World - Reuters

WTO Executive Delays Deal on Cheap Drugs

Thu Aug 28, 7:52 PM ET Add World - Reuters to My Yahoo!

GENEVA (Reuters) - The World Trade Organization (news - web sites)'s executive body decided early Friday to delay a decision on access to cheaper drugs for poor nations agreed earlier by its top negotiating body.

WTO spokesman Keith Rockwell said a last minute hitch held up the decision which the global trade organization had been expected to rubber stamp.

"There is no deal. More consultations are required," Rockwell said.

Negotiators said Argentina and the Philippines had agreed to the pact but wanted to make statements expressing their remaining concerns. But the United States had rejected these demands, fearing it could unravel the entire deal.

The precise concerns of Argentina and the Philippines were not immediately clear.

Making it easier for poorer states unable to manufacture medicines to import cheap generic drugs when they need to is seen as vital to beating major killer diseases such as AIDS (news - web sites) and malaria. But it means setting aside patents owned by multinational firms which are protected by trade rules.

Earlier, envoys told journalists that a deal had been sealed after a closed door meeting of the WTO TRIPS Council, the chief negotiating body on the drugs issue which includes all members.

But the accord must still be given the full approval of executive General Council on which the same 146 countries sit.