TODAY -

Patents or people: The conundrum of healthcare industry

Students of IIM, Indore *

 Patents or people: The conundrum of healthcare industry



The first traces of SARS-CoV-2 virus (severe acute respiratory syndrome coronavirus 2) were discovered in November, 2019 in Wuhan, China. Since then, the novel coronavirus disease (COVID-19) has transformed from a local disease into a global pandemic.

While countries across the world, rich and poor, are fighting the pandemic with all force, a common problem which stands in their way is the uneven distribution of resources and services in their societies. It is evident that a country cannot develop sustainably with the sole emphasis on the business motive of expanding profits, or enlarging the pie.

Equal attention has to be paid to the distribution of this pie amongst the people. The division of resources must be sensitive to inequalities which manifest in various forms such as income, social, and gender disparities.

Speaking in one of the online sessions of Sustainable Development e-talks (#SDGtalks) co-hosted by Indian Institute of Management Indore and CNS, Anand Grover, a noted Supreme court lawyer and former United Nations Special Rapporteur on the Right to Health, explained how the human right to health is included in the right to life, enshrined under Article 21 of the Indian Constitution.

He said that, “The right to life includes the right to live with dignity”. However, the right to health can only be realized by ensuring accessibility and availability of medicines to all. The current pandemic of COVID-19 has forced the health system to test its ability to provide adequate healthcare services to all those in need.

Triumph in the fight against diseases can be made possible through the collective efforts of the governments, the pharmaceutical industry and the people. The pharma industry invests billions of dollars in the development of diagnostics and treatments.

But when these enter the market and seem within grasp, they remain far from the grip of many. This is due to the high price tags attached to them. According to Grover, “Cost of medicines is one of the key factors that affect the right to health”.

The cost of medicines is heavily influenced by patents. Patent is a negative right which is a trade-off between public and private interests. “Patent law has an impact on the right to health and access to medicines as it creates and protects monopolies”, believes Grover.

Monopoly pricing power is the right of a pharma company to decide the price of a patented drug. The patent duration depends upon the drug and Intellectual Property laws of the country. Pharma industries often misuse this power to increase their profits by wide margins. Nevertheless, this can be controlled to a large extent through government interventions. The policy frameworks equips the government with the power to maintain free and open markets.

Patents are of two kinds- patents on process and patents on product- as explained by Grover. A patent on a product disqualifies any entity, other than the patentholder, from selling the product. On the contrary, patents on process allow other entities to sell the drug by altering the process of manufacture. Such drugs are usually known as generic medicines.

India has emerged as the hub of generic drugs that have helped to make life saving medicines become affordable and accessible to all, as exemplified by the case of drugs to treat HIV/AIDS. In 2000, the patented HIV drugs costed about US$ 10,000 per year treatment, per person. Generic drugs of Indian companies, made them available at US$ 200-250 per person per year.

Today, these drugs cost around US$ 20-30 per month per person. Grover informs that the unique selling point of the HIV movement is the strong community participation that went a long way in achieving reduction in prices of HIV drugs.

When pricing is left unchecked, private healthcare services can engage in drug price inflation. For instance, Gurugram’s Fortis hospital (in the private sector) issued a whopping bill of Rs 16 lakhs for a 15-day-treatment of a 7-year-old dengue patient. The girl later died, after spending days on a ventilator. Investigation revealed that the hospital had charged an outrageously high amount for the treatment.

The margin on medicines and other consumable products ranged from 25% to 1700%. For example, Rs.200 were charged for each disposable syringe procured at Rs.15.29 by the hospital. And this is not a one-off incidents, showing the blatant greed of the private healthcare sector in putting profits far above the people's good.

Licensing framework serves as a check against these practices, in case of patented drugs. There are two types of licenses – compulsory and voluntary. A compulsory license can be issued by the government, without the consent of the patentholder, to other entities for drug production. Voluntary license is granted by the patentholder to other manufacturers for production of drugs for specific regions.

Compulsory license, if issued for public interest, is completely legal and aligned with the Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement and the Indian Patent law. Price control can also be exercised through the Drug Price Control Order (Essential Services Act). However, patented drugs are exempted from this for a period of five years.

Grover worded the question, about COVID-19 drugs and vaccines, that needs immediate attention as, “Will the governments issue compulsory licenses or will the companies resort to voluntary licensing and exclude certain countries?”

The primary aim of intellectual property laws is to protect the authenticity of ideas and foster innovation. It serves as a tool for augmentation of investments in research and development. In the healthcare industry, it facilitates discovery of new drugs and improved treatment methods.

But the sanctity of this legal framework is, more often than not, annihilated by the profit-oriented practices of private players, wherein pharmaceutical companies misuse patents to extract huge profits by charging exorbitant prices for the patented products. Trying times, like the current pandemic, intensify the gap between equal accessibility of healthcare to all and profit motives of the private players.

The legal framework bestows the power to issue compulsory or voluntary licensing as pre-emptive measures against the same. Nonetheless, the difference exists. Ergo, it is the need of the hour to bridge this gap, and make 'Availability of Healthcare to All', a reality.


Abhay Singh, Divyansh Prakash, Isha Garg, Jeevan Joseph, Ram Karthikeyan, Stuti Khandelwal
(authors are students of Indian Institute of Management (IIM) in Indore, India
and part of the internship at Citizen News Service - CNS)



* Students of Indian Institute of Management (IIM) in Indore wrote this article and shared by Bobby Ramakant - CNS
The sender can be reached at ramakantbobby(AT)gmail(DOT)com
This article was webcasted on June 20 2020 .



* Comments posted by users in this discussion thread and other parts of this site are opinions of the individuals posting them (whose user ID is displayed alongside) and not the views of e-pao.net. We strongly recommend that users exercise responsibility, sensitivity and caution over language while writing your opinions which will be seen and read by other users. Please read a complete Guideline on using comments on this website.




LATEST IN E-PAO.NET
  • Colonial Knowledge Production in NE #8
  • Violence in Manipur 2023-2025 : Timeline
  • The fight for survival in Manipur
  • A call for unity from displaced voices
  • COVID-19: Update 08 July 2025 : Manipur
  • Dogs Are Staying on the Ground :: Poem
  • Football Tournament at Heinoukhongnembi
  • Condemns Kuki Inpi's Directive
  • Installation Ceremony of Lions Club, Imphal
  • All that can go wrong has gone wrong
  • Manipur peaceful from Delhi's perspective
  • Bashanta Ras @Govindaji #2 : Gallery
  • Hypocrisy & the betrayal of sovereignty
  • Healing with Art for children concluded
  • Manipur : Champions 24th Junior Natl Wushu
  • Path to Becoming a Leader Who Inspires
  • Van Mahotsav 2025, festival of life
  • The Flavours of Life :: Poem
  • Assault on sensibilities of the media
  • Revival of MPP after years of bitter disputes
  • Ougri Lirol :: Part 2 : Ooba Video
  • Jianreilung, Chingamba, Masounii : eMing
  • How Jessami conservation of Nongin
  • Shija Hospitals turns 40
  • COVID-19: Update 06 July 2025 : Manipur
  • The Indomitable Young Souls :: Poem
  • Growing network of drug dealers in country
  • Politics of SoO pact since 2008
  • No takers for disturbance-free education
  • 31st Governor Cup Polo Tournament : Gallery
  • PM welcome to Manipur: Feel the reality
  • Kainkhol wins best Social Message Film Award
  • Distortion of facts: Manipur sports movement
  • Govt services reach Manipur's tribal villages
  • 134th Durand Cup Trophies Flag Off
  • COVID-19: Update 05 July 2025 : Manipur
  • How to take care of oily skin in monsoon
  • First-Ever Tripura Esports Championship
  • Konung Kang Chingba #1 : Gallery
  • Manipur Iskcon's 25th Ratha Yatra 2025
  • Native Threshing machine made for farmers
  • COVID-19: Update 04 July 2025 : Manipur
  • Riso Ejang: Youth-led Transformation
  • Include males too in addressing HPV
  • Whispers from the past :: Poem
  • LPU opens permanent outreach centre
  • Raj Bhavan moving on the right track
  • Speculations over PM Modi's visit to state
  • Colonial Knowledge Production in NE #7
  • Make Yourself Visible to Opportunity
  • Orange bowl: tradition with ecological wisdom
  • 10 ways to keep a kitchen garden disease free
  • Between PR, military mandates & AFSPA
  • Allocation fund for MLALAD Fund during PR
  • Denounces Killing of KNA Deputy C-in-C
  • COVID-19: Update 03 July 2025 : Manipur
  • Cases of fake Aadhaar cards
  • Sincere dealing must for stricter Aadhaar
  • Archaeology: Culture of Manipur : Booklet
  • Wanna be a singer? Get Botox
  • A Central institute in Manipur
  • Nagging in the name of love
  • COVID-19: Update 02 July 2025 : Manipur
  • 'Benefits' of Indira's Emergency
  • Social Stigma :: Poem
  • Inking a peace pact: Why, how: SoO quagmire
  • Van Mahotsav under shadow of declining forest
  • 11th Th Kishan Memorial Lecture : Gallery
  • Manipur crisis & the Left media's blind spot
  • COVID-19: Update 01 July 2025 : Manipur
  • Bombom RK : Musclemania Universe NYC
  • The Grief :: Poem
  • Music Concert & Quiz (MCQ) 2.0
  • SoO agreement unlikely to be scrapped
  • Regulating use of plastic carry bags
  • Mera Houchongba @Kangla #4 : Gallery
  • International Day of Yoga @JNMDA : Gallery
  • BD Behring: The inimitable Gentleman I knew
  • Violence in the name of patriotism : Misguided
  • Daily oral vs long-acting injectable for HIV
  • COVID-19: Update 30 June 2025 : Manipur
  • Smile :: Poem
  • Why was President's Rule imposed ?
  • BJP under pressure to forge unity
  • Kang @Leikai in Imphal : Gallery
  • July Calendar for Year 2025 : Tools
  • COVID-19 : A recurring crisis in Manipur
  • DC Kaith and Forestry in Manipur : Book
  • COVID-19: Update 29 June 2025 : Manipur
  • Longing for Peace :: Poem
  • Black badge, slogan protest by peeved scribes
  • Present the true picture before Delhi
  • Pung-Cholom @ Polo Tournament : Gallery
  • Life: A Journey Through Thought & Being
  • Khongjai Hills & Kuki claim to indigeneity
  • Master Time by Managing Information
  • COVID-19: Update 28 June 2025 : Manipur
  • Pride & patriotism in CCpur's army families
  • The Power of Poppy - 87 :: Poem
  • World Decarbonisation Day: green environment
  • Welcome Home - Nganthoi #2 : Gallery
  • Loss of two precious lives from Manipur
  • Balancing civil liberties with public safety
  • COVID-19: Update 27 June 2025 : Manipur
  • Gender equality & human rights are indivisible
  • Stay hydrated this summer season
  • Silent Half of the Sun :: Poem
  • Connecting the dots in the wishlist
  • Assembly record tampering claims by ex-CM
  • The immortal legacy of Pukhramba Kajao
  • International Day against Drug Abuse 2025
  • COVID-19: Update 26 June 2025 : Manipur
  • Black pottery from Ukhrul - tribal heritage
  • Program on "Mission-Drug Free Campus"
  • Play makes a better world
  • Urgent Appeal to the Honourable MLAs
  • Tribal Empowerment Campaign at CCpur
  • Talk doing the round: PM to come
  • 'Emergency' relief for under-fire BJP
  • Golden Jubilee Art Fair @Imphal : Gallery
  • Declaration: Meetei People Convention, Delhi
  • A Flower Among the Rocks :: Review
  • Book Donation Campaign
  • Improved road connectivity boosts livelihoods
  • To Have Great Dreams :: Poem
  • COVID-19: Update 25 June 2025 : Manipur
  • Regret vs Sorry: Technical & moral insight
  • Cocktail of inept Govt, selfish people
  • State trailing others in cleanliness
  • Colonial Knowledge in NE India #6
  • UHI effect & rising temperatures in Manipur
  • Frequent road blockades cripple economy
  • COVID-19: Update 24 June 2025 : Manipur
  • Unite Health with Community health services
  • NSU, Imphal, tops IIRF Ranking 2025
  • Endless conflict :: Poem
  • Pak nobel pish prize for Trump
  • May 3, 2023 - June 24, 2025: Failure of Delhi
  • Hotter days, sudden rainfall no more a rarity
  • "The Great June Uprising" #2 : Gallery
  • How to Build a Career, Lead with Purpose
  • 2nd Foundation Day- Karnataka Meitei Assn
  • COVID-19: Update 23 June 2025 : Manipur
  • NSCN-IM Amnesty threatens to isolate it
  • Sunset :: Poem
  • Intl Yoga Day for a healthier environment
  • Of clogged drains and plastics
  • Poor roads testify Govt indifference
  • Welcome Home - Nganthoi #1 : Gallery
  • The Silent Erosion of Manipuri Language
  • Design health services around people
  • Serene Hills Host Inspiring Int'l Yoga Day
  • COVID-19: Update 22 June 2025 : Manipur
  • Chopper services between Senapati & Imphal
  • High Court Judges interacted with convicts
  • Redyeing the Fabric :: Poem
  • Differences yet to be resolved stand
  • Border fencing rage as solution eludes
  • Radio E-pao: 14 new songs updated
  • Climate Adaptive Agroforestry
  • Manipur overlooked demographic shifts
  • Young designers shine on Fashion Stage
  • COVID-19: Update 21 June 2025 : Manipur
  • International Day of Yoga at Lamphelpat
  • International Day of Yoga at JNMDA
  • The Power of Poppy - 86 :: Poem
  • Keishampat Lairembi Haraoba #1 : Gallery
  • Crisis in Manipur's Contemporary Education
  • Best 8 Performances in Manipuri Cinema
  • Identity: Caught between China & India ?
  • COVID-19: Update 20 June 2025 : Manipur
  • To The Father Who Listens :: Poem
  • How does net suspension affect youths ?
  • Targeting farmers to cripple state's economy
  • The virus is back and spreading
  • Who is afraid of Manipur ?
  • A threatened lily growing at Shirui Hills
  • World Environment Day in Manipur : Gallery
  • Ambubachi Mela at Maa Kamakhya
  • COVID-19: Update 19 June 2025 : Manipur
  • Dolls made from repurposed vegetable refuse
  • Condemns Attack on Farmer & Killing
  • Abhorrent politics of SoO
  • Police arrogance on harmless drivers
  • "The Great June Uprising" #1 : Gallery
  • UK Meetei diaspora run for Myanmar : Gallery
  • Thang-Ta Day @Khuman Lampak #3 : Gallery
  • 50 years of Pebet #2 : Gallery
  • Indo-Naga Talks (From 2012) :: Timeline
  • Protest @Checkon -AT arrest [Jun 9] : Gallery
  • Protests - AT arrest [Jun 8 night] : Gallery
  • Aftermath of flooding @ Khurai #1 : Gallery
  • /li>
  • Flooding at JNIMS Hospital #2 : Gallery
  • North East NSS Festival @ MU : Gallery
  • Trump's tariff legacy & its global echo
  • Flooding Imphal East [31 May] #3 : Gallery
  • Flooding Imphal East [31 May] #2 : Gallery
  • Flooding Imphal East [31 May] #1 : Gallery
  • S Nirupama @Miss Universe : Gallery
  • Protesters to Raj Bhavan [May 25]: Gallery
  • Human Chain @Airport road [May 26]: Gallery
  • Miss Shirui Pageant Contestant: Gallery
  • 48 hrs Bandh: protest security forces: Gallery
  • Protest Rally: Journalist harassment: Gallery
  • HSLC 2025: Full Result (Check Roll No)
  • HSLC 2025: Important Info & Grading System
  • HSLC 2025 : Compartmental candidates
  • HSLC 2025 : Comparative Statement
  • HSLC 2025 : Statistical Abstract
  • HSLC 2025 : District Pass Percentage
  • HSLC 2025 : Govt School Pass %
  • HSLC 2025 : Aided School Pass %
  • HSLC 2025 : Private School Pass %
  • People's Convention on 3rd May #2 : Gallery
  • Featured Front Page Photo 2025 #2: Gallery
  • Riya Khwairakpam : HSE Science Topper
  • Keisham Hannah : HSE Arts Topper
  • Warepam Lidia : HSE Commerce Topper
  • HSE 2025 Result : Science Full Result
  • HSE 2025 Result : Arts Full Result
  • HSE 2025 Result : Commerce Full Result
  • HSE 2025 Information / Abbreviation
  • HSE 2025 Topper : Science
  • HSE 2025 Topper : Arts
  • HSE 2025 Topper : Commerce
  • HSE 2025 : Pass Percentage
  • HSE 2025 : Result Abstract
  • HSE 2025 : Candidates with Highest Marks
  • President's Rule in Manipur : 1967 - 2025
  • Downloadable Manipuri Calendar :: 2025