IPR LIMITS II

In last week's Veja magazine (Revista Veja, ano 38, no. 36, Ed. Abril, p. 69), André Petry criticized the Brazilian government hesitancy to require compulsory licensing on AIDS drugs, specifically for Merck's Efavirenz and Abbott's Kaletra. Petry denounces these laboratories' drug price proposals and market practices. In spite of Health National Counsel's decision, taken on August 11th, to recommend the immediate compulsory licensing of Kaletra and another two AIDS drugs, the Health Ministry did not took any step further. These drugs are responsible for 65% of the full medication costs. If they were produced in Brazil, the government would save up around USD 85 million a year.

For Petry, the motive behind Brazilian government's attitude reflects the fear of US government's commercial retaliation...