europabio-logoeuropabio-logoeuropabio-logoeuropabio-logo
  • About us
    • Who we are
      • Governance
      • Staff
      • Vacancies
    • What we do
  • Members
    • EuropaBio Members
    • About Membership
  • How we work
    • Healthcare Biotechnology Council
      • Cell & Gene Therapies
      • Medicines For Rare Diseases And Children
      • Regulatory Efficiency
      • Biosimilars & Public Procurement
      • Data & Digital
      • Patient Bio-Forum
    • Industrial Biotechnology Council
      • Food, Feed & Nutrition
      • Circular Bioeconomy
    • National Associations Council
    • SME Platform
    • Biomanufacturing Platform
  • Activities
    • 25 Years of Innovation
    • EFIB 2022
    • European Biotech Week
  • Events
  • Newsroom
    • News & Publications
    • Library
Become a member
✕

From Patent to Patient – The importance of IP rewards and incentives

28/10/2017
REPORT
From Patent to Patient – The importance of IP rewards and incentives

From Patent to Patient - The importance of IP rewards and incentives

ABSTRACT: IP REWARDS AND INCENTIVES IN THE EU CONTEXT

The European Commission evaluation of IP rewards and incentives under EU pharmaceutical law followed the Employment, Social Policy, Health and Consumer Affairs Council (EPSCO)24 Council conclusions under the Dutch Presidency in 2016 on the one hand, and ordinary reviews required in certain regulations on the other.

Among the changes to the European IP system understood to be under consideration by the European Commission is a manufacturing and export exemption to the Supplementary Protection Certificates (SPCs), which would allow generic manufacturers to manufacture medicines in the EU whilst the original product is still under the protection of SPCs, though they could only be sold to countries outside the region.

Generic medicine manufacturers argue that such a waiver would create jobs in Europe allowing the EU to better compete with India and China.

However, survey respondents indicated significant disagreement with this assumption. Most healthcare biotechnology developers and manufacturers said they believed it would lead to job losses in the sector and a rapid erosion of innovation investment.

Their views are supported by the findings of a recent study commissioned by among others, the US Chamber of Commerce25. The study suggests that a manufacturing and export exemption is likely to have a detrimental effect on the European research-based biopharmaceutical industry and is unlikely to provide a significant and sustained positive economic impact on the European generics industry.

The study finds that implementation of an EU wide SPC manufacturing and export exemption would potentially result in annual losses ranging between EUR 2.30 billion and up to EUR 4.61 billion to the global innovative biopharmaceutical industry, with approximately EUR 1.15 billion to EUR 1.96 billion of these attributed to the European innovative biopharmaceutical industry.

Translating these losses to current levels of biopharmaceutical sector employment and R&D investment the effect of the introduction of an EU wide SPC manufacturing and export exemption could be between 4,500-7,700 direct job losses (with an additional 19,000-32,000 indirect job losses) and a decrease of between EUR 215 million to EUR 364 million in R&D investment.

On the other hand, there was support from stakeholders for the idea of introducing unitary SPCs, in line with the unitary patent scheme, especially if it involved the establishment of a virtual body composed of SPC experts from national patent offices, as an authority to grant them.

Similar to a unitary patent, a single SPC application that is valid in all member states would simplify the complex terrain of intellectual property across Europe and would reduce internal time and resources.

The overwhelming majority response from the EuropaBio survey was that the current IP system should be preserved as it provides a balanced framework enabling medical innovation. “The industry is operating within a very fragile ecosystem,” said a survey respondent. “It is important the Commission at least maintains the status quo.”

Download the file below to read the full report.

From Patent to Patient - The importance of IP rewards and incentives


Download

2017_10_H_R_From-Patent-to-Patient-The-importance-of-IP-rewards-and-incentivesDownload
Share
Alexandra Simionca
Alexandra Simionca

Related posts

17/01/2023

EuropaBio launches SME BioForum in Rare Diseases


Read more
16/01/2023

SwiftPharma joins EuropaBio: pioneering sustainable, scalable and affordable plant-made therapeutic proteins


Read more
19/12/2022

EuropaBio sat down with new member Association of Biotechnological Companies Bioforum, to find out how they champion biotech in central and eastern Europe


Read more
19/12/2022

The Association of Biotechnological Companies Bioforum joins EuropaBio: representing Polish biotech at European legislative fora and involving Polish companies in the debate about the future of the industry


Read more

Important links

  • EuropaBio launches SME BioForum in Rare Diseases
  • EuropaBio launches Industry Advisory Group for new Biomanufacturing Platform

Categories in our Newsroom

Search by tags

  • Innovation
  • Excellence
  • Science
  • ATMPs
  • Healthcare Biotech
  • Industrial Biotech
  • Investment
  • EuropaBio
  • EFIB
  • Regulation
  • Rare Diseases
  • COVID-19
  • Members
  • Cancer
  • Patients
  • Patient BioForum
  • Gene & Cell Therapies
  • Accessibility
  • Intellectual Property
  • Pharmaceutical Strategy for Europe

Subscribe for our newsletter

Subscribe to the EuropaBio newsletter to receive the latest news and developments in the Biotech sector!


Subscribe
EuropaBio-Logo-White

EuropaBio represents corporate and associate members across sectors, plus national and regional biotechnology associations which, in turn, represent over 2600 biotech companies, 2300 out of them are SMEs.

Contact us

Extra links

Members
Staff
Privacy policy
Legal & cookies
Events
Newsroom

Become a member

Media pack

© 2023 Europabio. All Rights Reserved. Designed by EYAS
Become a member