Wto Pharmaceutical Tariff Elimination Agreement

The dual-use nature of these goods has raised the question of whether a permanent tariff reduction initiative should also cover them, the EU argued. But China, India, Brazil and South Africa, among others, have made strides in providing key pharmaceutical drugs to their populations at affordable prices, especially in the non-patented drug segment. In 1994, Canada, the European Communities (5), Japan, Norway, Switzerland and the United States concluded the WTO Medicines Convention. These countries are lowering tariffs on pharmaceuticals and intermediate chemicals used in their manufacture (the “zero for zero” initiative), including all active ingredients with a WHO International Non-Health Name (INN). They agreed to review and expand the list of issues on a regular basis. The last such expansion took place in 2010. 11. While the successful conclusion of the phase one negotiations and further progress on the Withdrawal Agreement make an orderly exit from the EU more likely, the Prime Minister stated that “no deal is better for Britain than a bad deal for the UK”. 26 As long as that remains possible, the pharmaceutical industry in both the United Kingdom and the European Union remains and continues to be prepared for that scenario. In the event of the UK`s withdrawal from the EU, the government has committed to withdraw from the customs union and the single market. In the absence of a new trade deal, this would mean a return to World Trade Organization (WTO) tariffs. The WTO agreement on the abolition of tariffs on pharmaceutical products means that for signatory countries such as Japan, the United States, Canada, Australia and EU Member States, finished pharmaceutical products and certain components are subject to zero tariffs; However, other countries such as Brazil, China and Russia impose tariffs of between one and fifteen per cent.27 In 2006, as part of the Doha Round negotiations on non-agricultural market access, some WTO members presented a proposal on “free access to improved health care”. The objective is to reduce or eliminate tariffs and non-tariff barriers to trade for a wide range of health-related products.