Pharmaceutical companies in Karnataka have welcomed the ordinance on patent issued by the Centre last Sunday to fall in line with WTO obligations. The new patent regime thus takes effect from January 1,2005 for pharmaceutical and food industries.
With the Patents Ordnance, the future of the industry in post 2005 will depend on each unit's capability to evolve as a global player in new drug discovery, pilot custom production of drugs for pre-clinical-clinical studies, and collaborative R&D alliances. The process will transform India to a global player in generics despite competition from other countries, stated S Sathyanarayana, Setty, director- operations, Remidex Pharma.
The patent law change is good development for the pharma industry as it will bring in novel products and more job works. The exports business will be buoyant. Of course, ultimately, it is a test case for the Central Government to ensure that the Patent Bill is passed in the Parliament, stated Sunil Mundra, managing director, Natural Capsules.
The Ordinance brings patent laws into compliance with commitments under the WTO agreement. We just have to accept and work on it. There is no other choice for companies. Patents are the in-things in the West and India cannot be left behind. The industry had been expecting this. With the Ordnance issued now, industry needs to gear up and face the patent regime, opines N Jatish Seth, secretary, Karnataka Drugs and Pharmaceuticals Manufacturers Association (KDPMA).
According to Suresh Khanna, past president, KDPMA, the patent ordinance will provide an impetus to research and development with the development of newer drugs.
"Another key issue is that once the overseas pharma companies are sure that their patents are protected, there will be a greater chance for joint development of drugs, which could eventually lead to contract manufacture. Secrecy of patents would also augment clinical trial business," he added.
The patents era unfolds tremendous opportunities for India in the areas of contract research and contract manufacture, which is the positive angle of the Ordinance. However, the negative impact will be on patients as the prices of new drugs would definitely escalate in a monopoly market. Doctors will have to rationalise prescribing such products as healthcare costs are going to surmount, informed Shailesh Siroya, managing director, Bal Pharma.
The Patents Ordinance was expected and we all knew it was on its way. The impact is not immediate, it will take some time for companies to face the brunt of it, stated G Jayaraj, general manager -Products, Micro Labs.