Brazilian Compulsory Licensing Law Approved

The lower house of Brazil's Congress has approved a long-delayed new law that will allow the violation of patents on HIV/AIDS drugs manufactured by three US drugmakers. The measure was passed unopposed, and is expected to enjoy a relatively smooth ride in the country's Senate.

Research-based drugmakers have fiercely opposed the measure, with local association Febrafarma describing it as a "setback" and multinational sector group Interfarma pledging to try to halt the law in the Senate. The law, which claims a basis in the TRIPS intellectual property treaty, is likely to embitter already long-running and difficult negotiations between the government and multinational producers.

Brazil has pledged to begin production of all 16 of its HIV/AIDS treatment programme's antiretrovirals (ARVs) within one year, in line with clauses in the new law that state anti-AIDS drugs and their raw materials are non-patentable. Brazil spends roughly BRL1bn (US$410mn) per year on ARVs, and hopes to correct recent severe shortages of the drugs already produced by state-held firms in future.