Identifier
Created
Classification
Origin
07ZAGREB175
2007-02-16 12:30:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Zagreb
Cable title:  

BREAKTHROUGH ON PATENT LINKAGE IN CROATIA

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VZCZCXRO0137
RR RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHVB #0175 0471230
ZNR UUUUU ZZH
R 161230Z FEB 07
FM AMEMBASSY ZAGREB
TO RUEHC/SECSTATE WASHDC 7310
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS ZAGREB 000175 

SIPDIS

SIPDIS

SENSITIVE

STATE FOR EUR/SCE, EB/TPP/IPE

E.O. 12958: N/A
TAGS: ECON KIPR HR INTELLECTUAL PROPERTY
SUBJECT: BREAKTHROUGH ON PATENT LINKAGE IN CROATIA

UNCLAS ZAGREB 000175

SIPDIS

SIPDIS

SENSITIVE

STATE FOR EUR/SCE, EB/TPP/IPE

E.O. 12958: N/A
TAGS: ECON KIPR HR INTELLECTUAL PROPERTY
SUBJECT: BREAKTHROUGH ON PATENT LINKAGE IN CROATIA


1. (SBU) Summary: The Croatian State Intellectual Property Office
signed a memorandum of understanding on cooperation with the State
Drug Agency on February 15, initiating cooperation on intellectual
property protection for the first time. This agreement, which came
about after extensive Embassy intervention with the two agencies and
the Foreign Ministry, will establish a joint working group between
the State Intellectual Property Office and the Drug Agency to
exchange information on proprietary pharmaceutical and medical
product patents. This new mechanism, together with data
exclusivity, should prevent new instances of patented drugs being
given marketing approval by the Drug Agency before the expiration of
the patent. End Summary.


2. (SBU) The signing of a memorandum of understanding between the
Croatian State Intellectual Property Office and the State Drug
Agency on February 15, 2007 creates the first mechanism for "patent
linkage" for medical and pharmaceutical products in Croatia. Under
the MOU, the two agencies have agreed to set up a joint working
group to exchange information on medical and pharmaceutical
products.


3. (SBU) The absence of patent linkage in Croatia created
significant problems for U.S.-based pharmaceutical companies in the
past and was an on-going risk in their operations in the country.
Past cases of generic copies of proprietary drugs receiving
marketing authorization before the expiration of their Croatian
patents inflicted losses on the companies and helped Croatia claim
its place on the Special 301 Watch List for the last several years


4. (SBU) The signing of this MOU between two agencies that have had
no communication whatsoever in the past came about after extensive
and sustained Embassy intervention on this issue. Although the
State Intellectual Property Office has long favored this type of
cooperation, the State Drug Agency was resistant, not believing that
enforcement of patents was within its legal mandate. In a January
2007 meeting that Econ Off scheduled with a view to the 301 Review
Cycle, however, the Agency's director accepted that an MOU with the
State Intellectual Property Office to open a regular channel of
communication to ensure that existing patents are reviewed prior to
the issuance of marketing authorization for pharmaceuticals was not
beyond the scope of the Agency's mandate.


5. (SBU) Comment: Although an MOU between the State Intellectual
Property Office and the State Drug Agency does not have the force of
law, we believe that both agencies recognize the importance of this
issue and are serious about making sure that past patent
infringements are not repeated. The GOC seems to be cognizant of
the fact that issues like this and Croatia's inclusion on the 301
Watch List convey larger messages about intellectual property rights
and the rule of law in the country. We are confident that this new
mechanism, combined with existing (though slightly less-than-ideal)
data exclusivity provisions, will prevent a repetition of past
pharmaceutical patent infringements in Croatia.

BRADTKE