Government urged to delay TRIPs agreement

JAKARTA (JP): The Indonesian Consumer Foundation (YLKI) urged the government on Monday to postpone realization of its commitment to the Uruguay Round trade liberalization agreement on trade-related aspects of intellectual property rights (TRIPs).

Indah Suksmaningsih, the foundation's chairwoman, said Indonesia should review and renegotiate its position at the upcoming multilateral trade talks in Seattle, United States, and ask the World Trade Organization (WTO) to postpone TRIPs implementation in the country.

"Other developing countries, namely Thailand and the Philippines, have postponed their TRIPs commitment to the year 2005. These countries are more developed than Indonesia, so why don't we ask for a similar postponement until our industries are ready?," she said.

She said the foundation submitted on Sept. 24 its recommendation to government representatives.

TRIPs cover trademarks, copyrights, patents, geographical indications, industrial designs, layout of integrated circuits and trade secrets.

The agreement, set to come into force next year, allows WTO members to patent a product and its process to prevent individuals and companies from making, using, offering for sale, selling or even importing a product without the owner's consent. Patents will be effective for 20 years, and the manufacture will stipulate the product's price.

Indah said TRIPs in pharmaceuticals, which are dominated by developed countries, would lead to inflated prices of medicines in developing countries. She said industries in such countries would no longer be able to copy and produce drugs locally without paying patent fees.

"This would severely hurt Indonesian consumers, as they have to pay higher prices for drugs," she said.

Indah said the WTO must consider the impact of the agreement on drug prices, especially in poor countries, because commercial interests should not dictate public health issues.

She said the TRIPs agreement would not protect traditional resource rights in the production of indigenous medicinal herbs from piracy by foreign multinational drug companies.

The foundation, together with Federation Consumer International which groups 247 organizations in 110 countries, also called for an assessment of the social impact of trade liberalization at the third ministerial meeting in November.

YLKI executive Tini Hadad said the WTO should set up a mechanism to allow international non-governmental organizations and consumers to take part in its trade policy-making. (01)