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trips waiver

How Germany’s new coalition could change the fate of the TRIPs waiver

Since South Africa and India proposed a temporary waiver on the intellectual property shielding COVID-19 vaccines and other interventions more than a year ago at the World Trade Organization, they have acquired broad — and sometimes unexpected — support.

Germany remains a steadfast opponent though. And while other nations such as the United Kingdom and Switzerland have also maintained their opposition, Germany’s hostility to the proposal carries outsized weight.

“The German government until today has been really harsh in rejecting this,” Jörg Schaaber, from the civil society group BUKO Pharma-Kampagne, told Devex. “That has a significant influence on the EU position.” Observers said Germany’s stance helps explain why the European Commission remains opposed to the waiver despite a June vote by the European Parliament to start discussions on the Indian and South African proposal.

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Parlamento Europeu envia carta em defesa da PI à Câmara e ao Senado

Brasília, BR – Foi protocolada hoje, quinta-feira, 23 de Setembro, uma carta enviada do Parlamento Europeu aos Presidentes da Câmara dos Deputados, Arthur Lira, e do Senado Federal, Rodrigo Pacheco. Na carta, 11 membros do Parlamento Europeu expressam suas preocupações com relação ao futuro da propriedade intelectual no Brasil após a Lei nº 14.200 de 2 de setembro de 2021, que prejudica o ambiente de propriedade intelectual (PI) no Brasil, ser aprovada. A carta questiona como as indústrias europeias, de muitos setores que dependem de proteção de PI, podem investir e comercializar no Brasil. A carta teve apoio do grupo internacional de defesa dos consumidores Consumer Choice Center e da Frente Parlamentar pelo Livre Mercado.

“Temos uma relação comercial muito próxima com o Brasil, e por isso estamos preocupados com o caminho que o Brasil vem seguindo no que diz respeito às leis de propriedade intelectual” disse em nota Gianna Gancia, MEP. “Países com fortes regimes de PI estimulam a inovação e a criatividade e são necessários para o crescimento econômico, a competitividade e a criação de empregos. Infelizmente, a PL nº 12/2021, e a consequente Lei nº 14.200, não ajudam o Brasil a cumprir os objetivos traçados na Estratégia Nacional de Propriedade Intelectual” concluiu Gancia.

“A exigência existente no PL nº 12/2021 que determinava que as empresas compartilhassem os seus segredos comerciais não tem precedentes e é inconsistente com as obrigações de proteção de segredos comerciais do acordo TRIPS. Forçar a transferência de tecnologia negaria aos inovadores a certeza e a previsibilidade necessárias para investir com confiança e acelerar o lançamento de novos produtos no Brasil” disse o Deputado Paulo Ganime, coordenador de Inovação da Frente Parlamentar pelo Livre Mercado. Para ele, “o governo acertou em vetar essa parte do texto, que poderia prejudicar a nossa credibilidade. O mais importante agora é garantirmos que o veto será mantido”, acrescentou.

Para Beatriz Nóbrega, Secretária Executiva da Frente Parlamentar do Livre Mercado, “existem alternativas melhores para criar no Brasil um ambiente que promova a inovação, o investimento estrangeiro direto e o acesso a novos produtos. Queremos ampliar as parcerias comerciais do Brasil no exterior e para isso precisamos honrar nossos acordos internacionais e buscar políticas que protejam a inovação e a criatividade, com o objetivo de deixar claro que no Brasil há estabilidade jurídica.”

Para Fábio Fernandes, Diretor de Comunicação da associação de consumidores Consumer Choice Center (Centro de Escolha do Consumidor), esta mudança na Lei preocupa muito os consumidores e pacientes brasileiros, pois decidirá o futuro da inovação nos campos da tecnologia, agropecuária e medicina.

“Os consumidores estão preocupados com a possibilidade de novos produtos, tecnologias e medicamentos não estarem disponíveis no Brasil por uma insegurança jurídica. A lei de propriedade intelectual no Brasil está de acordo com o padrão internacional porém essa nova lei, somada à recente decisão do STF sobre o Artigo 40 da Lei de PI, pode enfraquecer esse direito pondo em risco o futuro da inovação no Brasil” afirmou Fernandes. 

“Vacinas para o setor de agropecuária, remédios contra o câncer, componentes de informática como microchips para celulares, e até inteligência artificial são alguns exemplos de produtos e inovações que podem atrasar ou até mesmo nunca chegar ao mercado brasileiro” concluiu Fernandes.

We Don’t Need to Lift Patents to Make Vaccines More Accessible

And weakening of IP rules would actively hurt the most vulnerable.

A full 14 months into the pandemic, nearly half of Americans who are eligible have received at least one vaccine dose. The end is in sight, and we have innovation to thank. And so, as our economy reopens and restrictions are being lifted, attention is turning to hard-hit nations like India and Brazil, currently experiencing skyrocketing case numbers. 

The question, then, is how to boost vaccinations abroad. The New York Times notes that India’s outbreak is causing the country to restrict export of its own vaccines, which could hurt Africa in particular, since those nations are relying on Indian vaccines. 

In the face of pressure to use every tool available to boost vaccinations abroad, the Biden administration announced last week that it supported a proposal to waive patent protections on the COVID vaccines. 

This measure, which is called a TRIPS Waiver (Trade-Related Aspects of Intellectual Property Rights) and was put forth last fall at the World Trade Organization by India and South Africa, would be far more than just a temporary fix for more shots.

If the waiver is triggered, it would ostensibly nullify IP protections on COVID vaccines, allowing countries and companies to copy the formulas developed by private vaccine firms in hopes of making their own, with no guarantee of success or safety.

The coalition backing Biden’s pledge includes Doctors Without Borders, Human Rights Watch, and World Health Organization Secretary-General Tedros Adhanom Ghebreyesus, who first backed this effort in 2020 before any coronavirus vaccine was approved.

Intellectual property rights are protections that help foster innovation and provide legal certainty to innovators so that they can profit from and fund their efforts. A weakening of IP rules would actively hurt the most vulnerable—the same people that groups who support the IP waiver are nominally trying to help.

The power to issue the waiver comes from a section in the 1995 treaty that created the World Trade Organization, meant to protect intellectual property among global trade partners. While a COVID vaccine waiver would be the most substantial one to date, similar efforts have been attempted on both HIV/AIDS medicines and generic drugs, the latter the only other successful case.

The push for a waiver ignores that many companies have voluntarily pledged to sell their vaccines at cost or even offered to share information with other firms. Moderna, for its part, has stated it will not enforce the IP rights on its mRNA vaccine during the pandemic and will hand over any research to those who can scale up production. The developers of the Oxford-AstraZeneca vaccine have pledged to sell it at cost until the pandemic is over.

Further, this measure would have far-reaching implications. Supporters claim that because COVID represents such a global threat and because Western governments have poured billions in to securing and helping produce vaccines, low and middle-income countries should be relieved of the burden of purchasing them. But rich countries are already donating vaccines to the World Health Organizations COVAX program, which gifts countries vaccines free of charge.

There are a few reasons that a TRIPS waiver is unlikely to be the most efficient solution. The vaccines require specialized knowledge to develop and produce these vaccines, and the mRNA vaccines require cold storage. As economist Alex Tabarrok has pointed out, vaccine makers have been scouring the globe for adequate vaccine facilities but fallen short. 

It  seems implausible that any of this could be achieved outside the traditional procurement contracts we’ve seen in the European Union and the U.S. What is more likely is an increase of botched and unsafe vaccines that would be risky for vulnerable populations, as philanthropist Bill Gates has claimed in his opposition to the waiver.

If the cost of researching and producing a COVID vaccine is truly $1 billion as is claimed, with no guarantee of success, there are relatively few biotechnology or pharmaceutical companies that can stomach that cost. And distribution would be an entirely different story.

If Biden’s administration wants to help vulnerable nations, there is an easier way: release the tens of millions of doses of AstraZeneca vaccines sitting dormant in warehouses, which the FDA has not yet approved, and begin exporting our vaccine surplus to the most hard-hit countries. That’s precisely why the COVAX initiative was created, and why the U.S. should support it.

Meanwhile, let’s also look at the future implications of moving now to restrict IP protections for the very companies that have delivered the life-saving vaccines that will get us out of our current pandemic.

BioNTech, the German company headed by the husband-wife team of Uğur Şahin and Özlem Türeci that partnered with Pfizer for trials and distribution of their mRNA vaccine, was originally founded to use mRNA to cure cancer. Before the pandemic, they took on massive debt and scrambled to fund their research. Once the pandemic began, they pivoted their operations and produced one of the first mRNA COVID vaccines, which hundreds of millions of people have received.

With billions in sales to governments and millions in direct private investment, we can expect the now-flourishing BioNTech to be at the forefront of mRNA cancer research, which could give us a cure. The same is true of many orphan and rare diseases that do not otherwise receive major funding.

Would this have been possible without intellectual property protections?

If we want to be able to confront and end this pandemic, we will continue to need innovation from both the vaccine makers and producers who make this possible. Granting a one-time waiver will create a precedent of nullifying IP rights for a host of other medicines, which would greatly endanger future innovation and millions of potential patients.

Especially in the face of morphing COVID variants, we need all incentives on the table to protect us against the next phase of the virus. 

Rather than seeking to tear down those who have delivered the miracle of quick, cheap, and effective vaccines, we need to support their innovations and provide supplies to countries who need them. Symbolic gestures that will have drastic consequences, especially on the most vulnerable, just aren’t up to the task.

Originally published here.

Скасування патентів на КОВІД-вакцини вб’є інновацію у світі

Що потягне за собою скасування патентів на вакцини

Раніше цього тижня адміністрація президента Байдена підтримала призупення захисту прав інтелектуальної власності у Світовій Організації Торгівлі (СОТ). Таке рішення було прийнято з метою пришвидишити вироблення вакцин і відповідно вакцинацію населення світу, зокрема це стосується країн, що розвиваються. Наслідком підривання прав інтелектуальної власності стане різке зменшення інновації у світі, чорний ринок вакцин, і негативне бачення вакцинації як такої.

Передісторія

У жовтні 2020 року Індія та Південно-Африканська Республіка вперше висунули глобальну пропозицію про відмову від деяких положень Угоди про торгові аспекти прав інтелектуальної власності (TRIPS) Світової організації торгівлі (далі – СОТ), щоб дозволити будь-якому виробникам фармацевтичних препаратів виготовляти вакцини COVID та розповсюджувати їх. Крім патентів, йшлось про інші форми захисту прав інтелектуальної власності, щоб забезпечити виготовлення та розповсюдження необхідних медичних виробів, таких як маски, вентилятори, засоби індивідуального захисту.

З тих пір ця пропозиція отримала підтримку понад 100 країн, в тому числі Франції, Іспанії та, нещодавно, США.

Але Австралія, поряд із Великобританією, ЄС, Швейцарією, Японією, Бразилією та Норвегією, як і раніше утримуються від підтримки. Німеччина особливо наполеливо виступає проти підривання захисту патентів.

“Пропозиція США про скасування захисту патентів на вакцини від COVID-19 має серйозні наслідки для виробництва вакцин в цілому”, – сказала речниця уряду Німеччини. Вона додала, що “захист інтелектуальної власності є джерелом інновацій і має залишатися таким і в майбутньому”.

Що таке TRIPS

Угода TRIPS є невід’ємною частиною правової бази СОТ щодо інтелектуальної власності. Згідно зі статтею 27 (2) Угоди TRIPS, країни-члени СОТ можуть виключити патентоспроможність винаходів, необхідних для захисту здоров’я населення. Стаття 30 дозволяє учасникам робити обмежені винятки з прав, наданих патентом.

Серед іншого, угода, основною метою якої є захист прав інтелектуальної власності, також включає положення про примусове ліцензування або використання предмета патенту без дозволу правовласника (стаття 31). По суті, це означає, що “у разі надзвичайної ситуації в країні чи інших обставин надзвичайної невідкладності або у випадках некомерційного використання в державних цілях” держава-член може дозволити комусь іншому виробляти запатентований продукт без згоди власника патента.

Тоді як за звичайних обставин особа чи компанія, яка подає заявку на ліцензію, повинна спочатку спробувати отримати добровільну ліцензію у правовласника на розумних комерційних умовах (стаття 31b). Однак немає необхідності намагатися отримати добровільну ліцензію спочатку за гнучкістю TRIPS, про яку власне йде мова.

Таким чином, гнучкість TRIPS дозволяє країнам замінити глобальні правила інтелектуальної власності, щоб зменшити шкоду, заподіяну надзвичайною ситуацією, і в основному має предметом фармацевтичні препарати.

Поточні пропозиції Індії та Південної Африки спрямовані на більшу гнучкість, ніж передбачена в Угоді TRIPS.

Скасування патентів на вакцини є політичним та недалекоглядним рішенням.

Якими будуть наслідки

Імплементація пропозиції зробить можливим виробляння вакцин компаніями, які за нормальних умов могли би не отримати дозвіл на виготовлення вакцини через брак виробничих потужностей і знань загалом, чи можливості забезпечити правильне зберігання. Таким чином, після скасування патентів не буде жодних гарантій безпеки виробництва вакцин, що стане прямою загрозою для здоров’я людства. Якщо дози будуть вироблятись сторонніми постачальниками, спираючись на запатентовані формули та процеси, але без спеціалізації, це збільшить ризики псування вакцин або виготовлення поганих недіючих вакцин, які підірвуть вакцинацію загалом.

Фальшиві вакцини не просто підірвуть світовий вихід з пандемії, але й поставлять під загрозу життя та зменшать довіру до вакцин.

Кращий спосіб заохотити справедливий розподіл існуючих вакцин – це не усунути фінансові стимули а зробити те, що більшість виробників вакцин проти COVID-19 насправді вже роблять: зниження їх цін для країн, що розвиваються, або продаж вакцини на вартість. Розробники вакцини Оксфорд-АстраЗенека пообіцяли продавати за собівартістю, поки пандемія не закінчиться.

Чому важливо захистити права інтелектуальної власності

Противники прав інтелектуальної власності часто роблять помилку, сприймаючи інновації як належне, тим самим закриваючи очі на рушійну силу будь-якого виду підприємництва: економічні стимули. Патенти та різні інші форми інтелектуальної власності не є упередженими щодо винахідника. Навпаки, вони гарантують, що компанії можуть продовжувати впроваджувати інновації та постачати свою продукцію споживачам.

Короткотерміновим результатом зниження прав інтелектуальної власності буде розширений доступ до інновацій, але в довгостроковій перспективі інновацій не буде. 

Нам потрібно захищати права інтелектуальної власності, якщо ми хочемо перемогти коронавірус та багато інших захворювань. Пацієнти, яким одного разу можуть поставити діагноз невиліковних захворювань, таких як хвороба Альцгеймера, діабет або ВІЛ/СНІД, повинні скористатися шансом на отримання ліків, а захист прав інтелектуальної власності – це єдиний спосіб надати їм такий шанс.

Originally published here.

The global organizations and populists who aim to seize COVID vaccine tech and IP

When Donald Trump claimed in September 2020 that every American would have access to vaccines by April 2021, his comments received scorn. The Washington Post said his claims were “without evidence,” CNN quoted health experts who said it was impossible, and The New York Times claimed it would take another decade.

Now, a year into this pandemic, nearly half of the eligible population has received at least one vaccine dose in the U.S., and distribution has been opened to every American adult.

Operation Warp Speed, which invested tax dollars and helped reduce bureaucracy across the board, has contributed to what has truly been a miraculous effort by vaccine firms.

While Trump’s proclamations eventually become true and the question of vaccine ability has been settled, there is now pressure on the Biden administration to turn over domestic vaccine supply to countries with skyrocketing cases.

On Sunday, the U.S. declared it will send additional medical supplies to India, currently experiencing the largest global spike in cases.

But at international bodies, countries and activist groups are petitioning for far more: they want to force biotech companies to waive intellectual property rights on vaccines and COVID-related medical technology.

Along with nearly 100 other countries, India and South Africa are the architects of a motion at the World Trade Organization called a TRIPS Waiver (Trade-Related Aspects of Intellectual Property Rights).

If the waiver is triggered, it would ostensibly nullify IP protections on COVID vaccines, allowing other countries to copy the formulas developed by private vaccine firms to inoculate their populations and play into the hands of future governments more hostile to private innovation.

This week, U.S. Trade Representative Katherine Tai met with the heads of the various vaccine makers to discuss the proposal, but it is uncertain if the Biden administration will support the measure at the WTO.

While many companies have voluntarily pledged to sell them at cost or even offered to share information with other firms, this measure would have more far-reaching implications.

This coalition seeking the TRIPS waiver includes Doctors Without Borders, Human Rights Watch, and World Health Organization Secretary-General Tedros Adhanom Ghebreyesus, who first backed this effort in 2020 before any coronavirus vaccine was approved.

They claim that because COVID represents such a global threat and because western governments have poured billions in securing and helping produce vaccines, low and middle-income countries should be relieved of the burden of purchasing them.

Considering the specialized knowledge needed to develop these vaccines and the cold storage infrastructure required to distribute them, it seems implausible that any of this could be achieved outside the traditional procurement contracts we’ve seen in the European Union and the U.S.

That said, rather than celebrating the momentous innovation that has led to nearly a dozen globally-approved vaccines to fight a deadly pandemic in record time, these groups are trumpeting a populist message that pits so-called “rich” countries against poor ones.

Intellectual property rights are protections that help foster innovation and provide legal certainty to innovators so that they can profit from and fund their efforts. A weakening of IP rules would actively hurt the most vulnerable who depend on innovative medicines and vaccines.

If the cost of researching and producing a COVID vaccine is truly $1 billion as is claimed, with no guarantee of success, there are relatively few biotechnology or pharmaceutical companies that can stomach that cost.

BioNTech, the German company headed by the husband-wife team of Uğur Şahin and Özlem Türeci that partnered with Pfizer for trials and distribution of their mRNA vaccine, was originally founded to use mRNA to cure cancer.

Before the pandemic, they took on massive debt and scrambled to fund their research. Once the pandemic began, they pivoted their operations and produced one of the first mRNA COVID vaccines, which hundreds of millions of people have received.

With billions in sales to governments and millions in direct private investment, we can expect the now-flourishing BioNTech to be at the forefront of mRNA cancer research, which could give us a cure. The same is true of the many orphan and rare diseases that do not otherwise receive major funding.

Would this have been possible without intellectual property protections?

Moderna, for its part, has stated it will not enforce the IP rights on its mRNA vaccine and will hand over any research to those who can scale up production. The developers of the Oxford-AstraZeneca vaccine have pledged to sell it at cost until the pandemic is over.

While this should smash the narrative presented by the populists and international organizations who wish to obliterate IP rights, instead they have doubled down, stating that these companies should hand over all research and development to countries that need them.

If we want to be able to confront and end this pandemic, we will continue to need innovation from both the vaccine makers and producers who make this possible. Granting a one-time waiver will create a precedent of nullifying IP rights for a host of other medicines, which would greatly endanger future innovation and millions of potential patients.

Especially in the face of morphing COVID variants, we need all incentives on the table to protect us against the next phase of the virus. 

Rather than seeking to tear them down those who have performed the miracle of quick, cheap, and effective vaccines, we should continue supporting their innovations by defending their intellectual property rights.

Yaël Ossowski (@YaelOss) is deputy director of the Consumer Choice Center, a global consumer advocacy group.

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