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India's government has revoked the patent on Roche's (RHHBY.OB) expensive Pegasys drug for...

India's government has revoked the patent on Roche's (RHHBY.OB) expensive Pegasys drug for hepatitis C, part of a series of revocations for multinational drug companies' expensive treatments in the country. India's drug market is expected to grow to $74B in 2020 from $11B last year.
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Comments (16)
  • rrryan
    , contributor
    Comments (56) | Send Message
     
    an exciting development.
    3 Nov 2012, 09:10 PM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    Roche is large enough to raise an army. It's time for investors to assert themselves on the world stage, and this is the perfect opportunity. Confiscatory governments need to go to the gallows.
    4 Nov 2012, 12:51 AM Reply Like
  • American in Paris
    , contributor
    Comments (5494) | Send Message
     
    Governments sometimes have the right to confiscate. Do you really knows the details of this case. Probably not.

     

    Moreover, I have real doubts about current patent protections. They may very well excessive given the phenomenal rates of return earned by pharmaceutical.

     

    A patent is a tradeoff: it creates a monopoly, temporary or permanent, to spur innovation. I don't see current patent law as a sacred cow.
    4 Nov 2012, 08:01 AM Reply Like
  • Energysystems
    , contributor
    Comments (1729) | Send Message
     
    Governments do not have the right to confiscate.
    4 Nov 2012, 11:13 AM Reply Like
  • blueice
    , contributor
    Comments (4163) | Send Message
     
    ES, is not amazing someone would utter such words!?!
    4 Nov 2012, 11:25 AM Reply Like
  • TAS
    , contributor
    Comments (2742) | Send Message
     
    If it isn't a sacred cow, my friend, you'd be treating cancer with aspirin and leeches.
    4 Nov 2012, 12:47 PM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    If you want to change the rules on what is patentable or for how long, fine. The position that patent protection is excessive is defensible. But make that change through legislation, and do so with an effective date far enough out that existing investment based on existing law is not devalued. Confiscation of this type should be met with confiscation of Indian government property by force. Governments are way too uppity; they need to learn that there are limits to their power and that they are entirely replaceable. In this case, it's corporations that need to teach them that lesson, but there are plenty of others in which the citizenry needs to do so as well.
    4 Nov 2012, 04:52 PM Reply Like
  • moneyTalksBSWalks
    , contributor
    Comments (193) | Send Message
     
    American taxpayers subsidize drug research for the rest of the world. The fact that this scam has continued for as long as it has demonstrates the power of drug firms here. As long as Roche, etc can bleed US patients dry, annoyances such as the Indian action don't matter, it is revenue at the margins only.
    4 Nov 2012, 03:17 PM Reply Like
  • Energysystems
    , contributor
    Comments (1729) | Send Message
     
    India is going backwards. Look at this, look at the crooked legislature attempting to bend over VOD. Multi-nationals have been put on notice by these actions and it only hurts the Indian people.
    4 Nov 2012, 04:14 PM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    India's is as rotten a government as any that has ever been in power. It is Tammany Hall writ large. This has nothing to do with drugs and everything to do with a government that is out of control and will steal anything and everything in sight.
    4 Nov 2012, 04:55 PM Reply Like
  • Energysystems
    , contributor
    Comments (1729) | Send Message
     
    I couldn't say it any better than you did, bearfund.
    4 Nov 2012, 09:45 PM Reply Like
  • rag2rag
    , contributor
    Comments (47) | Send Message
     
    patents exclusivity is a grant by the government on behalf of its people, in this case I agree with any government which NEEDs to regain control of a right given. Principle of eminnent domain for Real Estate property rights has been upheld by the courts several times and I do not see any difference here
    4 Nov 2012, 06:28 PM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    The analogy is a poor one.

     

    1. In eminent domain seizures, fair compensation must be given, typically FMV, and that compensation can be reviewed by the courts. No compensation is being given or offered here.

     

    2. Unlike real property, technical innovations exist only because of investment; that investment is made in part on the basis of the ability to obtain and enforce patents.

     

    3. Eminent domain is primarily a tool for corrupt politicians to enrich themselves and their cronies at the expense of property owners, and cannot be held up as an example of good public policy. The world would be a far better place without it.

     

    The problem here is the balance of power. There is nothing to prevent a corrupt, populist, or other defective government from simply declaring that their country will offer no patent protection and will produce drugs itself. Simply refusing to do business in or with that country doesn't help; unless the manufacturing process is beyond their technical abilities, they can just make their own and pay nothing. It's a classic freeloader problem, and India's policy in this area is deliberately exploitative. The only solution is the use of devastating force against India and the confiscation of its property in sufficient quantity to not only obtain compensation but also to set a compelling example; prisoners should not be taken and losses should be crippling.
    4 Nov 2012, 08:02 PM Reply Like
  • blueice
    , contributor
    Comments (4163) | Send Message
     
    Rags, right on man, power to the people...We the people will produce drugs or our underlings - the government... Who needs the middle man...
    5 Nov 2012, 01:15 PM Reply Like
  • moneyTalksBSWalks
    , contributor
    Comments (193) | Send Message
     
    Bearfund what are your views on China which blatantly allows bootlegged copies of software, movies, etc. Your suggested remedies are sure to start a trade war and perhaps even more hurting all parties. To say nothing about other ways that our largest creditor can squeeze us - something that the tone deaf Romney apparently does not get. India turns a blind eye too on this but not at the scale that China does. While your indignation is rightful, your remedies to be quite honest are not possible. Corporations do not yield that kind of power. Whether the current patent rules are excessive or not is a matter of opinion but what is undeniable is that most countries including India are not going to let pharma majors gouge the consumers. The advantage India has over the smaller nations is that the local pharma firms are very adept at reverse engineering and the manufacturing process.
    4 Nov 2012, 10:07 PM Reply Like
  • bearfund
    , contributor
    Comments (1534) | Send Message
     
    money, I posted an answer here, but the Chinese army of comment board prowlers had it removed because it called out China for what they are, which they of course consider insulting and/or abusive even though my post was absolutely on the topic of international trade and directly relevant. You can probably guess what I think. And this behaviour is not at all unusual; they have millions of people who simply crawl message boards everywhere and immediately report as abusive anything less than complimentary toward China. What's scary is that editors allow them to get away with it. Suffice it to say, their actions simply provide confirmation of my opinion of their strategy.
    5 Nov 2012, 12:57 AM Reply Like
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