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ID:
136258
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| Summary/Abstract |
The paper analyzes the effect of India's membership in the World Trade Organization (WTO) and its signing of the TRIPs agreement on the pharmaceutical industry in general and the Indian sector in particular. First, it examines the effect of the implementation of the provisions of TRIPs on the growth of the national and multinational sectors of the industry. Second, it analyzes whether the new WTO rules will necessarily benefit pharmaceutical companies from the West, especially the United States and Switzerland, and whether there is evidence to support the assertion made by industry insiders that by 2015 multinational corporations will reestablish their monopoly of the industry by controlling at least 60% of the Indian market. Third, it investigates whether the multinational monopoly of the drug industry has had—or will have—a negative consequence for Indian consumers. Finally, the article examines the ways in which Indian companies are responding to the challenges of globalization and analyzes their new strategies, such as (1) outsourcing deals with multinationals to produce generic and patented drugs, (2) increasing R&D activities to enable them to make a transition from being drug “imitators” to drug “innovators,” (3) undertaking contract research, including outsourced clinical trials, (4) collaborating in joint R&D and product and process development to synergize their knowledge-base and effectively exploit available human resources and infrastructure (Ranbaxy's alliance with GlaxoSmithKline), and (5) undergoing a consolidation phase through indigenous mergers and acquisitions and strategic alliances.
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| 2 |
ID:
021576
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| Publication |
March 2002.
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| Description |
291-309
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| 3 |
ID:
138561
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| Summary/Abstract |
An enormous proliferation of Free Trade Agreements (FTAs) has been explicitly evident in recent years especially due to a reaction to the slow and disruptive process of trade negotiations in the multilateral forum i.e., the World Trade Organization (WTO). These FTAs now adopt Trade Related Intellectual Property Rights (TRIPS)-Plus provisions that include new areas of Intellectual Property (IP) rights protection and implementation of more extensive levels of IP standards beyond WTO TRIPS’s requirements, particularly in terms of elimination of options and flexibilities available under the WTO TRIPS. TRIPS-Plus provisions are conceived as stringent IP provisions aiming to harmonise global IP standards and enforce IP rights. Given the disparities and lack of progress regarding the implementation of IP protection, developed and industrial countries have pursued for stronger IP protections through entering into bilateral FTAs with the developing countries. In exchange of stronger IP protections, developed nations bilaterally offer greater market access for developing ones while the FTAs demand extensive adoption, amendment and invocation of intellectual property rights laws, institutions and enforcement mechanism. In this context, this paper attempts to analyse factors behind the adoption of TRIPS-Plus agreements and their impact on developing countries. The central research questions of this paper are: why does world community need TRIPS-Plus agreement? Does TRIPS-Plus agreement help to enforce Intellectual Property rights? Obviously opportunities like greater market access are lucrative from the developing country perspective; however, implementation of TRIPS-Plus provisions is squeezing TRIPS flexibilities available for them. Therefore, developing countries should adopt cautious measures during the negotiation phase with developed nations in order to continue to enjoy WTO TRIPS flexibilities particularly in the fields of pharmaceuticals and agriculture.
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