William Haddad initiated the Hatch-Waxman
Act in 1984, which opened the floodgates
to cheaper, off-patent drugs in the US.
Dubbed the 'father of generics', Haddad
has passionately sided with Cipla's attempt
to make cheap copies of patented AIDS drugs
for poor nations. He speaks equally passionately
against multinationals who charge high prices
for their patented drugs. In Mumbai recently
to address the annual meeting of the Indian
Drug Manufacturers' Association, Haddad
who is also CEO of US generics manufacturer,
Biogenerics Inc, spoke to BW's Gauri Kamath.
Excerpts:
- What is the
next big thing that will shake up the
US pharma market?
Generic biotech. We can't get regulatory
approval for generics because the US FDA
hasn't created a pathway for approval.
We need a legislative measure for that.
The Hatch-Waxman Act, partly due to my
failure, never thought of biotech. If
we had put in a clause, that would've
covered it.
- What will
you do first to influence biogenerics
legislation?
We (Generic Biotechnology Association
of about 10 generics manufacturers) will
list steps to reach our goal and make
decisions. Whether we are going to fight
first in Europe, or the US depends on
where politicians are the weakest. I think
we'll push for the US since we have strong
support there. Don't expect major change
for another 18 months. Europe is accepting
biogenerics applications but there's no
approval process. They are sitting on
it. They were ahead of the US but have
now slowed down.
- Your company
is looking at India's capabilities for
making biogenerics?
I'd like to do raw materials in India,
because of price and talent. We will invest,
but with a partner.
- Will that
be Cipla or Wockhardt?
I am not sure. Several companies have
talked to us. I would say I like Cipla
but am not sure whether they want to do
biotech. I talked to Wockhardt officials
in New York during an investor's meet.
I want to see what their plants look like,
but I haven't done that yet. On paper
it has all the five products I am looking
for.
- What happened
to the initiative with Cipla to make AIDS
drugs cheaper?
We were very successful through every
kind of intimidation. The UN had set up
a programme called Accelerated Access
to Medicines with MNCs, which gave them
a monopoly in many countries at 10 times
the price that generic companies were
offering. We destroyed that. Indian companies
won when nine Andean nations and Mexico
had open bidding. At the WTO meet in Geneva,
the US told the poor nations that you
can name your epidemics and treat them.
In exchange you let us set up a pathway
of approval. So, we are back to square
one .
- Are drug
prices high in the US as no one else wants
to pay for research?
That's the argument used by MNCs to advance
their agenda. They need an alibi for high
prices in the US. They tell everybody
to change their social delivery system
to accommodate the US. Any nation that
does that is foolish. They have the opportunity
to delay us through legal techniques.
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