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The License to Cure: The Global Medicines Patent Pool
In a world in which 6 million people die
each year from AIDS, TB or malaria, corporate
action to increase access to treatment is
crucial. ICCR is working with pharmaceutical
companies to catalyze the development of a
new business model that will facilitate delivery
of medicines around the globe.
There is increasing pressure on pharmaceutical
companies to increase availability of
life-saving medicines by making the licenses to
their formulations available to generic pharmaceutical
manufacturers. Yet, branded pharmaceutical
companies’ stances on patents and
licenses often put them at odds with the governments
of developing countries attempting
to ensure access to medicines for their citizens.
With four decades of successful corporate
engagements, ICCR is uniquely positioned to
help pharma companies negotiate these challenges.
Says Sr. Barbara Aires of the Sisters of
Charity of St. Elizabeth, “We believe the holders
of patents for life-saving medicines have a
responsibility to make sure their medicines are
accessible to all those in need. We have been
encouraging them to develop and participate
in new models that strike a balance between
profits and public health needs.”
As faith-based investors with ministries
in many developing nations, ICCR members
witness the undue disease burden borne by the
world’s poorest and most vulnerable populations.
That experience leads members to push
for innovative approaches to public health
crises in both domestic and emerging markets.
In 2010 the groundbreaking UNITAID
Medicines Patent Pool Foundation was
launched to increase access to the newer
antiretroviral medicines needed to treat HIV
and AIDS, and to encourage the development
of pediatric formulations. In February 2011,
ICCR hosted an invitation-only roundtable
urging companies to join the Patent Pool and
discuss new ways to promote access to medicines
in the developing world. This “Roundtable
on New Mechanisms” brought together
institutional investors, pharmaceutical companies and non-governmental
health organizations from the
US and Europe.
“We have a unique power
to convene different stakeholders,”
says Cathy Rowan
of Trinity Health. “Both as
long-term investors in these
companies and allies with the
NGOs engaged in the struggle
to improve access, we have a
legitimate and respected voice
in the conversation.” The
event was held in conjunction with Oxfam
America, Knowledge Ecology International,
and the Access to Essential Medicines Campaign
of MSF/Doctors Without Borders.
The Roundtable focused on finding sustainable
business models that allow pharmas
to compete yet increase the availability of low
cost alternatives in the countries hardest hit
by life threatening pandemics. Discussion
ensued regarding the best ways to develop
drugs, price them, and manage corporate intellectual
property - the three elements at the
core of the pharmaceutical industry business
model. According to a pharma representative
in the room “There are very few forums
where industry can sit down with civil society
organizations and discuss this very important
issue in a transparent, fair and objective way—
the roundtable achieved that, much to ICCR’s
credit.”
Effective strategies discussed included
partnering with generic manufacturers to
fulfill medicine needs, or partnering with civil
society and government to accelerate neglected
disease research, and exploring Base-of-
The-Pyramid sales strategies.
In July of 2011, ICCR saw its first major
breakthrough when Gilead Sciences became
the first company to join the Pool, sharing
licenses for its vital HIV and Hepatitis B
drugs. Said Judy Byron, OP, of the Northwest
Coalition for Responsible Investment, “We
commend Gilead Sciences for its continuing
leadership in global health. This decision puts
access to medicines at the heart of their business
model.” The agreement allows for the
production of the HIV medicines tenofovir,
emtricitabine, cobicistat and elvitegravir and a“cocktail” of the four known as the “Quad”:
the latter three medications are in clinical
development and the licensing of these drugs
will “significantly accelerate availability” according
to Ellen T’Hoen, Executive Director
of the Medicines Patent Pool.
Yet, challenges remain. Says Lauren Compere
of Boston Common Asset Management, "In the years ahead, pharmaceutical companies
must find a balance between the desire
to protect both profits and their valuable
intellectual property and the moral mandate
to support potentially viable delivery systems.
Companies must rise to the challenge.”
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