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Addendum to the report | Doc. 15310 Add. | 19 June 2021
Overcoming the socio-economic crisis sparked by the Covid-19 pandemic
Committee on Social Affairs, Health and Sustainable Development
1. Introduction
1. As these lines are being written
and although important advances have been made to control the Covid-19
pandemic, it remains one of the main global challenges for the time
to come and continues to take its deadly toll worldwide. Whereas
most countries in the global north are racing to vaccinate their
population, new and more infectious variants of the coronavirus
are hitting countries especially in Asia, Africa and South America. So,
whilst the wealthiest countries are seeing significant improvements
in their epidemiological situation thanks to the massive deployment
of vaccines, poorer countries worldwide are struggling to fight
the epidemic with limited means.
2. Those limited means in the countries currently suffering most
from the pandemic concern both treatments and vaccination. International
organisations have warned that the socio-economic disruption due
to the pandemic threatens millions of livelihoods, with a huge negative
impact on the public health situation and food supply systems. Targeted deployment of anti-Covid
vaccines would provide vital relief to both healthcare systems and
socio-economic life, as it is currently doing for the countries
with access to vaccines.
3. However, worldwide deployment of vaccination remains slow,
with the countries that have managed to develop and produce those
vaccines in a record-short time being now the key beneficiaries.
As the coronavirus vaccination tracker worldwide shows, by 8 June 2021, 117 doses have been
administered per 100 people in Israel (but only 13 in Palestine),
102 in the United Kingdom, 90 in the United States, 65 in Germany,
63 in Italy, but only 17 in India, 5 in the Philippines and only
1 in Vietnam. In most African countries, vaccination rates hardly
exceed 1-2% of the population (except Morocco with 41 doses per
100 persons and Tunisia with 9). The vaccination picture in Latin
America is filled with contrasts, as Chile can boast of a rate of
103, Uruguay 87, Brazil 34, while several countries have rates below
10 (Guatemala 4, Honduras 4, Paraguay 6). Two big vaccine-producing
countries – China and the Russian Federation – have rates of, respectively
56 and 21.
4. The limited supply of medical treatments and vaccines is due to many factors, notably
limited production capacity and intellectual property issues, affordability
challenges and logistical problems. To boost the availability of
medical solutions to protect the population, production capacity
for essential medicines and vaccines has to be scaled up significantly
– worldwide. If the wealthiest countries only help themselves, prospects
for billions of persons in the global south are obscured. Slowing
down vaccine production and distribution by not loosening intellectual
property rights could also hit back on countries with high vaccination rates
if new variants “bred” in such conditions turn out to be more vaccine-resistant,
or even “escape” vaccine protection. An economic argument can also
be made: the global economy is so integrated that economic problems
in the global south, just like the virus, do not stay in that part
of the world. Important policy decisions thus have to be taken urgently
to overcome both the pandemic and the resulting socio-economic crisis everywhere
in the world.
5. As stated by the Assembly in Resolution 2361 (2021) “Covid-19 vaccines: ethical, legal and practical considerations”,
member States and the European Union are urged to “overcome the
barriers and restrictions arising from patents and intellectual
property rights in order to ensure the widespread production and distribution
of vaccines in all countries and to all citizens.” In practice and
in a global context, this call means that the world needs a waiver
on Covid-19 vaccine patents under the World Trade Organization (WTO)
Trade-Related Aspects of Intellectual Property Rights (TRIPS) to boost supply by mobilising production
capacities wherever they exist. India and South Africa have led
a group of some 60 countries in trying to convince the WTO’s 164
States to do so. In early May 2021, the US administration backed
the idea of a “temporary waiver.” However, if the World Health Organization
Director-General hailed this historic announcement, there are still many
opponents (mainly, influential pharmaceutical companies) to such
a move.
6. The critics of a waiver approach also point out that bottlenecks
occur due to existing trade barriers that hamper
global production and supply chains for Covid-19 vaccines. Moreover,
lifting the patents needs to be accompanied by a proper technology
and know-how transfer to ensure safe and effective production of vaccines.
The European Union and the UK therefore favour a system of licencing
which could be made compulsory (and involving a minimum compensation
to companies concerned). It appears that one of the world’s biggest
Covid-19 vaccine producers located in India (the Serum Institute)
is producing the Oxford-AstraZeneca vaccine under a licensing agreement.
More such licencing agreements would most probably provide a faster
solution than lengthy negotiations on a temporary waiver under the
WTO’s TRIPS Agreement. Moreover, the US backing for a temporary
waiver could help reduce compensation claims by the patent-holding pharmaceutical
companies under compulsory licensing agreements.
7. But an even faster solution could come from greater solidarity:
rich countries could share/transfer more swiftly part of their stock
of Covid-19 vaccines with poor countries to provide protection to
health care staff and the most vulnerable population. In the longer
term, however, countries in the global south have good reasons to
negotiate more waivers on essential medicines’ patents with a view
to improving their population’s access to basic healthcare.
8. In a public health emergency situation, we have to reiterate
the need for striking a better balance between global public health
needs and private economic interests. Governments must show more
leadership and understanding for “no one is safe until everybody
is safe” which implies greater international solidarity with the
countries in need, in particular with regard to sharing anti-Covid-19
vaccine stocks and essential know-how, as well as technology, to
produce more of those vaccines at affordable cost.
9. As rapporteur, I would therefore like to propose two additions
to the draft resolution of the Committee on Social Affairs, Health
and Sustainable Development as follows:
2. Proposed amendments
After paragraph 7, insert the following paragraph:
“The continuing global public health emergency calls for greater international solidarity between the wealthiest and the poorest countries in order to share the existing anti-Covid-19 vaccine stocks by targeting the most vulnerable population and health care staff. In this context, the Assembly believes that European countries should lead by example and donate part of their vaccine stocks to the neediest countries in a coordinated manner. They should support the worldwide expansion of production capacity for Covid-19 vaccines by endorsing the modalities for a temporary waiver on patents for those vaccines under the World Trade Organization (WTO) Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement and foster compulsory licencing arrangements to enable the know-how and technology transfer for life-saving vaccines and essential medicines or treatments.”
After paragraph 8.2.7., insert the following sub-paragraph:
“urgently expand production capacity for Covid-19 vaccines and medicines worldwide through know-how and technology transfer via compulsory licensing arrangements, as well as a temporary waiver under the WTO’s TRIPS agreement, as appropriate, and donate part of the existing vaccine stock to the countries most in need;”