In August, India's DIPP , Indian Department of Industrial Policy and Promotion, announced it is considering greater compulsory licensing provisions for drug makers. These provisions could be applied, if necessary, to 3rd party drug (MNC) companies that takeover local generic competitors. Indian regulators fear the upsurge in this type of activity in the recent past could result in pricing local populations out of the market in key therapeutic areas -- like cancer, HIV/AIDs or Hepaitis C treatments.
Pharmalot reports today that PhRMA is going to meet with DIPP and key high level officials this week to discuss the proposal. Compulsory licensing is about the last thing PhRMA wants to see - especially if restrictions were to extend to limits or bans on foreign takeovers. Most of the West is looking to pharmerging markets to boost their revenues and India is certainly seen as a ripe target - plus it is a good launching pad for manufacturing generics more cheaply to be exported to other emerging markets.
Patient advocates/activist groups on the other hand have written an open letter to the Health Ministry to keep pursuing plans to make drugs affordable and available. The lobbying shall commence.
Posted by Bruce Lehr October 22nd 2010.