[Pharm-policy] TAC/Oxfam/MSF on Reporting on Brazil case

[James Love]

-------- Original Message --------
Subject: Joint NGO Statement, 31 August 2001
Date: Fri, 31 Aug 2001 12:11:44 +0200
From: news@tac.org.za
To: list@tac.org.za, media@t.org.za

JOINT NGO STATEMENTS - 31 August 2001

PRESS RELEASE TAC/OXFAM/MSF: 

"Discrimination in Media Reporting on Brazil," say NGOs

Brazil's decision to grant last week a compulsory license for
antiretroviral drug nelfinavir is supported in South Africa by
Treatment Action Campaign, Medecins sans Frontieres and Oxfam.

"Brazil is not breaking patent rules; it is breaking a monopoly that
keeps medicines outrageously expensive for the profit of multinational
pharmaceutical companies," says Dr. Eric Goemaere, of Medecins sans
Frontieres.

By granting a compulsory license, Brazil is only doing what the United
States and the European Union regularly do, within the rules of the
World Trade Organization. For example, on 16 August the US Department
of Justice's Antitrust Division announced it would use a compulsory
license on a company's portfolio of patents in the field of
stereolithography. On 3 July, the EU granted one in Germany for a
database on pharmaceutical sales.

"There is a double standard in the reporting and it discriminates
against developing countries. When the US issues a compulsory license,
it is defending consumer interests. When Brazil does it, it is
demonized, risks legal action and trade sanctions," points out Dan
Mullins, HIV/AIDS coordinator for Oxfam in southern Africa.

Brazil announced its decision after six months of failed negotiations
on price reductions with Swiss pharmaceutical company Roche. As part
of the drug therapy, Nelfinavir is given to one-quarter of Brazil's
100,000 AIDS patients under treatment. It costs Brazil US$85 million a
year -- nearly one-third of its US$303 AIDS budget.  The government
sought a reduction of 40% from Roche, equal to what it would save by
producing it locally as a generic, and offered the average 5% in
royalties.

Of the dozen drugs given to patients, Brazil produces eight as cheap
generics. Another three have reasonable prices because earlier this
year Brazil negotiated with Merck a price reduction of roughly 70%.

Brazil's AIDS plan, which includes widespread information, voluntary
testing with counseling, and free retroviral treatment, is credited
with halving AIDS-related deaths, reducing AIDS-related
hospitalizations by 80% and drastically diminishing mother-to-child
transmission. Its program is hailed by the United Nations as a model
for developing countries.

Earlier this year, the United States threatened to take Brazil to the
World Trade Organization for infringing patent rules hut dropped the
case.

"We urge African governments and peoples to support Brazil's move. We
call on the South African government to issue compulsory licenses for
essential medicines, and thus help break Big Pharma's monopoly over
the health of our people," said Mark Heywood, secretary-general of
TAC. (ENDS)

For information, please contact:
Dr. Eric Goemaere, Medecins sans Frontieres, tel +27-(0)21-364-5490
Mark Heywood, Treatment Action Campaign, tel +27-(0)11-717-8634
Mercedes Sayagues, Oxfam GB, tel +27-(0)82 - 448 - 3299
Dan Mullins, Oxfam GB, tel +27-(0)12-362-2118