This won’t make pharma very happy. Not only will Bangkok’s new government maintain the policy of issuing compulsory licensing for cancer meds, but Bangkok will use it as a key negotiating tactic with drugmakers to reduce prices, The Nation reports.

“The use of compulsory licensing must be continued alongside the negotiation with pharmaceutical companies to reduce the price of drug products,” says Public Health Minister Chaiya Sasomsab, who adds that licensing must be used as a tool to help give patients access to livesaving drugs.

He explains that his decision to review the policy was due, in part, to the failure of the previous government to approve licenses for four cancer meds befor leaving office last month. Moreover, the Ministry of Commerce told him compulsory licensing of cancer drugs would affect Thailand’s international trade, particularly with the US, which has been reviewing Thailand’s status for possible downgrading after lobbying by drugmakers and biotechs.

To implement compulsory licensing and not affect international trade, Chaiya assigned the National Health Security Office, the National Cancer
Institute and health experts to calculate the total number of patients suffering from leukemia and breast, lung and gastric cancer, which would
help the ministry estimate the budget for imported drugs.

A study is under way expected to conclude in the next two weeks. The results will then be submitted to the Cabinet for a decision. However, Chaiya says it is up to the Minister of Commerce to make the decision to revoke or retain compulsory licensing.

But Vichai Chokewiwat, who heads the Government Pharmaceutical Organisation, says the recent imposition of compulsory licensing for cancer drugs can’t be revoked by the Ministry of Commerce, because the 1992 Patent Law’s Article 51 allows any Ministry to announce compulsory licensing for the noncommercial use without approval by the Ministry of Commerce.

He says if the government makes a decision to cancel the recent compulsory licensing it would violate the constitution and the National Health Security
Office Act, which appoints the government to provide cheap drugs and effective treatment for patients.