THe justifications in favour of pharmaceutical patenting in developing countries are that it induces foreign direct investment (FDI); it stimulates local inventive activities; it encourages transfer of new technologies into the country. The note is aimed at examining whether intellectual property (IP) rules on phatmaceuticals generate benefits to developing countries by looking at the situation in Thailand. Prior to the discussion, it may be appropriate to note that the study intends to provide policy arguments rather than theoretical socia-legal analysis. It has also to be pointed out that strict empirical considerations are not the yardstick for analysis. However, basic socioeconomic, political and legal considerations provide the basis for the discussion on costs and benefits of pharmaceutical patents in Thailand. The article begins with an examination of IP protection in Thailand and the new trends of lP protection under bilateral trade agreements.The second part provides a summary of the development-and basic structure of the pharmaceutical industry. It then goes on to examine the impact of IP protection on prices, 'FDT, technology transfer, and research and development (R&D) capacity. The Thai pharmaceutical industry is presented as an illustrative example.
ANZSRC / FoR Code