| Volume 7 Issue 9 | December 2000 | ||||
| C o n t e n t s | |||
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#1 Pernas para o Ar #2 Brazil: What Went Right? #3 Glaxo Blocks Importation of Generic Drug #4 Generic Jabberwocky |
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| #1 | Pernas para o Ar | ||
"We have upside down access to AIDS drugs in this world. The drugs are where the disease is not, and the disease is where the drugs are not. Commercial interests come above human suffering." Peter Mugyenyi
Joint Clinical Research Center Kampala, Uganda |
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| #2 | Brazil: What Went Right? | ||
The Brazilian people with AIDS organization, Grupo Pela VIDDA invited TAG's Mark Harrington to discuss The Global Challenges of Access to Treatment & Compulsory Licensing at the 10th National Meeting of People Living with HIV and AIDS in Rio de Janeiro on November 3. His talk was followed by that of Jorge Bermudez who, as coordinator of Brazil's Center for Pharmaceutical Policies, helps implement the Brazilian federal policy of providing free locally-manufactured antiretroviral drugs to its citizens with HIV. A complete transcript of the two presentations is available at the TAG website. An abbreviated version of their remarks appears below. The 10th Encontro Nacional was held, incongruously, at the Brazilian Jockey Club, a white, fascist-era edifice in downtown Rio. Several hundred PWAs from around the country attended the three-day conference, along with a smattering of international delegates. The conference was enormously diverse with, seemingly, a slight preponderance of women. Over fifty people attended the treatment access/compulsory licensing session. Since the primary language of most was Portuguese, I edited my talk, alternating sentence-for-sentence with my translator, Alex from Grupo Pela Vidda/RJ. "When asked to discuss the global challenge of access to treatment and the issue of compulsory licensing, I did not feel like the best person to address these issues. To be sure, as a treatment activist working in New York City for the past twelve years, I am aware of issues of poverty and inequitable access to health care. The organization I work for, Treatment Action Group (TAG), has focused for eight years on speeding up research and treatment of HIV and AIDS. But other activists in Brazil, South Africa, and the U.S. have been the leaders on these issues, including some of you from Grupo Pela Vidda, South Africa's Treatment Action Campaign (TAC) and Médecins sans Frontières, and in the U.S., the Consumer Project on Technology (CPT), Health GAP, and ACT UP/Philadelphia, among others. It's impossible to discuss global treatment access issues without also acknowledging the unmet needs of health care access in the U.S. as well. Of all the world's rich nations, the United States has the least equitable health care system. Rich people get some of the best health care in the world; poor people may get poor care, or no care at all. These inequities mean that people with HIV in the U.S. may get very different care depending on their class, gender, ethnicity, insurance coverage, and location. While AIDS activists have not been able to get universal health care in the U.S., they have been able to pressure the government to develop special programs for HIV-infected people. Each state has its own program to provide free treatment to poor people with HIV. Some of these programs enroll many people and cover many drugs; others enroll few people and have minimal coverage. Issues of access to treatment, then, are not restricted to developing countries, although there the scale of the problem is more acute. I was intrigued about being asked to address this topic in Brazil because here there is a pioneering effort to provide antiretroviral medication to thousands of people with HIV despite the fact that Brazil is a developing country whose poor have many other pressing needs. It's particularly interesting for me to see what has worked in Brazil, and how it's happened, because of the contrast with what we saw in South Africa at the Durban AIDS conference earlier this year. There, another developing country's government is having a very difficult time coming to grips with a much larger HIV epidemic. There is a powerful, articulate, mobilized grassroots advocacy effort going on in South Africa by the Treatment Action Campaign (TAC) to pressure the government, and the drug companies, to broaden access to drugs for AIDS and HIV. Many of the issues which have been addressed relatively successfully in Brazil have yet to be fully addressed by South Africa's new democratic government. So I am here to learn from you why this program was initiated, who supported it, what the struggles were to implement it, how it's going, what the challenges are, and whether or how this initiative can be adapted or adopted in other developing country settings. I will be exploring some big issues such as global access to treatment, intellectual property rights, and compulsory licensing, but I have more questions than answers. The need for global access to HIV/AIDS treatments I'm not going to talk much about the need for global access to treatments for HIV and AIDS. HIV-infected High Court judge Edwin Cameron of South Africa stated this need most clearly: 'Nearly 34 million people in our world are this moment dying [of AIDS]. And they dying because they don't have the privilege that I have, of purchasing my health and life... Now why should I have the privilege of purchasing my life and health when 34 million people in the resource poor world are falling ill, feeling sick to death, and are dying? That to me . . . seems a moral inequity of such fundamental proportions that no one can look at it and fail to be spurred to be thought and action about it. That is something which we in Africa cannot accept. It is something that the developed world also cannot accept.' Before discussing the issues of compulsory licensing, parallel importing, and generic drugs versus brand-name pharmaceuticals, I would like to briefly survey the responses of different sectors to the need for global treatment access. I will review:
1. The pharmaceutical industry Last year, antiretroviral drugs brought in about $3.4 billion in sales. This figure is estimated to more than double to between $7-8.7 billion per year in just seven major markets: the U.S., Britain, France, Germany, Italy, Spain and Japan. One consulting firm estimated that "price reductions of 75-80% for branded drugs could help to wipe out generic competition in emerging markets such as Brazil, China, India, South Africa, and Thailand." However, until very recently, most companies preferred strategies other than major price reductions for dealing with AIDS in poor countries. These strategies included:
These most recent promises were made in the run-up to the Durban AIDS conference with its inevitable focus on the inaccessibility of treatment for 95% of the world's 34 million HIV-infected people, and, so far as I am aware, not one person has received a single pill as a result of any of these promised price reductions or drug give-away programs. Among the flurry of recent drug company initiatives are the following:
Clearly, these initiatives, while praise-worthy, are not enough. They are, however, a move towards what WHO calls "equity pricing," a system "whereby companies sell patent-protected pharmaceuticals at, or close to, cost in poor countries, while charging higher prices in developed countries to ensure a return on the costs of R&D." In Durban, former Glaxo executive and current AlphaVax CEO Peter Young concluded that HIV-related drugs and vaccines could provide "globally attractive commercial opportunit[ies] even with close to break-even developing country pricing-but [this would be] dependent on political consensus for differential pricing." Whatever the fate of differential pricing, in any case, the programs announced to date will reduce prices too little and reach too few of the world's HIV infected people. What are rich country governments and multilateral agencies such as the United Nations doing? 2. The response of rich country governments However, the rich country governments have been profoundly ambivalent in their approach to the struggle for affordable treatments in developing countries. For example, the U.S. government has pressured many developing country governments, such as Brazil, South Africa, and Thailand, to restrict the availability of generic drugs, impose strict new patent requirements on pharmaceuticals, and outlaw parallel importing of cheaper drugs. For example, on a recent visit to Brazil, then-U.S. Commerce Secretary (and later campaign chairman for VP Gore) William Daley brought along Merck's president and Pfizer's vice president. Recently, after a dogged campaign against Vice President Al Gore led by Health-GAP, ACT UP/Philadelphia, and the Consumer Project on Technology (CPT), the U.S. changed its position on compulsory licensing and parallel importing of drugs for sub-Saharan African countries. But these changes did not affect U.S. policy towards Latin American or Asian countries which also have large and growing epidemics. Just as confusing was the U.S. Import-Export Bank's offer, made just after the Durban AIDS conference, of $50-100 million to developing countries to buy drugs for HIV and AIDS. This comes in a year with a global campaign to reduce developing country debt. So far, no country has accepted the U.S. offer. The U.S. also uses its influential if not paramount positions in the World Bank, the World Trade Organization (WTO), and other multilateral agencies to push an agenda which often benefits the pharmaceutical companies and their shareholders in rich countries at the expense of developing countries. 3. The response of multilateral agencies and UNAIDS UNAIDS has several broad initiatives to support increased investment in AIDS programs worldwide, such as proposing debt relief for poor countries; about 20 countries may benefit form this scheme in the near future, but here I will focus on the UNAIDS pilot HIV drug access initiative. In November 1997 UNAIDS initiated a pilot HIV Drug Access Initiative to see whether it would be possible, by working with drug companies and four developing country governments, to secure significant price decreases for AIDS drugs, thereby enabling those countries to treat a greater number of their HIV-infected people. The four countries selected were Chile, Ivory Coast, Uganda, and Vietnam. Pharmaceutical partners included Bristol-Myers Squibb, DuPont, Glaxo-Wellcome, Hoffmann-La Roche, Merck, Organon Teknika, and Virco. The U.S. Centers for Disease Control (CDC) and the French ANRS (Agence National de la Recherche du Sida) helped provide support for project evaluation. Each country established a national HIV drug policy oversight committee to oversee the program. Non-profit companies were established to purchase drugs and provide them to participating health centers. A variety of programs were established to educate health care providers and patients about treatment and to provide ancillary care. According to a UNAIDS evaluation issued in August 1999, among the lessons learned from this program are: "Improving access to drugs requires strong political will to change current drug supply and delivery systems." What were the actual concrete results of the pilot program? The Experience of Uganda Not everyone is pleased with the UNAIDS program in Uganda. At a satellite symposium in Durban, one Ugandan doctor was very critical. At the TAC/MSF symposium on Improved Access to HIV/AIDS Drugs in Developing Countries, Dr. Peter Mugyenyi from the Joint Clinical Research Center in Kampala discussed "Market Failure in Uganda." He said: We have upside down access to AIDS drugs in this world. The drugs are where the disease is not, and the disease is where the drugs are not. Commercial interests come above human suffering. The UNAIDS pilot treatment access initiative which has been carried out for the last two years in Ivory Coast and Uganda has not been a success. It has resulted in no appreciable reduction in the cost of drugs. In some cases, prices went up. It's been a miserable failure. It never started in Vietnam, and whether it did anything in Chile remains a puzzle. The UNAIDS/pharmaceutical company announcement this spring about "massive" price reductions was more political than practical; it was done for the media. They say "we are negotiating," but I don't understand what this negotiation is all about. If you're going to reduce the cost, reduce the cost. If you're not going to reduce the cost, then just shut up. The UNAIDS initiative is not enough. We need to explore compulsory licensing, generic drugs, and other new innovative methods. First lower the price-then make the announcement. We need the governments to help us. All AIDS drugs should be put on the essential drugs list. The Experience of Ivory Coast Vietnam and Chile UNAIDS continues to describe the pilot project as a success. Last month, it announced that almost 4,000 patients in the four countries have received drugs through the program. UNAIDS intends to involve six more Asian and African countries. Of course, treatment of 4,000 people with HIV is better than nothing, but this represents just a drop in the bucket of the worldwide pandemic. Four thou.s.nd is just 1/8,500 of the world's HIV infected population. Recognizing this, in October 2000 UNAIDS, UNICEF and WHO announced a public tender to provide certain AIDS-related medications and diagnostics "at a preferential price to developing countries ... to accelerate sustained access to, and use of, high-quality interventions for the treatment and care of HIV/AIDS-related illnesses, and to prevent mother-to-child transmission of HIV." It is unclear whether these agencies have the money to actually purchase anything. Clearly more needs to be done. What can be learned from developing countries and their own experience with trying to provide drug access? 4. The response of developing countries The Example of Brazil Questions for the future Oddly, even a spokesman for the Pharmaceutical Research & Manufacturers of America (PhRMA), the drug company lobbying powerhouse in Washington, D.C., acknowledged Brazil's efforts. In a recent Washington Post article he said, "Five years ago, President Cardoso realized they were having a problem, and he made a point to do something about it... Brazilians certainly should be praised for working on what could have been a terrible situation." In Durban, the Brazilian government issued an offer to provide technical assistance to other developing countries to share experience regarding distributing antiretrovirals free of charge to those who need them. It proposed to the World Health Assembly and UNAIDS the establishment of a data bank to provide comparative information on drug prices worldwide. Clearly an unusual combination of factors contributed to this unprecedented and encouraging experience. While I am not familiar with all the details, it seems that, as a minimum, these factors included:
Key questions
Finally, even if the price of triple therapy were reduced to $200-500 per person per year, there would still be millions of people who would be unlikely to receive them because of problems with health care infrastructure, lack of political will, lack of resources, etc. A long-term solution will involve new agreements between developing countries, rich countries, and the pharmaceutical and generic drug industries, among others. What can advocates to do to speed up the development and implementation of these long-term solutions? Thanks again for the opportunity to discuss and learn more about these issues. ¤ |
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| #3 | Glaxo Blocks Import of Generic | ||
The arguments over affordable life-saving medicines for the developing world intensified late last month when it was revealed that Glaxo-Wellcome has blocked the importation of inexpensive generic knock-offs of its premier AIDS drug, Combivir, into Ghana. The conflict is the latest skirmish in one of the most contentious issues emerging in sub-Saharan Africa, where 25 million people are infected with HIV, and only a tiny proportion have access to life-prolonging HIV drug cocktails. The pharmaceutical giant notified a local distributor in Ghana and Cipla, Ltd., the Indian maker of a generic version of Combivir called Duovir, that they had violated Glaxo's patents. This action effectively froze sales of the inexpensive generic in Ghana despite statements by the patent issuing body, African Regional Industrial Property Organization, ("ARIPO") explaining that several of the patents did not apply to Ghana. Christopher Kiige, of the ARIPO, said in a published report, that if Glaxo took the case to court, "they would lose." Combivir is a combination in a single pill of two widely-prescribed anti-HIV drugs, AZT and 3TC. Earlier this year, Glaxo had offered to sell Combivir in Senegal and Uganda for $2 a day -- far less than the $16 a day retail price in the U.S. Miffed by this threat of generic importation, Glaxo officials now claim they will make a similar offer to Ghana. Cipla's generic version (Duovir) sells for about $1.74 a day ($620 a year) retail in Ghana. The revelation came as South Africa announced it had reached an agreement with Pfizer over the provision of fluconazole to treat cryptococcal meningitis and, more recently, esophageal candidiasis. The threat of generic competition made Pfizer lift restrictions it wanted to impose on the fluconazole it is donating to South Africa. Initially the fluconazole was going to be provided for the treatment of cryptococcal meningitis onlyand not for thrushwhich affects more people. South African activists claimed that Pfizer attempted to "dictate" how the free drug was used. After South African activists began importing a cheaper version of the drug just months ago, Pfizer buckled under the threat of this discount competition and agreed to supply fluconazole for candidiasis as well as for meningitis. Stopping Cipla in tiny Ghana may be an attempt by the pharmaceutical industry to uproot the generic makers before they take root and flourish worldwide. The major pharmaceutical makersand Glaxo in particularare nervous that if a small country like Ghana can successfully skirt patent protections, then the flood gates will open and markets will be threatened in the rest of the world. Already generic makers in Brazil are making significant inroads towards establishing themselves as the dominant source of anti-HIV drugs in that country. The large manufacturers have consistently argued that intellectual-property protections are necessary to insure that new research and development costs are met. A Glaxo spokesman stated it directly in The Wall Street Journal on December 1: "Ghana may represent only a sliver of (our) overall revenue, but where do you draw the line?" ¤ |
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| #4 | Generic Jabberwocky | ||
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Before our talks I asked Jorge Bermudez* about the quality control of the Brazilian-made antivirals. He said it was not a problem and that results of bioequivalence studies would soon be made public. This turned out to be a significant bone of contention. Ezio Távora dos Santos Filho, the vice president of Pela VIDDA/RJ, got up and expressed concern about the bioavailability and bioequivalence of the Brazilian-made antiretrovirals. "What's in this medication we're taking? We're fighting to break the patents, but we have to have good quality control. One month the drugs come from one company, one month they come from another. This is a serious problem... It's vital that the Brazilian government works on quality assurance. I want to know that what I'm taking is good for me. Even if the government doesn't consider this a priority, we do. We must not export low quality drugs." Ezio's passionate critique elicited heavy applause from the activists in the audience. Bermudez, shifting the issue, replied that, "Up until now, Brazil has been forced to swallow international pharmaceutical drugs without questioning their quality. A law regulates the mechanism of buying drugs. All medications produced here will be regulated. We will have certificates of bioavailability by January 2001." Costa Filho, stung, replied, "I acknowledge what Ezio just said, but there's a lack of context in his eloquence. It's not fair to say the government is forcing you to swallow something. This [quality control data] was never requested for any international company... We have never asked for this before." Afterwards, Dr. Irene Adamsa physician with an HIV practice in Belo Horizonte (Minas Gerais state) as well as a clinic for street kids and a 33-bed inpatient unitand Ezio Távora dos Santos Filho reported some alarming facts:
It was unclear from the government representatives-Bermudez and Costa Filho-whether the quality assurance, bioavailability and bioequivalence data would be complete and available by January 2001, or whether that was merely when the testing would begin. There was no mention of testing the local products for purity as well as the other parameters. I was also confused when Ezio said that local university labs were willing to carry out the necessary tests; he may be underestimating the difficulty of doing this. * Coordinator of the WHO/PAHO Collaborating Center for Pharmaceutical Policies in the Brazilian Ministry of Health |
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