Merk slashes AIDS drug price. Thailand charges VAT on them?

Merck lowers price of patented Aids medicine - The Nation

Company will also offer free drug package for 2,500 children

After months of negotiations, the Public Health Minis-try has finally succeeded in making the giant drug firm Merck lower the prices of its patented HIV/AIDS drug efavirenz. The company will also offer a special package to provide free Aids drugs to 2,500 children, said the chairman of the ministry's committee on compulsory licensing.

Dr Vichai Chokewiwat, also chairman of the Government Pharmaceutical Organisation (GPO) board, said yesterday that Merck's Thai subsidiary, MSD Thailand, had agreed to cut the price of efavirenz to Bt767 per patient per month, almost half its original price of Bt1,400. The new price includes value added tax.

Vichai said the new price had been "offered verbally" yesterday by MSD Thailand to Dr Siriwat Thiptaradol, secretary-general of the GPO, yesterday.

Besides slashing the price, Merck offered a special package to give the liquid version of efavirenz free to 2,500 children infected with HIV, and to sponsor a programme to diagnose children as HIV positive and provide other treatment to children with HIV.

Vichai said that although the latest price offered by MSD Thailand was still 5 per cent higher than the generic version it was likely the ministry would buy the Aids drug, which has been put under compulsory licence, from MSD Thailand as the special package offered by the company was so "interesting".

However, he said, Merck still has to officially submit its offer in writing by June 12 to the ministry's committee on price negotiation for patented essential drugs.

Efavirenz was the first drug patent that Thailand decided to ignore by allowing a cheaper generic version to be imported for patients under three government programmes: the universal health scheme, the social-security fund and medical-welfare benefit for state officials.

The process, called compulsory licensing, is allowed by the World Trade Organisation's agreement on intellectual property rights.

Around 20,000 Thais, including some 13,000 on the government programmes, take efavirenz.

Early this year, the first lot of 16,000 doses of generic efavirenz were imported from India at Bt670 a dose, including tax and transportation and other related expenses.

The Nation

Does Thailand charge Value Added Tax on drugs? My hospital bills do not show any VAT.

Similar Threads:

• BBC3 TV tonight 12.05am - Thailand's Drug Craze - Yaba
• HIV/AIDS INFORMATION AND HELP THAILAND
• Solaraze prescription drug available in Thailand?
• Drug 'set ups' in Thailand
• HIV/AIDS, Thai strain? no help for drug users in Thailand?

[Hmmm]

Merck lowers price of patented Aids medicine - The Nation

"After months of negotiations, the Public Health Minis-try has finally succeeded in making the giant drug firm Merck lower the prices of its patented HIV/AIDS drug efavirenz."
...
"Efavirenz was the first drug patent that Thailand decided to ignore by allowing a cheaper generic version to be imported for patients under three government programmes: the universal health scheme, the social-security fund and medical-welfare benefit for state officials.
The process, called compulsory licensing, is allowed by the World Trade Organisation's agreement on intellectual property rights."

"After months of negotiations ..." ? Hmmm. So that would suggest that it was perhaps "misinformation" when the US government report asserted that there was a lack of "transparency and due process" in the Thai government's legal compulsory licensing under WTO rules. Fancy that.

http://www.asiasentinel.com/index.php?o ... &Itemid=31

Life may be getting a little more bearable for some Thai AIDs sufferers.