BRASILIA, June 25 (AFP) - Brazilian Health Minister Humberto Costa signalled his government was set to move to break the patent on Abbott Laboratories' Kaletra AIDS drug because it would reduce treatment costs.
Citing "public interest," Costa said the Brazilian government would likely break the patent on Kaletra, but that the US group Abbott had 10 days in which to respond and seek a negotiated agreement.
"The Brazilian government will adopt a compulsory licence for the treatment if the manufacturer (Abbott) does not accept the presented terms to guarantee the sustainability of the national program to combat AIDS," Costa told reporters at a news conference on Friday.
The government said it needs to find a way to reduce the costs of the treatment, which it says is too expensive.
In a statement, Abbott said patients would lose out in the long run if the Brazil breaks the Kaletra patent.
"The discovery and development of innovative new treatments depends on the reasonable return on investment for existing treatments," the Chicago-based drug-maker argued.
"There are significant consequences for patients, such as the development of viral resistance, that must be considered when evaluating unproven, alternative formulations of HIV medications," it added.
Brazil already receives Abbott treatments at prices that represent a financial loss to the company, the statement said. It sells Kaletra to Brazil "for the lowest price in the world" outside of Africa and UN-designated least developed countries, it said.
"Abbott remains willing to work with the government to find a mutually agreeable solution," it added.
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