Ecuador Breaking 2,000 Drug Patents, Big Pharma Says No Problem

Published November 01, 2009 @ 06:16PM PT

Ecuador are breaking drug patents left, right, and center, bypassing patents on 2,000 drugs "in order to produce them locally or buy cheaper versions elsewhere." And that's not the most interesting bit: 14 of the world's biggest pharmaceutical companies accept the decision. So why is big pharma happy for this to happen?

Well, it's legal, so they have little option but to agree.

"We accept the democratic decision... to legally implement this extraordinary measure ... No legal right is superior to the requirements of public health," the companies explained. Under rules agreed by the World Trade Organization, Ecuador is also on solid ground internationally. And they aren't just stealing. WTO rules allow countries to issue "compulsory licenses" to disregard patents. But, and here's the crux, this can only ordinarily happen after negotiating with patent owners and compensating them through royalty payments. But if a national emergency was declared, Ecuador wouldn't even have to negotiation with the pharmaceutical companies. This time around negotiations did occur.

Ecuador join Brazil, Thailand, Malaysia, and Indonesia in the issuing of a "compulsory license" for the importing of certain drugs. Industry groups are eager for this not to happen too often, with Thailand landing itself on a US copyright watch list for its disregard of patetns. But when public health is such a huge concern, this is hardly top of their priorities.

Photo credit: Yamil Salinas Martínez

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