Taking a stand on overpriced pharmaceuticals

We already know how ridiculously high some brand name drugs are in the United States. Now countries that import these drugs are taking a stand - specifically, Brazil is taking a stand against Merck's anti-retroviral AIDS drug. Brazil's president signed a compulsory license allowing Brazil to break the patent Merck hold for this specific drug. (According to rules established under the Word Trade Organization, these licenses allow a country to "manufacture or buy generic versions of patented drugs while paying the patent holder only a small royalty" in cases of a health emergency or abusive pricing by pharmaceutical companies.)

Some may argue this is against rules and regulations, others may same it is against the spirit of capitalism. However, Brazil is not the first country to have done this. Thailand had previously "moved to override patents on three anti-AIDS drugs, including those made by Abbott Laboratories and Merck."

Isn't this a wakeup call to the pharmaceutical companies that their days of high prices are over? Just because they can charge high prices in the US due to a president who is biased in their favor, it does not mean they can do it internationally – especially with countries who WANT to help their low income people. As the president of Brazil said, "Between our trade and our health [interests], we chose to protect our health."

After numerous meetings with Merck and Merck's refusal to lower the cost per pill further (Merck was offering to lower the anti-retroviral AIDS pill to $1.10 per pill), Brazil decided on signing the compulsory license because "the price is unjust considering it can acquire the drug for $0.45 from generic manufacturers." Just imagine ... Brazil can acquire it for $.45 yet Merck wants to sell it to them for $1.10 -- almost 2.5 times the price they would pay if they acquired it from generic manufacturers!

Perhaps more countries – and us in the US – should take a stand against the high prices of pharmaceuticals.