Erika Check, Washington
Nature Vol. 429
May 6, 2004
The National Institutes of Health (NIH) has been asked to step in and
halt the spiralling cost of AIDS medications in the United States. Under
a 1980 technology-transfer law, the biomedical research agency can
arrange for the generic production of pharmaceuticals whose invention
was based on NIH-funded research, if the existing manufacturer will not
provide the treatment on "reasonable terms". In January, Essential
Inventions, a non-profit group based in Washington DC, asked the NIH to
invoke these ‘march-in’ rights with regard to the AIDS drug Norvir, made
by Abbott Laboratories of Abbott Park, Illinois. Last December,Abbott
raised the US price of Norvir treatment from $1.71 to $8.57 per day.
The NIH will discuss the request at a public hearing at its headquarters
in Bethesda, Maryland, on 25 May.Abbott says the price rise is necessary
because the drug is used in low doses, resulting in lower sales. The
request’s supporters include Sherrod Brown (Democrat, Ohio), the senior
minority member of the House of Representatives subcommittee,which
oversees the NIH."When a company raises the price of an essential
medicine by 400%, it gets anybody’s attention,"Brown says. Taxpayers pay
for biomedical research, he says,"but we never invoke the mechanism that
would bring prices down for the public". The price increase angered AIDS
activists because Norvir boosts other AIDS drugs called protease
inhibitors - so all patients taking these are affected. The issue also
coincides with a national argument over drug pricing in the run-up to
November’s elections. That environment could make it hard for the NIH
and its parent agency, the health department, to turn down the
request.Health secretary Tommy Thompson "would have to say yes, it is
reasonable for an invention to be ten times more expensive here than in
other countries, even if US taxpayers funded it", says James Love,
president of Essential Inventions. Abbott says the price increase will
not affect uninsured patients,who get the drug free, or others who get
it under government programmes.
The company’s supporters say that the Bayh-Dole Act,which contains the
march-in clause, was not meant to control drug prices. Joseph Allen,
president of the National Technology Transfer Center in Wheeling, West
Virginia, and a former Senate staff member who worked on the act, says
the phrase "reasonable terms" was not supposed to embrace price
increases. Love agrees that the question of what constitutes "reasonable
terms"will be crucial to the outcome of the request. But he argues that
Abbott is trying to quash competition by charging more to patients who
use Norvir to boost other protease inhibitors, rather than using
Abbott’s own treatments,which incorporate the drug."This is designed to
prevent people from buying non-Abbott protease inhibitors," he says."If
this doesn’t trigger the march-in, nothing does."