>Subject: WTO RULING HURTS CANADA'S GENERIC DRUG MANUFACTURERS - Ottawa > Citizen > >The Ottawa Citizen Saturday March 4, 2000 > >WORLD TRADE ORGANIZATION PATENT RULING HURTS CANADA'S >GENERIC DRUG MANUFACTURERS > > By James Baxter > > Canadian generic drug manufacturers were handed a >setback by the World Trade Organization yesterday after >Canada's patent regime was found to violate global trade >rules. > The WTO issued a confidential interim report to Canadian >trade officials stating that Canada's patent laws do not >respect its international obligations under the international >agreement on trade-related aspects of intellectual property, >known as the TRIPS Agreement. The WTO will issue a formal >report in mid-April. > While the ruling affects about 100,000 patents on a >variety of products, it is widely considered that it will have >its greatest effect on the pharmaceutical businesses. Generic >drug manufacturers, which make and sell versions of well- >known drugs once the patents have expired, have been >eagerly awaiting expiries on a host of drugs patented in the >late 1970s and early 1980s. The WTO ruling could delay the >availability of rights on some popular drugs by up to three >years. > Under TRIPS, which came into effect in January 1995, >Canada agreed to an international standard on patents being >for 20 years from the date the patent was filed. Prior to 1989, >Canada's patent laws granted 17 years of patent protection. > The U.S. protested that by not accepting the international >standard on pre-1989 patents, Canada was in a position to >claim a patent had expired in Canada when it was still in >effect in other countries. Canadian officials had countered >that, as patents can take up to five years from the time they >are filed to the time they are ultimately awarded, there was >not a substantive difference between the old laws and >Canada's obligations under TRIPS. > The WTO disagreed and will formally tell Canada to bring >its patents into line with international standards when it >issues its ruling publicly in April. Canada will then have 60 >days to appeal, which trade experts in Ottawa say is likely. > International Trade Minister Pierre Pettigrew refused >comment, except to say that Canada is reviewing the interim >report and preparing its comments for the panel. >
