[Ip-health] News Release: Big Pharma Close to Hijacking Healthcare Reform with Biogeneric Drug Proposal

[Sarah Rimmington]

For Immediate Release
July 16, 2009

***Statement of Sarah Rimmington, Attorney, Essential Action, Access to Med=
icines Project***
For more information contact Sarah Rimmington at (202)387-8030 or (Cell) (2=
02)422-2687
--


"Big Pharma is today salivating at the prospect of hijacking the
healthcare reform process to enhance its ability to price gouge the
American public.


As the House Energy and Commerce Committee meets to mark up healthcare
legislation, it is expected to consider an amendment from
Representatives Eshoo and Barton to authorize generic competition for
biotech drugs. Currently, there is no regulatory process for approval of
generic versions of this class of pharmaceuticals, known as "biologics."
Biologics make up roughly half of the most important new medicines,
including many or most cancer drugs.


Unfortunately, rather than creating robust price-lowering competition,
the Eshoo/Barton approach would establish extended monopoly protections
-- exceeding the monopolies already conferred by patents -- and a series
of needless bureaucratic hurdles for approval of generics.



President Obama has signalled that in a spirit of "generous compromise"
the pharmaceutical industry should be given seven years of monopoly
protection for clinical test data -- effectively prohibiting generics
from entering the market for seven years after a drug goes on the
market. The Eshoo/Barton proposal would establish a monopoly period of
14.5 years, and possibly longer. The Federal Trade Commission has
concluded that no extra monopoly period is needed to promote innovation
or ensure a fair return to brand-name biotech or drug companies.



President Obama's healthcare reform effort has two goals: to expand
coverage for the uninsured, and to control healthcare costs. The
Eshoo/Barton proposal would torpedo the objective of healthcare cost
containment. The bottom line is simply this: If the Eshoo/Barton
approach is adopted, consumers and the government will pay many tens of
billions of dollars more in drug costs than needed. Such a windfall for
a Big Pharma is something that neither consumers nor the government can
afford."



Essential Action is a public health and corporate accountability group.  Ou=
r Access to Medicines Project has worked on U.S. and global access to medic=
ines issues for more than a decade.  The project focuses on patent and rela=
ted barriers to generic competition.  Essential Action's Access to Medicine=
s Project is funded by the Open Society Institute.




--
Sarah Rimmington
Attorney
Essential Action, Access to Medicines Project
Washington, DC
Tel: +1 (202) 387-8030
Cell: +1 (202) 422-2687
www.essentialaction.org/access/