Breathe a Sigh of relief

Breathe a Sigh of relief

India's pharmaceutical industry exports cheap generics to many countries in Africa and Latin America. Generics are copies of drugs that no longer enjoy patent protection.


Some of the generics exported by India continue to enjoy patent protection in the European Union. The Customs authorities of some of these countries have therefore confiscated the consignment of such drugs on the way to other countries through European ports for violating their intellectual property rights.

The seizures took place following complaints by pharmaceutical giants holding patents to the medicines in Europe including Sanofi-Aventis SA , Novartis AG and Eli Lilly & Co. This had created uncertainty for India's Rs 40,000 crore generics export industry following at least 17 cases of seizures of consignments in the Netherlands, Germany and France over the last two years.

India protested strongly against the confiscations, which it termed illegal, as the generics were off patent in India and were not meant for sale in the EU. It also raised humanitarian concerns, arguing that countries in Africa and Latin America do not have the capability to manufacture these life-saving medicines and cannot afford the patented alternatives.

India even took the issue to the World Trade Organization (WTO), arguing that the seizures amounted to violation of the international intellectual property agreement, Trips, and asked the EU for consultations.

Source