[Ip-health] EU trade commissioner-designate grilled over policy on generics

[Alexandra HEUMBER]

EU trade commissioner-designate grilled over policy on generics
by Peter O'Donnell

BRUSSELS, Jan 13 (APM) - The next European Commissioner for Trade, Karel De
Gucht, has come under pressure to ease EU restrictions on trade in generic
medicines even before he takes office.

Questions over his attitude to generics came up early when he underwent a
three-hour hearing in the European Parliament on Wednesday.

De Gucht, a former Belgian foreign minister and currently European
commissioner for development assistance, is due to take over the trade
portfolio in the new Commission at the start of February.

As with all other commissioners-designate, he was obliged to answer
questions from members of the parliament about his suitability for the job,
as part of the approval process for his appointment.

UK socialist David Martin asked De Gucht to put an end to EU trade policies
that impede the delivery of cheap medicines to developing countries.

"We spend millions tackling aids and other diseases in the developing
world, but trade policy sometimes denies medicines to people," said Martin,
citing EU insistence on invoking international agreements on intellectual
property rights to limit the supply of copy products.

"Will you stop that?", Martin demanded. He also sought assurances that De
Gucht would prevent the EU from seeking to impose acceptance of tough
patent conditions - "against the will of this parliament" - in current
negotiations for a free trade agreement with India.

If India is constrained in exporting generic medicines, Martin added, "it
harms Africa and other developing countries hoping to import cheap
medicines".

BALANCE OF INTERESTS

De Gucht's replies were carefully balanced. While he described himself as
"a strong believer that every human being has a fundamental right to
medicines", he recognised that the question was "not easy", because it
involved intellectual property rights.

He promised to monitor "very closely" the continuing negotiations with
India, to make sure the terms of any trade agreement reached "do not impede
free trade in generic medicines - I will take care of that".

But he also indicated that "for specific products there can be specific
problems" and this can result in the need for enforcement of intellectual
property rights.

"I am not going to rule it out in advance. I believe it is possible to have
specific provisions for specific products, which can be compensated for by
parallel imports."

He also promised to look again at EU regulations which have occasionally
been invoked by brand name pharmaceutical manufacturers to disrupt transit
traffic of generic medicines through the EU.

Notably, a consignment of Indian generics bound for Brazil were last year
impounded by Dutch customs authorities when they passed through Rotterdam,
at the instigation of companies claiming breaches of intellectual property
rights.

"I will be revisiting that regulation," promised De Gucht. "We will
fine-tune it so that medicines can be exported."

He said there should be adjustments "to avoid what has happened in the
past, for example in the Netherlands". Developing countries should, he
said, "have the right to generic medicines". But, he added: "It will take
time to make changes."

CAMPAIGNERS' COMPLAINTS

Similar concerns were expressed by Oxfam, M=E9decins Sans Fronti=E8res and
Health Action International in a Jan 12 letter to De Gucht.

They claim that EU trade agreements with developing countries are limiting
access to medicines, in contradiction to broader EU commitments.

A declaration they delivered to the commissioner-designate said: "European
Union trade policies consistently threaten access to affordable essential
medicines by seeking to entrench overreaching intellectual property rules."

The declaration continued: "The EU has also failed to commit sufficient
resources towards promoting medical innovation that meets the needs of
people in developing countries."

It also accused the EU of dedicating insufficient financial or political
support "to new models of innovation that aim to overcome the deficiencies
of the patent system and encourage innovation and access to medicines where
they are most needed".

The campaigners said they were hoping the new Commission would ensure that
the European Union trade and development agendas "are mutually supportive
of improving access to health care and medicines in developing countries".

HEALTH COMMISSIONER-DESIGNATE

John Dalli, the designated health commissioner, faces scrutiny by the
European Parliament on Thursday when he is likely to be probed on how he
plans to handle pharmaceutical policy and management of the European
Medicines Agency.

pod/nh

peter.odonnell@apmnews.com
[17749] 13/01/2010 07:23 GMT - INDUSTRY



Alexandra Heumber
EU & IP Policy Adviser

M=E9decins Sans Fronti=E8res
Access to Essential Medicines Campaign

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