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9 August, 2005ICEM News release No. 20/2001
Trade unions in the world's pharmaceutical industry have welcomed the decision by 39 leading drug companies to drop their lawsuit against the South African government.
And the 20-million-strong International Federation of Chemical, Energy, Mine and General Workers' Unions (ICEM) today launched a campaign for a new global initiative against HIV/AIDS. The ICEM represents pharmaceutical workers worldwide.
The unconditional ending of the court case by the companies sets an important precedent for access to medication in developing countries.
To protect their patents, the major drug corporations had been seeking to stop the implementation of a South African law aimed at providing cheaper medicines. The law, which can now go ahead, permits the country's health minister to use parallel importation of drugs, compulsory licensing and generic substitution (cut-price "copy" drugs) where necessary.
The measure is particularly important to the fight against HIV/AIDS in South Africa, which has one of the world's highest rates of HIV infection.
A wide range of organisations had pressed the companies to drop the case. Prominent among the campaigners were the South African trade unions and the ICEM.
At a brief court hearing in South Africa today, the companies unconditionally withdrew their lawsuit, and agreed to pay the South African government's costs.
"The companies took the right decision," said ICEM General Secretary Fred Higgs in Tokyo today.
"Many pharmaceutical companies are already mobilising to make effective treatments available in developing countries at affordable prices," Higgs pointed out. "Those efforts deserve full recognition. The world's pharmaceutical workers are doing a vital job. They want to be proud of their industry.
"Lawsuits against developing countries are not the way forward," Higgs said. "Neither are cases brought through the World Trade Organisation. The WTO should refuse to consider any cases that aim to reduce access to affordable medication.
"As part of the ICEM's programme to combat HIV/AIDS, we believe that South Africa and other countries must have the right to buy the appropriate pharmaceuticals at prices that they can afford," Higgs emphasised.
"The pharmaceutical companies should build new alliances with governments worldwide in the fight against AIDS and other diseases that threaten humankind," Higgs said. "The ICEM is now calling for a new intergovernmental committee at the ministerial level - perhaps under the auspices of the World Health Organisation - to produce a coherent global policy for tackling AIDS. Its remit must include getting effective drugs to developing countries at affordable prices. We want the pharmaceutical companies to play a full and active part in this initiative, and I will be contacting them to that effect immediately."