Boosting pharmaceutical innovation in the post-trips era; the real life lessons for developing world.

Abstract

The process of globalization and the emergence of a rules-based multilateral trading system pose significant challenges to local pharmaceutical industries in developing countries. With the advent of global patent protection for pharmaceuticals, developing countries are facing a significant dilemma. It is necessary for these countries to comply with international intellectual property standards while simultaneously protecting their local industries and, thus, ensuring an affordable supply of drugs. A better understanding of the nature of the Agreement on Trade Related Aspects of Intellectual Property (TRIPS Agreement) and its components could help to raise awareness of the need for a comprehensive innovation policy. It is widely accepted that intellectual property rights (IPRs) are economic assets. Furthermore, they are necessary to develop world-class standards of innovation and creativity. Nevertheless, this thesis argues that innovation is not driven by the presence of strong IPRs alone; it has many other components going far beyond the IPRs regime. Nonetheless, designing policies for the promotion of R&D and the building up of innovation capacities in developing countries requires a wellconstructed patent regime. However, it also requires the implementation of broadbased science, technology and innovation policy initiatives aimed at promoting and facilitating capacity building for the enhanced absorption of new technologies. To this end, this thesis investigates the concept of innovation and illustrates the crucial role that patent strategies play within processes of pharmaceutical innovation. Drawing on extensive country and company case studies, the thesis identifies the key issues relevant to the revival of local pharmaceutical industries. Based on an understanding of the post-TRIPS environment and case studies of national innovation strategies, this thesis specifically addresses the following question - to what extent can lessons from national experiences be transferred to current policy developments for innovation in the pharmaceutical industry in a developing country context? 4 The research findings aim to contribute significantly to the body of knowledge in relation to new developmental policies. Overall, it is hoped that these findings can promote innovation and ensure the sustainability of the local pharmaceutical industry in the developing world.