an editorial published at the time of the Brazil contratemps, spills the beans on what is at stake:

"In richer countries it is broadly accepted that the high cost of drugs includes the price of progress. But a general erosion of patent rights could jeopardise that consensus. "

Yes, what is at stake is monopoly power and the concept of "fair return," which has been turned into a cash cow by pharmaceutical companies, software companies, and any company that wants to fork over a satisfactory level of campaign contribution in order to get its patents "extended." Canada's action is probably not going to have the immediate repercussion of putting the patent monopoly system into question, but it is going to add to pressure in this country, surely.

One sign of that pressure. There's a public letter from Nader to Tommy Thompson that should take all the hair off Thompson's body, if he were pervious to shame. Of course, he isn't. Thompson claimed that he had no authority to have a generic version of Cipro made in the US. Nader reminds him that, in fact, he does have that authority. Here's a nice bite sized graf:

"In the absence of adequate government stockpiles, families who cannot afford the hundreds of dollars per month per family member for ciprofloxacin risk not having access to this product, should the need arise. This is an unethical and unnecessary form of rationing. Some government officials and those who can afford the high prices have secure supplies of ciprofloxacin. It is your duty to see that all taxpayers and especially those who are less affluent are protected, and are protected as soon as is possible, not as soon as it is possible for one firm, Bayer, to supply the market. And it would make sense to have redundant sources of supply, for all of the obvious reasons. "





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