The patent system and compulsory licensing: Productivity Commission Public inquiry into the compulsory licensing of patents, submission [no.31]

Abstract

Reviewing and improving the "safeguards" in the patent system is a dangerous activity unless it is taken in the context of a full understanding of how the patent system currently operates. This brief submission makes some comments on the context of the reference before turning to the important issue of the objectives of the patent system. It briefly addresses the political dimensions of patent policy, the historical background to compulsory licensing, availability of data on licensing in general and compulsory licensing in particular. Particular attention is paid to the issue of "alternative mechanisms deemed necessary to ensure that the balance between incentives to innovate and access to technology best reflect objectives of ensuring reasonable access to health care solutions, maximising economic growth and growing the Australian manufacturing industry" (terms of reference). Some specific issues concerning methods of medical treatment, including genetic testing, are raised in this context. This submission puts the view that the major deficiencies in patent policy need to be addressed before addressing arrangements for ensuring that grant of these very strong monopoly rights do not undermine other social goals. Show more