NEW DELHI: India has completely rejected the allegations in a US report stating that the country is a major source of counterfeit medicines to the world. India said that it is an attack on low-cost generic drugs.

The ‘Special 301 Report’ by United States Trade Representative (USTR) criticized India and China as being the leading sources of counterfeit medicines distributed globally, with 20% of all pharmaceutical products sold in the Indian market estimated to be fake.

Health Secretary Preeti Sudan stated that they disagree with the observations made by USTR and are not aware of the origin and methodology of the findings. Sudan added that they consider this as an opposition to low-cost generic medicines and the booming Indian drug manufacturing industry which is the ‘Pharmacy of the world.’

The USTR report, an annual review of the state of IP protection and enforcement in US trading partners across the world, has put India on the ‘priority watch list’ for violating intellectual property rights.

The report stated that China and India are reportedly the leading sources of counterfeit medicines distributed globally. While ascertaining an exact figure may not be possible, studies suggest that up to 20% of drugs sold in the Indian market are counterfeit, stated the report. It also claimed that India exports fake drugs to Africa, Canada, the Caribbean, the EU, South America, and the US.

Stressing that generic drugs are low-cost but quality products, Sudan said that only certified products are exported. In India, generic medicines account for more than 75% of sales.

India is named in the report for the country’s patentability criteria, compulsory licensing criteria and absence of additional intellectual property monopoly-data exclusivity.

USTR’s push for more protection and enforcement of IP policies would keep medicine prices high across the globe and put lifesaving treatments beyond reach in developing countries for a longer period, says MSF.

The report also stated that inadequate protection for trade secrets in several countries, particularly China and India, puts US trade secrets at risk. (TNN)