Cheap AIDS Drugs On The Way

Former President Bill Clinton's foundation said Tuesday special drug prices it has obtained for some HIV/AIDS patients are being extended to all poor countries covered by U.N. and other partner organizations.

"With these agreements, we are one step closer to making sure future generations can live without the scourge of AIDS," Clinton said in a statement released by his U.S.-based foundation.

The foundation negotiated reduced prices for its work in 16 countries in the Caribbean and Africa last year. They will now be available to any country supported by UNICEF, the World Bank and the U.N.-administered Global Fund to fight AIDS, tuberculosis and malaria.

"We are hopeful that developing countries and those who support them in the fight against AIDS will take full advantage of this agreement and act quickly to do all they can to help in this fight," Clinton said.

In developing countries other than Brazil, which provides free treatment to all HIV/AIDS sufferers, fewer than 200,000 people receive the basic antiretroviral treatments recommended by the World Health Organization, even though almost 6 million people need it.

WHO has set itself the goal of seeing 3 million people getting the drugs they need by 2005.

Under the Clinton Foundation agreement, five generic drug manufacturers — Pharmacare Holdings of South Africa and the Indian companies Cipla, Hetero Drugs, Ranbaxy Laboratories and Matrix Laboratories — provide basic HIV treatment for as little as $140 per person per year — one-third to one-half of the lowest price available elsewhere.

Diagnostic tests are supplied by five different companies and include machines, training, chemicals and maintenance at a price that is up to 80 percent cheaper that the normal market price.

Developing country governments and aid agencies that want to benefit from the program can contact the Clinton Foundation directly. They must provide guarantees of payment and ensure the security of drug distribution to prevent the medication being smuggled back to rich nations and sold for huge profits.

"This new partnership works to break down some of the barriers — such as price, supply and demand — that are impeding access to lifesaving AIDS medicines and diagnostics in developing countries," said UNICEF Executive Director Carol Bellamy.

Stephen Lewis, the United Nations' special envoy for HIV/AIDS in Africa, welcomed the fact that the drugs will come from generic suppliers.

"Clearly when you have the power, the imprimatur and the dollars of the Clinton Foundation, World Bank, UNICEF and Global Fund weighing in behind generics, the debate is over," he said.

"These four bodies make it clear ... that brand name companies are free — indeed invited — to tender, and to meet the low prices. But it's equally clear that huge numbers of African lives will be prolonged and saved by generics."

Brand name pharmaceutical companies have joined in efforts to provide drugs more cheaply in poor countries, but insist that generic manufacturing of patented drugs reduces the incentive for companies to pour millions of dollars into research.