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Health Action International
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Drug Policy at the
54th World Health Assembly
WHO's
growing 'partnership' with the private sector: Addressing public health
needs or corporate priorities?
Last May, five multinational
drug companies and five international agencies [i],
including WHO, launched a 'partnership' to reduce the price of HIV/AIDS
drugs by as much as 80%. [ii] The
well-publicised aim of the 'Accelerating Access initiative' was to improve
access to needed HIV/AIDS treatments. Reports of the negotiations with interested
countries revealed industry conditions attached to the discounts that would
damage developing countries' long-term ability to make these drugs available
and affordable. [iii] To date only
five countries, Mali, Cote d'Ivoire, Rwanda, Senegal and Uganda have negotiated
price reductions with four companies to make antiretrovirals available at
lower cost. However, research suggests that even with price reductions,
the drugs remain far beyond reach. "As one critic suggested "An 80% reduction
sounds impressive, but what does it mean?…At US$720-US$1320 per person per
year, these multinational cocktail prices are still higher than the price
offers of US$600, US$347 and US$285 of three different Indian generic manufacturers.
Accessibility remains a problem: only 300-400 people will benefit in Mali
this year, out of the 350,000 infected with HIV in that country. They will
join the 120 lucky ones in Senegal and 1,300 in Uganda on ARVs. That is
in total 0.01% of Africa's 25 million HIV+ people." [iv]
WHO now actively participates
in a number of international health initiatives involving powerful private
sector interests. It also raises more and more funds from commercial enterprises
and related groups to support its work programme. This growing dependence
on the corporate sector and its financial resources risks diverting WHO
from its normative function and role as a policy-making body on public
health issues. It also discourages exploration of other possible funding
sources more in line with WHO's primary health care goals.
As the world's leading public
health organisation, WHO must set clear rules on how it collaborates with
the private sector. It must step back and critically analyse if the well-publicised,
public-private ventures in which it is now involved have more to do with
corporations' political and economic aims than they do with public health
outcomes. It must also demonstrate that the poor directly benefit from
such public-private 'partnerships'. The extent to which WHO relies on
corporate interactions and funding will fundamentally affect how well
it can support public health goals and address current government limitations
to do so.
Industry and WHO: too close
for comfort?
Industry's involvement in 'partnerships' is often said to be the result
of greater social responsibility, yet closer scrutiny suggests that it
could be more closely related to 'enlightened self-interest'. For example,
in 1999 HAI discovered that the pharmaceutical company, MSD, had succeeded
in seconding a senior staff member to the staff of the WHO Tobacco Free
Initiative (TFI). An internal company announcement called it "a marvellous
opportunity to continue to build bridges", and said the corporation expected
the person to be an "effective ambassador" [v].
When questioned about potential conflicts of interest between WHO's public
health goals and industry's profit motive, WHO's Director General said
she would not rule out the possibility of secondments to WHO from pharmaceutical
companies. [vi]
Yet in October 2000, WHO announced
it would take measures to counter tobacco company influence in response
to a WHO Expert Committee's findings that tobacco companies had infiltrated
the organisation and attempted to undermine its antismoking agenda.[vii]
The report stated "Of greatest concern, tobacco companies, have, in some
cases, had their own consultants in positions at WHO, paying them to serve
the goals of tobacco companies while working for the WHO. Some of these
cases raise serious questions about whether the integrity of WHO decision-making
has been compromised." [viii]
How companies make their profits
are often not systematically or publicly evaluated by WHO and other potential
partners. Discussions about 'partnerships' often overlook the fact that
the same companies that say they are stepping in to fill funding gaps
once covered by governments, are often the same ones that have successfully
lobbied for lower corporate taxes. In some cases, they are also known
violators of international agreements on environmental protection, labour
standards and promotion practices. [ix]
If WHO or member states give
away their responsibility to promote public health and instead promote
corporate involvement in global public health initiatives, what will this
mean for citizens? There is a need for much more research on the long-term,
societal consequences of public-private ventures.
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WHO's guidelines on working with the private sector
At the January 2001 meeting of the WHO Executive Board, member states
discussed WHO's guidelines on working with the private sector to achieve
health outcomes (Executive Board document: EB107/20). While they were
only listed as a report to be noted on the agenda, many countries including
Venezuela, Italy, Congo, France, Belgium, Sweden, Brazil, Cote D'Ivoire,
India, China, Guatemala, Bangladesh and Chad spoke out on the issue. Most
of these delegates raised serious concerns about maintaining WHO's independence
when the organisation had so much interaction with industry. At the meeting,
the chair decided to form an electronic working group that would enable
Board members and their advisors to revise and strengthen the guidelines
(Report of the Executive Board on its 106th and 107th sessions, A54/2).
[x] This 'virtual' group was
to report back to the Executive Board next January. However, to date,
this electronic working group has not yet been created.
Improving the guidelines
The guidelines presented to the Executive Board contain a number of flaws:
- They fail to give a clear
definition of conflict of interest. One consequence of this is that
secondment of staff from the private sector, including pharmaceutical
companies, is not perceived as a conflict of interest.
- They do not emphasise the
risks related to involving the commercial sector in research (such as
potential broadening of disease definitions for increased product markets).
- The guidelines make no
provision for independent evaluation of potential donors and their compliance
with WHO agreed standards and international agreements on human rights,
the environment, marketing and labour practices.
The cardinal principle of
the guidelines should be complete accountability and transparency. HAI
believes WHO's interactions with all private sector donors must be contractual
and publicly accessible. The process of assessing and approving agreements,
as provided in the guidelines, is now totally internal. For the sake of
transparency, the guidelines must make independent review mandatory. As
an interested party, WHO cannot also monitor its own contractual agreements.
External monitoring and evaluation of work involving commercial enterprises
must be carried to see if equitable and sustainable health outcomes are
achieved. A major flaw of the guidelines is the lack of any substantive
role for civil society in monitoring WHO's relationships with the private
sector.
It is not only NGOs and member
states that have raised concerns about industry's growing relationship
with WHO and the present guidelines. It is also parts of WHO itself. The
report of a seminar on public-private interactions co-sponsored by WHO
last year [xi] clearly states
that "it is timely for WHO to step back from the current situation and
reflect on the appropriate role of GPPPs [Global Public Private Partnerships]
in order to meet public health and equity needs". Seminar participants
further called for an open discussion on these WHO guidelines. They said
that such discussion should involve member governments, civil society
and other interested parties taking into account evidence and analysis
at the global and national level.
In principle, HAI, and many
other public interest NGOs, are not against WHO's co-operation with the
corporate sector. However, there are huge differences in the quality,
sustainability and power relationships involved in the types of co-operation
now being labelled as 'partnerships'. HAI supports initiatives that advance
public health in a sustainable and equity way. For that reason, it calls
for an open, public debate on the best way all stakeholders can work with
WHO to reach that goal.
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Recommendations
For WHO:
- A transparent, accountable
mechanism involving member states and civil society should be developed
by the organisation to monitor all of its interactions with the private
sector.
- WHO should provide for
independent evaluation of potential donors and their compliance with
WHO agreed standards and international agreements on human rights, the
environment, marketing and labour practices.
- Before participating in
any public-private venture, WHO must demonstrate that the project's
beneficiaries, particularly the poor, will directly benefit from it
in an equitable and sustainable way. Each interaction should be evaluated
according to public health criteria. This safeguard should apply to
all types of interactions with corporations and their related bodies.
- All of WHO's public-private
ventures must be based on contractual agreements, accessible to the
public. A clause should allow termination of the contract and the possibility
of negative publicity if corporations do not uphold their contractual
agreement.
- The organisation's use
of the word 'partnership' should be replaced with terms that more accurately
describe the actual relationship.
- WHO should ensure that
member states are involved in decision-making processes about public-private
interactions so that national health priorities, such as essential drug
policies and immunisation programmes, are not damaged.
- WHO should carry out a
public assessment of past 'partnerships' to review if the poor have
benefited from them, and if other alternatives could have provided better
public health and policy outcomes, at less cost. · In order to protect
its own mandate and integrity, WHO should explore other, non-corporate
funding sources more in line with its own primary health care goals.
- WHO's Guidelines on working
with the private sector to achieve health outcomes (EB 107/20) should
be revised and strengthened to. (a) clearly define possible conflicts
of interest (b) provide adequate mechanisms to ensure complete accountability
and transparency (c) ban secondments of staff from the corporate sector,
particularly the pharmaceutical industry and 'revolving door' employment
between WHO and industries affected by its activities. Staff or consultants
should disclose any potential conflict of interest when hired by WHO
(d) require that all public-private interactions involving WHO should
be based on contracts that are publicly available (e) include mechanisms
for external monitoring and evaluation of all work involving commercial
enterprises to see if equitable and sustainable health outcomes have
been achieved.
- The secretariat should
also facilitate and support the Executive Board's agreement to create
an electronic working group aimed at improving the guidelines which
will report back in January 2002.
For Member States:
- National governments should
support a substantive role for civil society in monitoring and evaluating
WHO's interactions with the private sector.
- Southern governments participating
in public-private initiatives should request a decision-making role
in how they are organised, implemented and evaluated so that their priorities
and concerns are not marginalised at any time in the process.
- Until WHO is able to effectively
show that it has mechanisms in place to guide and evaluate all of its
joint activities with the private sector, member states should call
for a moratorium on additional public-private interaction involving
WHO.
- Interested member states
should participate in the electronic working group aimed at strengthening
and revising the WHO guidelines on working with the private sector to
achieve health outcomes. They should also be encouraged to involve any
desired advisors in this process as proposed by the Chair of the 107th
Executive Board in January.
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Health Action International
(HAI) is an informal network of some 150 consumer, health, development
action and other public interest groups involved in health and pharmaceutical
issues in more than 70 countries around the world. It believes all drugs
marketed should meet real medical needs, have therapeutic advantages,
be acceptably safe and offer value for money.
This paper is based upon
a statement produced by HAI and IBFAN which was presented at the 107th
WHO Executive Board meeting. It also draws on material about public-private
'partnerships' prepared by Judith Richter for the HAI Europe seminar report
"Public-private partnerships: Meeting real health needs or corporate agendas?"
.
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References
[i]
Multinational drug companies: Boehringer-Ingelheim, Bristol Meyers, Squibb,
Glaxo-Wellcome, Hoffman LaRoche and Merck. International Agencies: WHO,
UNAIDS, UNICEF, W.B. and UNDP
[ii] Harris, G. "Adverse reaction: AIDS gaffes in Africa
come back to haunt drug industry at home-Price cuts abroad deepen domestic
trouble as firms reveal 'true' cost of pills-John le Carre's new villain"
The Wall Street Journal, 23 April 2001.
[iii]Barton Gellman, "A Turning Point That Left Millions
Behind. Drug Discounts Benefit Few While Protecting Pharmaceutical Companies
Profits" in Washington Post, December 28, 2000.
[iv]Weissman, R. "Mali accepts big-4 initiative" from
E-drug list serv, 10 April 2001.
[v] "WHO's partnership with the industry: A letter to
Dr. Brundtland from HAI, 18 May 1999. http://www.haiweb.org/campaign/ppi/brundtland.html.
[vi]Brundtland, G. Letter to HAI regarding WHO's relationship
with the pharmaceutical industry received 22 June 1999.
http://www.haiweb.org/campaign/ppi/sponsorship.response.html
[vii]Price, A. "WHO takes measures to counter tobacco
company influence", Kyodo News Service/Associated Press, 10 October 2000.
[viii] Jones, J. "Tobacco companies mounted "dirty tricks"
campaign against WHO" British Medical Journal, 321:319, 5 August 2000.
[ix] Alliance for a corporate-free UN,
http://www.corpwatch.org/un.
[x] In the Report of the Executive Board on its 106th
and 107th sessions, it states "…members considered that the guidelines
needed refinement and they asked the Organization to continue to examine
the matter, taking into account the comments expressed at the meeting,
as well as additional views that should be obtained by a process of further
consultation with Board members."
[xi] International seminar on 'global public-private
partnerships for health and equity' 23-24 November 2000. Organised by
the Society for International Development (SID), the World Health Organization
(WHO) and Istituto Superiore di Sanita (ISS) and held at the National
Health Council, Rome, Italy.
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