15 February 2007

Price gouging or just good business?

Swiss drugs giant Novartis is fighting a case in the Indian High Court which could have far reaching implications for access to medicines in India and other emerging economies. India will not grant a patent to a new medication unless it is "genuinely innovative". At issue is Novartis's cancer medication Glivec which was denied an Indian patent on these grounds as it represented a minor modification to an existing drug. Glivec, treatment with which costs £15,000 per annum, is currently being produced in India by generic manufacturers. Novartis best tread carefully as they appear to being on the brink of incurring the wrath of US Representative Henry Waxman, a fate I would not wish on anyone.

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