by Jacob Arfwedson
Institute for Policy Innovation
August 13, 2004
Policy Report
Supporters of parallel trade in pharmaceuticals argue that it lower prices, which is popular with consumers and cash-strapped governments. But, in fact, parallel trade reduces safety, since it represents an end-run around domestic inspection procedures. More importantly, reimportation undermines intellectual property protection and hence incentives to invest in research and development of IP-based products, which will have ominous implications for consumers in the long-run
URL: www.ipi.org
