[Ip-health] Broken promise by President Obama on parallel trade in pharmaceuticals

[Malini Aisola]

http://www.keionline.org/blogs/2009/07/24/broken-promises-parallel-trade/

Broken promise by President Obama on parallel trade in pharmaceuticals
By kei-staff, on July 24th, 2009

As candidates, almost all democrats have promised voters, in several
elections, they will support parallel trade in pharmaceuticals from
Canada and other high income countries. As elected officials, nothing
happens. President Obama already has authority to permit imports of
medicines, if he wanted to exercise it. But not only is the White House
not fullfillinbg the promise to allow imports, it has promised the CEO
of PhRMA and several big companies that they won=E2=80=99t allow parallel t=
rade
in the health reform bill.

Campaign Promise:

    =E2=80=9CAllow Americans to buy their medicines from other developed
countries if the drugs are safe and prices are lower outside the U.S.=E2=80=
=9D

Action as elected official:

Source: White House Assures Drug Makers on Reimportation, Alicia Mundy,
July 7, 2009, Wall Street Journal

    As a presidential candidate, President Barack Obama endorsed
re-importation, an idea the industry opposes. White House officials have
told the industry if the larger health care bill passes, the cost
savings will be so great that reimportation will be unnecessary,
according to Billy Tauzin, president of the Pharmaceutical Research and
Manufacturers of America.
    Mr. Tauzin said major pharmaceutical chief executives attended the
Tuesday meeting including Merck & Co.=E2=80=99s Richard Clark, Pfizer Inc.=
=E2=80=99s
Jeffrey Kindler, Amgen Inc.=E2=80=99s Kevin Sharer, Abbott Laboratories=E2=
=80=99 Miles
White and AstraZeneca PLC=E2=80=99s David Brennan. It wasn=E2=80=99t clear =
who attended
from the White House side. A White House official confirmed the meeting
took place but didn=E2=80=99t have immediate comment on what was discussed.
    Sen. Bernie Sanders, an independent from Vermont, said he disagrees
with any move to drop the reimportation idea. He has pushed to import
drugs from Canada, where they are cheaper because of price controls. =E2=80=
=9CI
will fight for this,=E2=80=9D said Sen. Sanders, adding that he intends to =
raise
the matter with White House Chief of Staff Rahm Emanuel =E2=80=9Cfirst thin=
g in
the morning.=E2=80=9D

Source: More Cost Cuts Sought From Drug Industry, New York Times, Duff
Wilson, July 22, 2009

    On July 7, Rahm Emanuel, Mr. Obama=E2=80=99s chief of staff, and Mr. Ba=
ucus
assured at least five pharmaceutical companies during a White House
meeting that there would be no provision in the final health care
package to allow the reimportation of cheaper drugs from Canada or
elsewhere, according to Mr. Tauzin.
    The industry=E2=80=99s message, Mr. Tauzin said, was, =E2=80=9CDon=E2=
=80=99t put us in a big
negative fight over this issue while we=E2=80=99re trying to help you pass
something that would be good for the American public.=E2=80=9D
    The meeting included chief executives from Pfizer, Merck, Amgen,
AstraZeneca and Abbott Laboratories.
    =E2=80=9CThis time our industry has a seat at the table and our voice i=
s
being heard,=E2=80=9D Richard T. Clark, Merck=E2=80=99s chief, said in a co=
nference call
Tuesday with stock analysts.


Final comment: Candidates who promise to allow parallel trade in
medicines, to get votes and to compete with other candidates to make the
same promise , and then who don=E2=80=99t actually make it happen, are not =
as
trustworthy as politicians who do what they say they will do.




--
Malini Aisola
Knowledge Ecology International
1621 Connecticut Avenue NW, Suite 500, Washington DC 20009
malini.aisola@keionline.org|Tel: +1.202.332.2670|Fax: +1.202.332.2673