Drugs rules under spotlight at WTO

Governments in the U.S. and Canada threatened to use generic versions of the patented Cipro drug

By CNN's Sonia Sequeira

Doha, Qatar (CNN) -- This week's meeting of the World Trade Organization will see intellectual property rights casting a shadow over negotiations.

Developing countries are demanding that laws surrounding drug patents be relaxed -- and are accusing drugs companies of deliberately keeping drug prices out of reach.

The debate over access to essential drugs has heated up with the pharmaceutical industry being accused of profiting from AIDS and bioterrorism.

Developing countries like Brazil have been at the forefront of the debate on overriding drug patents.

VIDEO Developing nations are demanding intellectual property rights be a key issue at the WTO summit. Sonia Sequeira reports. Play video (QuickTime, Real or Windows Media)   RESOURCES In depth: WTO in Doha    MORE STORIES Doha talks: Same again or new era?

Those are currently protected by a world trade agreement called TRIPS - trade-related aspects of intellectual property rights -- which guarantees a 20-year patent on medicines.

Win Gutteridge, Independent Consultant Win Gutteridge says: "There is undoubtedly a problem.

"Remember many, many of the medicines on the essential drugs list are generic products which are available at relatively low cost.

"But the more recent innovative medicines which will still be covered by patents, generally because their costs are high, are very expensive and very often at full price, beyond the means of many developing countries."

But the pharmaceuticals industry fears that overriding patents on medicines will jeopardize their profits and new research.

Dr. Harvey Bale, Director-General of the International Federation of Pharmaceutical Manufacturers Association says: "We need this intellectual property protection around the world, not necessarily in all the poor countries of the world, where companies are neither filing for this protection or the countries should perhaps be obligated to bring that protection into account.

But for middle-upper-income developing and developed countries this kind of intellectual property protection is absolutely essential for the industry."

But even developed countries are demanding fairer prices.

The latest drug in question is Cipro, the antibiotic treatment for anthrax made by Germany's Bayer.

Governments in the U.S. and Canada threatened to use generic versions of the patented drug.

But both countries risk being accused of double standards.

The U.S. defended the pharmaceutical industry when developing nations called for cheap HIV-AIDS drugs earlier this year.

The provision of cut-price medicines in poorer countries will hardly put a dent the $300 billion a year industry.

But companies are concerned that once patents are bypassed, the income and incentive for new research could be at risk.

However, according to the UK aid agency Christian Aid, patents can mean that many new technologies, including medicines, may not be made available at prices poor countries can afford for 20 year period.

The agency says patents are also given for plants and natural products which it says are usually seen as "belonging to everyone."

"By modifying one small aspect of the plant, an individual or company can then claim the patent."

But the WTO says rights in this area should be protected to stimulate innovation, design and the creation of technology.

The WTO says there is a "social purpose … to provide protection for the results of investment in the development of new technology, thus giving the incentive and means to finance research and development activities."