15/01/2010

EU trade commissioner-designate grilled over policy on generics

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, Médecins Sans Frontières 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.

APM Health Europe

http://health.apmnews.com/home.php

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