Important note: Information in this article was accurate in 2002. The state of the art may have changed since the publication date.
PRNewswire - November 21, 2002
"We salute all the Treatment Action Campaign activists and advocates who spoke out yesterday against GlaxoSmithKline's AIDS drug pricing and policies in South Africa and around the world," said Michael Weinstein, AIDS Healthcare Foundation president. "In July of this year, AHF filed a patent lawsuit in Federal Court here in the United States to invalidate GSK's fraudulent and immoral patent on AZT in the U.S. TAC has filed a similar suit against GSK in South Africa. It is likely that by standing together and through these collective actions-protests, pickets, lawsuits-that we may truly achieve meaningful progress against Glaxo to reduce prices and increase treatment access worldwide."
At the South African protests yesterday, TAC officials presented a memorandum to GSK representatives. Following are excerpt from the memorandum:
TAC's Memorandum to GlaxoSmithKline South Africa (Pty) Ltd (GSK) and The Glaxo Group, United Kingdom
20 November 2002
EXCESSIVE PRICES OF MEDICINES ARE RESPONSIBLE FOR THE DEATHS OF MILLIONS IN SOUTH AFRICA! STOP PROFITEERING NOW!
Out of a population of about 46 million, approximately 5 million South Africans are living with HIV/AIDS. Current estimates suggest that at least 500 000 South Africans need antiretroviral (ARV) treatment ... .
... About 300 000 South Africans died of AIDS related illnesses in the past year. However, the pharmaceutical industry remains the most profitable industry in the world. For the past five years, the profits of the pharmaceutical industry have continued to increase, even in the face of global economic decline and market failure.
In 1999, GSK made US$245 million in profits from the sales of Combivir alone. Despite the massive profits made from manufacturing and selling drugs such as AZT, GSK continues to charge excessive prices, making it impossible for many people living with HIV/AIDS with little or no income to afford buying these medicines ...
... Through the Competition Commission complaint, we aim to challenge the abuse by the pharmaceutical industry of their dominant market position as well as challenge the excessive prices charged for life saving and essential ARV drugs. GSK charges ZAR 9. 70 for one tablet of AZT, while the WHO pre-qualified generic version of AZT costs only ZAR 2, 59. Taking into account that AZT has been on the market for more than 10 years now, the need to accrue additional research and development costs can no longer be used to justify these high prices.
Other generic companies, which are unable to enter the market because of the monopoly that GSK enjoys, are able to produce generic AZT at much lower prices. Your profits are unjustified ...
We (TAC activists) demand GSK to:
Issue non-exclusive voluntary licenses on the medicines that are the subject of the complaint on a 5% royalty fee basis.
We believe that the voluntary license offered to Aspen Pharma-care is a mere transfer of GSK's monopoly. The fact that it is limited to the public sector and NGOs and only for domestic use shows that it is not a genuine offer to expand access to treatment to all people living with HIV /AIDS in need of ARV drugs ... .
Signed: Ntombi Mbuthu (in Durban), TAC Provincial Executive member; Nomfundo Dubula (in Cape Town), TAC Treatment Literacy Co-ordinator, Western Cape; Mandla Majola (in Durban and Cape Town), TAC Provincial Co-ordinator
AIDS Healthcare Foundation-is the largest specialized provider of HIV/AIDS medical care in the United States. AHF serves thousands of patients in California, New York and Florida regardless of their insurance status or ability to pay. In addition, AHF currently operates two free AIDS treatment clinics in Africa: the Ithembalabantu (Zulu for "people's hope") Clinic in KwaZulu Natal, Durban, South Africa & the Uganda Cares Healthcare Center in Masaka, Uganda. http://www.aidshealth.org .
SOURCE AIDS Healthcare Foundation
Web Site: http://www.aidshealth.org
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PR021135
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