ITA Ensures Patent Rights Protection in Oman
January 30, 2013
(ITA)
The Department of Commerce’s International Trade Administration’s (ITA) helped
the Indianapolis, Indiana based U.S. pharmaceutical company Eli Lilly, overcome
patent infringement that would have harmed the company’s market share in Oman, a
member of the Gulf Cooperation Council (GCC).
Why it Matters
If the United States Government had not helped to ensure that the Government of
Oman honored the GCC’s patent for Eli Lilly’s product, Zyprexa, the company
would have lost significant, if not all, market share in Oman. Moreover, the
purchase of a generic drug would have set a dangerous precedent for IPR
protection in other countries that are also party to the GCC patent obligations,
i.e., Bahrain, Kuwait, Qatar, Saudi Arabia, and the United Arab Emirates.
The Problem
In July 2011, the Omani Ministry of Health announced plans to purchase
olanzapine, a generic drug used to treat schizophrenia. The Omani Ministry of
Health claimed that because Zyprexa, Eli Lilly’s branded version of olanzapine,
had a U.S. patent that would expire in fall 2011, the GCC patent for Eli Lilly’s
Zyprexa would no longer apply. As a founding GCC member, Oman is required to
abide by GCC patents. Eli Lilly correctly noted that the GCC’s patent for
Zyprexa still applied in Oman despite the end of the U.S. patent.
The Solution
ITA, working with other U.S. government agencies, alerted Omani officials that
Oman would potentially breach its patent responsibilities, and facilitated
meetings between Eli Lilly representatives in the region and Omani authorities.
As a result of this government and private sector cooperative approach, Omani
officials reversed their course and did not break their patent obligations by
purchasing the generic olanzapine. After resolving this issue, Eli Lilly’s
Director of International Government Affairs, stated that, “I am 100% certain
that this result would not have been achieved without the support of the U.S.
Embassy and support from Washington. Each of you contributed to [this] effort.”
Working closely with U.S. companies, ITA creates, expands, and defends market
access for U.S. goods and services overseas through the Trade Agreements
Compliance Program. “We promote policy that develops a more favorable business
climate for U.S. companies in global markets; we employ commercial diplomacy to
resolve trade barriers; and we leverage our bilateral and multilateral trade
agreements to ensure our trading partners live up to their commitments so that
our businesses can compete on a level playing-field.” - Assistant Secretary of
Commerce for Market Access and Compliance, Michael C. Camuñez.
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