The Hindu : Business : Bird flu: pharma cos want Govt. to act

Online edition of India's National Newspaper
Wednesday, Nov 16, 2005

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Business

Bird flu: pharma cos want Govt. to act

Staff Correspondent

Government is in a dilemma whether to import or allow manufacture of the drug locally

MUMBAI: The pharmaceutical industry is concerned about the lack of awareness and appreciation on the part of the Government on how to face the challenges of the Avian Influenza (Bird Flu) if it comes to India. Speaking on the sidelines of the second meeting of the FICCI National Pharmaceutical Committee meeting here today, D.G.Shah, Secretary General, Indian Pharmaceutical Alliance (IPA), a body representing major Indian pharma players, said, "as of today the government is not prepared.''

Key to contingency plan

The key to the contingency plan is to make medicines available and this poses another peculiar problem to India. The compounds Oseltamivir and Tamiflu from Roche-Gilead and Relenza from GlaxoSmithKline appear quite effective in mitigating the effects of bird flu. But with the Tamiflu patent pending in India, the government is yet to decide how to make the drug in the country.

The government should decide whether to import Tamiflu from Roche or to license domestic generic manufacturers to make it here at a tenth of the price and stockpile it. "If it decides to import the drug from Roche, it has to place the order as there is a limited supply. If it decides to allow generic makers here to make it, it has to issue a Compulsory licence (CL).'' Under Sec. 92 of the Indian Patents Act 2005, the Government can issue a compulsory license as in the case of a national emergency.

The raw material for the drug, shikimic acid has seen a significant rise in price due to its spiralling demand. From $40 a kilo, it is now sold close to $1,000 a kilo. "Today price is the issue and tomorrow availability will be the issue,'' said Mr. Shah, adding that this is the season for migratory birds to come into India.

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