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Copyright 2000 The Washington Post  
The Washington Post

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May 11, 2000, Thursday, Final Edition

SECTION: FINANCIAL; Pg. E02

LENGTH: 484 words

HEADLINE: Africa Gets AIDS Drug Exception; Clinton Order May Lower Prices

BYLINE: John Burgess , Washington Post Staff Writer

BODY:


President Clinton yesterday ordered that sub-Saharan Africa get special leeway in importing or manufacturing patented drugs to combat the devastating AIDS epidemic there.

Clinton acted following lobbying by African countries, which contend that patent protection is cutting them off from newly developed treatments even as the disease cuts deadly swaths across their societies. U.S. AIDS activist groups have also pressed for the action.

When U.S. patent laws are strictly enforced for AIDS drugs, the result is high prices, typically $ 10,000 a year or more to treat an AIDS patient in this country. Such sums are far out of reach for African countries, which want to buy or make knockoff versions of the drugs at far lower prices. Clinton's order could make it possible, under some circumstances, for them to obtain AIDS drugs at lower prices.

"The executive order finds the balance between protecting intellectual property rights and also promoting accessibility of the drugs" in Africa, said White House spokesman Joe Lockhart.

The order declared that the United States would not invoke a key clause in U.S. trade law against sub-Saharan African countries concerning protection of patents on AIDS drugs. It would instead hold them to the less stringent standard of a World Trade Organization agreement on intellectual property protection.

The Pharmaceutical Research and Manufacturers of America, the U.S. drug industry's main trade group, criticized Clinton's order. It sets "an undesirable and inappropriate precedent, by adopting a discriminatory approach to intellectual property laws, and focusing exclusively on pharmaceuticals," said President Alan F. Holmer in a statement.

Member companies are working with African countries to combat the disease, he said, and "continue to play an essential role in pioneering applied research and development, our best hope of winning the war against AIDS. Strong intellectual property protection is the only way to encourage this research." The industry contends that without it, it won't have the huge sums of money needed to develop the drugs.

Paul Davis of ACT-UP Philadelphia, an activist group, welcomed the decision. But he faulted it for only covering sub-Saharan Africa and AIDS drugs. "There are more killers than HIV/AIDS and lots of folks have AIDS in other countries," he said.

Last year, the White House negotiated a deal with South Africa to exempt it on AIDS issues from the provision known as Section 301 of a 1974 trade law. Yesterday's order extends that policy to sub-Saharan Africa as a whole, where, according to the White House, 11.5 million people have died of AIDS, about 83 percent of the world total for the disease.

Under WTO rules that will apply to the countries, certain health circumstances allow countries to order that certain drugs be licensed for local use or imported from third countries.

LOAD-DATE: May 11, 2000




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