*EPF211 09/02/2003
Texts: Zoellick, Deily Welcome WTO Generic Drug Agreement
(Say pact meets needs of poorest while protecting intellectual property) (830)

U.S. Trade Representative Robert Zoellick welcomed the August 30 agreement by World Trade Organization member representatives in Geneva to ease the rules governing sale to developing countries of generic drugs for treating AIDS and other major life-threatening diseases.

Zoellick said the agreement strikes a balance between meeting the needs of poor countries and protecting the intellectual property of the pharmaceutical industry. "The consensus now reached in the WTO is a big step forward, removing a major hurdle to a successful Ministerial in Cancun and the overall Doha negotiations," he said. The Cancun, Mexico, WTO ministerial is scheduled for September 10-14.

Deputy U.S. Trade Representative and Permanent U.S. Representative to the WTO Linnet Deily, in a separate statement, said "The decision will ensure that patent rules do not prevent a country that lacks capacity to produce medicines for itself from obtaining them from abroad. At the same time it will put appropriate safeguards in place to ensure that the solution will be used only for its intended purposes."

Following are the texts of the Zoellick and Deily statements:

(begin Zoellick text)

Statement of U.S. Trade Representative Robert B. Zoellick
August 30, 2003

"The issue of drug patents and access to medicines has been a top concern in the WTO for the last few years.

"Striking the right balance between addressing the needs of the poorest countries while ensuring intellectual property protections that foster the future development of lifesaving drugs had eluded us. The United States, working with other WTO members and our pharmaceutical industry, has strived to bridge the many differences and sought to develop with others constructive ideas about how to move forward.

"I'm very pleased that today we've been able to strike this balance. The consensus now reached in the WTO is a big step forward, removing a major hurdle to a successful Ministerial in Cancun and the overall Doha negotiations.

"I want to compliment the U.S. Ambassador to the WTO, Ambassador Linnet Deily, who worked many hours with developing countries, without which this would never have been brought to conclusion. The United States government appreciates the cooperative leadership of the executives of the pharmaceutical companies who are committed to developing the medicines of the future while helping those most in need today.

"I encourage everyone to continue in the same spirit to open markets for farm products, and goods and services, so that we can truly fulfill the promise and ambitions of Doha and promote global development and growth."

(end Zoellick text)

(begin Deily text)

Statement by Ambassador Linnet F. Deily
Permanent Representative to the World Trade Organization
Deputy U.S. Trade Representative

Statement on the WTO General Council Decision on TRIPS and Health
August 30, 2003

We welcome today's decision and are pleased that all the Members of the WTO have come together to resolve this very complex and important issue. Over the past eight months, many participants from our government, from other countries, and from the pharmaceutical industry, have worked together to find a constructive balance that ensures access to medicines by those most in need while not undermining intellectual property rights that foster the research and development necessary to produce life saving drugs.

Today's decision by the General Council strikes exactly that appropriate balance. The decision will ensure that patent rules do not prevent a country that lacks capacity to produce medicines for itself from obtaining them from abroad. At the same time it will put appropriate safeguards in place to ensure that the solution will be used only for its intended purposes.

We recognize the fine leadership and diplomatic skills that Ambassador Perez Motta and Ambassador Menon have contributed, as well as the support and counsel provided by the other Ambassadors with whom we have worked so closely to devise this solution. They richly deserve the thanks and praise they received from all of us earlier this week -- and that appreciation is especially heartfelt from me.

We have traveled a long road together from the beginning conversations pre-Doha to our conclusion today but none of us have lost the vision of our original concerns in responding to the horrific ravages that HIV/AIDS, tuberculosis, malaria and other epidemics have brought to our world and particularly to the continent of Africa.

All of us were touched yesterday when our friends from Africa reminded us of how this decision has been all about their urgent needs, and we are pleased that we have all found the means to reach out and help address those needs. I thank them personally for their patience and their understanding.

Today's action demonstrates how the Members of the WTO can and do come together to promote the greater good. I can think of no finer way to finish our work here in Geneva as we prepare to head off for the Cancun Ministerial Conference.

(end Deily text)

(Distributed by the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)

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