MOZAMBIQUE SETS UP ARV FACILITY WITH BRAZILIAN ASSISTANCE

Mozambique is planning to build a factory to manufacture genetic anti-retroviral drugs (ARVs). The facility will be the first of its kind in the country, and Brazil's government is providing technical assistance in the Portuguese-speaking African country. A 10-month, US$0.5mn feasibility study is already under way. However, a crucial factor will be whether the ARV plant can sell in the region as well as domestically.

Brazil has expanded its own ARV production in recent years, mainly due to its successful free treatment programme, and has repeatedly threatened to break patents on innovative AIDS drugs. In August 2004, Brazil cancelled its US$331mn debt with Mozambique.

Around 12% of Mozambique's population -- some 1.2mn people -- is HIV positive. Last year, the government spent US$4mn on AIDS medication, treating just 7,000 patients. This year, US$7mn has been allocated for treatment, which should result in 20,000 patients receiving ARVs.

Meanwhile, US-based charity the Clinton Foundation is committed to ensuring Mozambique receives ARVs at the lowest possible price. The Clinton HIV/AIDS initiative is also to spend an estimated US$330mn implementing large-scale care, awareness and treatment programmes in Africa.