Thailand approaches WTO solution for generic drugs

The latest report by the WTO, OECD and UNCTAD on G20 trade and investment measures, submitted on 8 March 2010, said that high unemployment rates and uncertainties on global growth point to the need for G20 governments “to remain vigilant in opposing protectionism”. The three agencies urged the G20 leaders to undertake “a clear and stronger commitment to open markets and make concrete their many calls to bring the Doha Round to a rapid conclusion”. Open trade can give the global economy a much-needed lift and provide valuable opportunities for job creation.

Trade Representative Kiat Sittheeamorn told the American Chamber of Commerce in Thailand that the government was in talks with all sides and hoped for an eventual solution under the World Trade Organization.“What we would like to see is US engagement with the WTO in order to come up with a multilateral regime that is good for all,” Kiat said in remarks videocast in Washington.

“It is a very sensitive issue, but we also recognize that we don’t want to violate any patent rights,” he said.“I think the final goal for all is to be able to have affordable drugs for all the Thai people while recognizing the ownership rights” of patent holders, he said.

Campaigners voiced outrage last year when they said they obtained a letter showing Prime Minister Abhisit Vejjajiva’s government would not license more generic drugs as the issue was holding up free trade talks with the United States. In its last annual report in March 2009, the US Trade Representative’s office said Thailand was within its WTO rights to approve generic drugs but called for “transparency and due process.”Major pharmaceutical firms argue that generic drugs ultimately hurt patients by depriving the companies of funding for research and development.