[Ip-health] Waxman and Kennedy Release GAO Report on US Trade Policy and Public Health

[Sarah Rimmington]

*FOR IMMEDIATE RELEASE FOR MORE INFORMATION, CONTACT:*

October 30, 2007 Karen Lightfoot (Waxman): (202) 225-5051

Melissa Wagoner (Kennedy): (202) 224-2633

* *

*New GAO Report Indicates U.S. Trade Policy *

*Neglects Public Health Issues*

*WASHINGTON, DC* =97 Today Rep. Henry A. Waxman and Sen. Edward M. Kennedy
released a GAO report which finds that U.S. trade policy under the Bush
Administration has paid little to no attention to public health and
access to medicines. This represents a lack of commitment to the Doha
Declaration, which affirms the right of World Trade Organization (WTO)
members to =93promote access to medicines for all.=94

=93Regrettably, the U.S. trade strategy has prioritized patents over
public health,=94 said Rep. Waxman. =93The Democratic leadership in Congres=
s
has pushed the White House to make significant changes in the Peru and
other recent free trade agreements. I support these important first
steps to achieve a more balanced policy. But as today=92s report
demonstrates, we have a long way to go in improving the public health
aspects of U.S. trade policy as a whole.=94

=93The Bush Administration must stop putting the financial interest of the
pharmaceutical industry ahead of the needs of the poor and sick in
developing countries,=94 said Sen. Kennedy.

The GAO report, /=93Intellectual property: U.S. Trade Policy Guidance on
WTO Declaration on Access to Medicines May Need Clarification,=94
/assesses how the office of the U.S. Trade Representative (U.S.T.R.),
along with other agencies, has interpreted and implemented the 2002
Trade Promotion Authority (TPA) Act, which affirmed the United States=92
commitment to the Doha Declaration. The report indicates that until the
current congressional leadership negotiated public health modifications
to pending free trade agreements, U.S.T.R. made virtually no changes in
its trade strategy to advance the goals of the Doha Declaration. It
further finds that the Bush Administration entered into a series of free
trade negotiations with developing countries demanding provisions that
threaten the ability of our trade partners to take necessary public
health measures. These provisions, found in CAFTA and other FTAs already
in effect, could significantly delay the availability of lower-cost
generic medicines. As GAO notes, unaffordable prices are among the
primary challenges in expanding access to medicine globally.

*__*

The 1994 WTO agreement on Trade Related Aspects of Intellectual Property
(TRIPS) set down minimum standards for intellectual property regulation
across multiple sectors. In 2001, the WTO sought to clarify the scope of
TRIPS with regard to public health with the Doha Declaration. Adopted by
141 countries, including the U.S., the Doha Declaration states that
TRIPS =93can and should be interpreted and implemented in a manner
supportive of WTO Members=92 rights to protect public health and, in
particular, to promote access to medicines for all.=94 When Congress
passed the 2002 Trade Promotion Authority (TPA) Act, it included an
amendment offered by Sen. Kennedy directing the Administration to
respect the Doha Declaration as a =93principal negotiating objective=94 in
the area of intellectual property.


The key findings in the new GAO report include:

=B7 *U.S.T.R. has only modified two intellectual property demands in trade
negotiations. *GAO found that* *in negotiating free trade agreements,
the U.S. has demanded that our trading partners adopt more extensive
intellectual property protections than required under TRIPS. Many public
health groups and experts have said that these provisions conflict with
the Doha Declaration=92s affirmation that TRIPS =93can and should=94 be
implemented in the way that best serves public health. Until the recent
improvements urged by Congress, the Administration had made only two
limited changes to conform to the Doha Declaration.

    * *The U.S. has a narrow interpretation of Doha.* GAO found that the
      U.S. has sought to limit the application of TRIPS flexibilities to
      situations involving HIV/AIDS, TB, malaria and other =93epidemics,=94
      rather than permitting countries to assess their own public health
      priorities.

    * *Federal health agencies are not asked to provide input regarding
      the potential public health impacts of FTA negotiating positions.
      *GAO found that U.S. health agencies are not asked to provide
      input to U.S.T.R. regarding the health impact of our trade
      policies. Interviews with U.S.T.R. officials revealed that =93there
      is little evidence that U.S.T.R. consulted with HHS or OGHA [the
      HHS Office of Global Health Affairs] about the potential impact on
      public health of specific pharmaceutical provisions in FTAs=85
      although the HHS OGHA=92s mission includes promoting the health of
      the world=92s population.=94

    * *Formal public health input into trade policy from the public
      health community has been limited. *As GAO describes, U.S.T.R.
      receives counsel on specific sectors and issues from fourteen
      =93trade advisory committees.=94 Most of the committees have no publi=
c
      health representation; the committees on intellectual property and
      chemicals each have just one member appointed to represent public
      health interests, while the intellectual property committee has
      five representatives from the brand pharmaceutical industry, and
      the chemicals committee has ten.

The complete GAO report is available online at www.oversight.house.gov
<http://www.oversight.house.gov/> and www.kennedy.senate.gov
<%20www.kennedy.%20Senate.gov%20>.__

/*/Zahava Goldman/*/

/*/Senior Legislative Aide/*/

/*/Rep. Henry A. Waxman/*/

/*/2204 Rayburn Building/*/

/*/Phone: 202-225-3976 Fax: 202-225-4099 /*/

/*/District Office: 323-651-1040/*/

--
Sarah Rimmington
Attorney
Essential Action, Access to Medicines Project
Washington, DC
Tel: (202) 387-8030
Cell: (202) 422-2687
www.essentialaction.org/access/