http://www.guardian.co.uk/world/2013/apr/01/novartis-denied-cancer-drug-patent-india

Novartis denied cancer drug patent in landmark Indian case

Supreme court ruling paves way for generic companies to make cheap copies of
Glivec in the developing world

Sarah Boseley, health editor

The Guardian, Monday 1 April 2013 14.10 BST

Healthcare activists say the ruling against Novartis ensures poor people will
be able to access to cheap versions of cancer medicines. Photograph: Rajesh
Kumar Singh/AP

The Indian supreme court has refused to allow one of the world's leading
pharmaceutical companies to patent a new version of a cancer drug, a decision
campaigners hailed as a major step forward in enabling poor people to access
medicines in the developing world.

Novartis lost a six-year legal battle after the court ruled that small
changes and improvements to the drug Glivec did not amount to innovation
deserving of a patent. The ruling opens the way for generic companies in
India to manufacture and sell cheap copies of the drug in the developing
world and has implications for HIV and other modern drugs too.

Campaigners were jubilant. A ruling in Novartis's favour would have reduced
poor people's access to the drug, said Jennifer Cohn, of Médecins Sans
Frontières (MSF). "The fact that India says patents are to reward innovation
as opposed to small changes does stay true to the concept of what a patent
should be."

But Novartis said the decision "discourages future innovation in India".
Ranjit Shahani, the firm's vice-chairman and managing director in India, said
the ruling was "a setback for patients that will hinder medical progress for
diseases without effective treatment options".

He said the Swiss company will be cautious about investing in India,
especially over introducing new drugs, and seek patent protection before
launching any new products. It will continue to refrain from research and
development activities in the country. "The intellectual property ecosystem
in India is not very encouraging," Shahani told reporters in Mumbai after the
ruling.

Glivec is an important drug in the treatment of myeloid leukaemia and has
transformed prospects for patients in rich countries. It is a targeted,
biological therapy that blocks cancer growth in patients with a particular
gene mutation. But like all targeted therapies, it is very expensive, costing
more than £1,700 a month.

Historically India only had limited patent protection on drugs and generic
companies in the country made versions of many medicines. It was only when
Indian firms began to make cheap copies of HIV drugs that it became possible
more than a decade ago to contemplate the treatment of millions of people in
impoverished countries of Africa, where the Aids epidemic was at its worst.

But in 2005, India became compliant with World Trade Organisation rules on
intellectual property and now grants patents on innovative new drugs. Patents
usually run for 20 years or more from the date they are taken out.

Glivec was already on the market, however, so Novartis decided to seek a
patent on a slightly altered version, potentially giving it a longer period
of market exclusivity. The supreme court has thrown out the application,
saying the new drug is not significantly different from the old version, and
ordered Novartis to pay costs.

At stake in the legal battle was not just the right of generic companies to
make cheap drugs for India once original patents expire but also access to
newer drugs for poorer countries in much of Africa and Asia. India has long
been known as the pharmacy of the developing world.

Dr Unni Karunakara, the president of MSF, said: "The supreme court's decision
now makes patents on the medicines that we desperately need less likely. This
marks the strongest possible signal to Novartis and other multinational
pharmaceutical companies that they should stop seeking to attack the Indian
patent law."

In a statement, the Cancer Patients Aid Association in India (CPAA), which
had opposed the patent application, said: "We are very happy that the court
has recognised the right of patients to access affordable medicines over
profits for big pharmaceutical companies through patents. Our access to
affordable treatment will not be possible if the medicines are patented. It
is a huge victory for human rights."

The case hinged on the interpretation of section 3(d) of the Indian Patents
Act, which does not allow patents of new versions of known drug molecules,
unless they make the medicine significantly more effective than before.

Novartis argued that better physicochemical qualities, such as shape of the
molecule, stability, hygroscopicity and solubility, would satisfy the test of
enhanced efficacy.

But the court decided that the changes were simply an attempt at
"evergreening" – refreshing the drug so that a new patent would be granted –
which is common practice in Europe and North America.

Anand Grover, senior counsel and director of Lawyers Collective HIV/Aids
Unit, who represented the CPAA in the courts, said: "The supreme court's
interpretation of section 3(d) keeps it intact. It is alive and kicking. It
gives life to parliament's intent of facilitating access to medicines and of
incentivising only genuine research.

"By refusing patent monopolies on minor changes to known molecules, this
judgment will facilitate early entry of generic medicines into the market for
other medicines and diseases too. The impact will be felt not only in India,
but also across the developing world."

The ruling is thought likely to affect drugs belonging to several other
companies. Pfizer's cancer drug Sutent and Roche's hepatitis C treatment
Pegasys lost their patented status in India last year. They may now find it
harder to obtain a patent on new versions.

In an interview with before the ruling, Novartis threatened to stop supplying
India with new medicines if it did not get the patent protection it believes
its investment and innovation deserve. "If the situation stays as now, all
improvements on an original compound are not protectable and such drugs would
probably not be rolled out in India," Paul Herrling, who headed the company's
legal battle in India, told the Financial Times. "Why would we?"

Reply via email to