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Indian Company Offers to Supply AIDS Drugs to Medical Relief Agency at 3.5% of Cost in Western Countries

HeadlineFeb 08, 2001

In a challenge to big drug manufacturers, an Indian company is offering to supply AIDS drugs to a medical relief agency at 3.5% of the cost charged in Western countries, as long as they’re distributed for free. The Bombay Cipla Limited will sell the three-drug antiretroviral cocktail to Doctors Without Borders for $350 a year per patient, instead of the $10,000 to $15,000 charged in the United States and Europe. The decision could revolutionize the treatment of HIV patients in developing countries, where the virus is most rampant, but it’s unclear if the companies holding patents on the drugs will go along. Bristol Myers Squibb, GlaxoSmithKline and Boehringer Ingelheim all hold patents on the drugs in the cocktail. Under WTO rules, if a country fails to enforce international patent laws, punitive trade sanctions could be imposed. But whether the big drug companies pressure their national governments to bring a case in the WTO remains to be seen.

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