WTO nears solution on supplying drugs to poor
GENEVA (AP) – The most emotionally charged problem in the World Trade Organization appeared near solution after key countries agreed on the wording of a deal that would allow poor nations to seek alternatives to expensive patented drugs for diseases like HIV/AIDS and malaria. Negotiators who have struggled with the issue for almost two years met Thursday to finalize an agreement drawn up last December but rejected by the United States, plus an accompanying statement designed to calm the fears of the big pharmaceutical companies.
“I hope we will seize the moment,” said Canadian WTO Ambassador Sergio Marchi, who last December – as chairman of the WTO’s general council – reluctantly had to admit temporary defeat faced with unflinching U.S. refusal. But the talks apparently hit a last-minute snag because of Kenyan concerns about the proposed agreement. The meeting was expected to run late into the night.
Under WTO rules, countries facing public health crises have the right to override patents on vital drugs and order copies from cheaper, generic suppliers. However, until now they could only order from domestic producers – useless for the huge majority of developing countries that have no domestic pharmaceutical industry.
U.S. pharmaceutical research companies were concerned that a deal to allow countries to import generic drugs would be abused by generics manufacturers and could also lead to drugs being smuggled back into rich countries.
However, all sides have accepted that the problem has to be settled for humanitarian reasons and because of the damage it has done to the public perception of the WTO – the 146-nation body that sets rules on international trade.
Failure to reach agreement this week also would throw a huge cloud over a crucial meeting of WTO ministers in Cancun, Mexico, in less than two weeks’ time, and would jeopardize the chance agreement there on other issues as part of the current “round” of trade liberalization negotiations.
The wording of the statement was agreed by a core group of negotiators from the United States, Brazil, India, Kenya and South Africa, then presented to all members late Wednesday.
No country signaled that it opposed the agreement, but the talks Thursday aimed to clear up some final questions. Delegates met Thursday afternoon, and were told some countries still had questions. Kenya, in particular, appeared to have reservations. Kenyan Ambassador Amina Chawahir Mohamed met with the chairman of the negotiating panel for 90 minutes.
The chairman, Vanu Gopala Menon of Singapore, then told the diplomats he needed a little more time and excused them for supper. It was unclear what Kenya’s concerns were. The session was also delayed as some members attended a memorial service for slain U.N. Iraq envoy Sergio Vieira de Mello. The proposed statement says that rules allowing countries to override patents “should be used in good faith to protect public health … not be an instrument to pursue industrial or commercial policy objectives.” It calls for special measures to prevent drugs being smuggled back to rich country markets.
, including special packaging or different colored tablets.
Developed countries would agree not to make use of the provision.
But the development aid group Oxfam said the deal would be a “disaster.”
“This would be a travesty of an agreement that would no doubt be presented as wonderful thing for development,” said Oxfam’s Head of Advocacy in Geneva, Celine Charveriat. “The text contains so much red tape and so many obstacles that if it were accepted developing countries would still struggle to get access to cheap medicines and thousands of people would continue to die unnecessarily.”