Number: RL33750 Title: The WTO, Intellectual Property Rights, and the Access to Medicines Controversy Authors: Ian F. Fergusson, Foreign Affairs, Defense, and Trade Division Abstract: Developed country pharmaceutical industries view the TRIPS agreement as essential to encourage innovation in the pharmaceutical sector by assuring international compensation for their intellectual property. Without such protection, industry claims it could not recoup the high costs of developing new medicines. Producers have unilaterally undertaken to reduce prices for certain HIV/AIDS medicines, but these efforts at differential pricing have not been systematic. The United States has been forceful in defending the interest of the U.S. pharmaceutical industry in the negotiations. In December 2002, the United States blocked a compromise on the compulsory licensing issue to which all other nations had agreed; however, it was also the first nation to ratify the December 2005 amendment. In the 109th Congress, legislation was introduced (S. 3175) to establish procedures to grant compulsory licenses for exporting patented pharmaceutical products under the WTO Decision. This legislation was not acted upon in the 109th Congress, and has not been reintroduced in the 110th Congress. Pages: 8 Date: January 22, 2008