Gilead cuts AIDS drug prices in Middle-income countries

Published: 20-Jul-2006

AIDS Healthcare Foundation (AHF), the largest US-based AIDS organisation, has applauded US drug maker Gilead Sciences, for its decision to cut the price of its antiretroviral AIDS drugs by almost two-thirds in middle-income countries such as Mexico and India.


AIDS Healthcare Foundation (AHF), the largest US-based AIDS organisation, has applauded US drug maker Gilead Sciences, for its decision to cut the price of its antiretroviral AIDS drugs by almost two-thirds in middle-income countries such as Mexico and India.


"Gilead is to be commended for its precedent-setting move to cut its AIDS drug pricing for middle-income countries and help make its lifesaving medications truly more affordable around the world," said Michael Weinstein, president of the AIDS Healthcare Foundation. "We hope that other drug companies will follow Gilead's lead and also reduce prices for AIDS drugs in many of these hard-hit middle-income countries."

At present, most middle-income countries (MICs) are not eligible for benefits from many of the same policies, programmes and agreements that now promote anti-retroviral treatment (ART) access in least developed countries (LDCs) where AIDS drug treatment can cost less that US$200 annually per person. As a result, in a middle-income country like Mexico, which has a per capita annual income of approx. $6,000, AIDS drugs for one person in Mexico cost $8,000 annually - 30% more than an average individual's income or salary.

Many AIDS advocates believe definitions of middle-income countries should not be applied to treatment access issues around the HIV/AIDS epidemic because the price of antiretroviral treatment is so exorbitant.

Least developed countries, defined by the World Bank as countries with an annual per capita Gross National Income (GNI) of less than $765 are generally most affected by the HIV/AIDS epidemic and, as such, have access to policies, programmes and agreements that aim to improve the countries' abilities to access much needed life-saving medicines. In contrast, the impact of the epidemic is often just as great in many middle-income countries (with per capita GNIs from $766 to $9,385).

Weinstein, the president of AHF, which operates free treatment clinics in Mexico said: "The world hasn't really picked up on the fact that such potentially life-saving AIDS drugs are simply just too expensive for people in Mexico and other middle-income countries to afford, and there is still not enough money to expect the country to be able to afford to treat its people when the prices of these drugs are so high. Policy makers, opinion leaders and advocates need to come together and rally around this issue. Gilead has shown real leadership with its substantial price cut; we urge other drug companies to follow its example."

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