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1994 Pharmaceutical Agreement

1994 Pharmaceutical Agreement

16.The World Trade Organization`s Drug Abolition Agreement means that invoking WTO rules in the case of a non-agreement scenario would not have as much impact on the pharmaceutical sector as it does on other sectors examined by the Committee. However, serious concerns remain that this could undermine the UK`s position as a production site, global supply hub and manufacturer and recipient of innovative new medicines. The Government should strive to establish a trade agreement with the European Union and other trading partners, which includes all pharmaceuticals and pharmaceutical components and is not limited to those currently listed in WTO rules. Later that year, I had the opportunity to visit Sao Paulo, Brazil, where a similar dispute developed over pharmaceutical patents. At the same time, multinational pharmaceutical industry organizations argued that research and development was too expensive and complex for the Brazilian government and that the industry would bring many new research and development centres to Brazil if the country strengthened its national pharmaceutical patent laws. I was appalled by the misinformation about the cost of drug development, much of which came from the U.S. government`s footnotes on this issue. At one point, the Brazilian representative for multinational pharmaceutical companies told the public that the U.S. government said it cost $359 million to develop a new drug, and each drug was a proposal of 5,000 to 1 — which represents an expected development cost of $1,795 billion per drug. We believe that the first task is to make research and development a public health issue. An increase in the rate of R D drugs is a good thing for public health. A policy that improves public access to new health inventions is also a good thing for public health.

Compensation for the distribution of subsidized pbs, pharmaceutical drug management programs and services in pharmacies is expected to be $18.3 billion over the five years of the agreement. In conclusion, I would like to encourage this public to consider the importance of better collection of economic data on the costs of pharmaceutical development. The industry has far too strict control over statistics on drug development costs and uses this control to discourage independent research into pharmaceutical policy.