Making a Killing: The Deadly Implications of the Counterfeit Drug Trade
Author: Roger Bat
Counterfeit pharmaceuticals kill hundreds of thousands of people every year. Although most pervasive in poor countries, counterfeit drug trafficking is a worrying new phenomenon in the developed world. Payoffs for counterfeiters are high-the global market amounts to billions of dollars per year-and potential punishment is slight compared to the strict penalties facing narcotics dealers. From Internet pharmacies frequented by American consumers to the back streets of New Delhi, counterfeit drug trafficking is a complex, deadly, and increasingly lucrative industry that is becoming an attractive arena for organized crime.
In this groundbreaking study, Roger Bate traces pharmaceutical counterfeiting around the world, from developed nations, where counterfeiters often target "lifestyle" drugs such as Viagra, to developing countries, where counterfeiters favor therapeutic medicines such as antimalarials and antibiotics. Enforcement in developing nations is hampered by inadequate education, feeble regulation, and sluggish policing of existing laws. The United States is struggling to thwart an insidious Internet market.
Making a Killing: The Deadly Implications of the Counterfeit Drug Trade champions greater cooperation between wealthy and poor nations to quash the trade in counterfeit pharmaceuticals. Bate calls for fortified policing resources, harsher penalties for counterfeiters, widespread public education, and commonsense consumer vigilance against this danger. Western policymakers must act immediately to quell the deadly counterfeit market in developing countries-and to ensure the integrity of their products at home.
About the Author:
Roger Bate is a residentfellow at the American Enterprise Institute. He writes extensively on topics such as endemic diseases in developing countries (malaria, HIV/AIDS); access and innovation in pharmaceuticals; taxes and tariffs; water policy; and international health agreements
Table of Contents:
List of Illustrations viiAcknowledgments ix
Introduction: The Second-Oldest Profession 1
Definitions and Scope 4
Counterfeiting Today 8
Counterfeit Drugs in Industrialized Economies 8
Compromised Supply Chains 8
Internet Sales 9
Drugs Targeted 12
Counterfeit Drugs in Developing Countries 14
Africa 17
Latin America 20
Russia 21
Asia 23
How and Why Does Counterfeiting Occur? 25
Incentives to Counterfeit 25
Corruption within Countries 27
Complex Supply Chains Encourage Fakes 28
Developed Countries 28
Developing Countries 33
Counterfeiting, Organized Crime, and Terrorism 35
Conclusion 37
Stopping the Fakers 39
At the International Level 39
At the National Level 41
Developed Countries 41
Japan 41
United States 43
European Union 44
Developing Countries 45
Africa 46
Latin America 50
Russia 51
Asia 52
Unilateral Private Action 57
Independent Organizations 57
Pharmaceutical Companies 59
Pharmacists 60
Policy Recommendations 61
At the International Level 61
Donor Agencies 61
Aid Agencies 62
At the National Level 63
Developing Countries 63
Western Countries 66
Public and Private Actors 67
Governments 68
Policymakers 71
At the Business Level 72
Pharmaceutical Companies 72
At the Individual Level 72
Public-Private Cooperation 73
Conclusion 75
Notes 77
About the Author 105
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