Business news from Ukraine

Business news from Ukraine

Deputies intend to improve protection of intellectual property rights during war to stop blocking of new drugs from entering market

The deputies propose to improve the measures for the protection of intellectual property rights adopted during martial law by preventing the possibility of baseless extension of intellectual property rights to inventions (utility models), which expired during martial law and can not be extended.
According to the draft law No. 9383 registered by deputies of different factions, the initiative will improve the affordability of medicines for the population and create conditions for the entry of generic medicines on the market of Ukraine.
The bill specifies, in particular, that intellectual property rights expiring on the day of martial law in Ukraine or during martial law, remain in force until the day following the day of termination or cancellation of martial law, but no longer than until the expiry date of intellectual property rights determined by the law of Ukraine “On Protection of Rights to Inventions and Utility Models”.
In a comment to Interfax-Ukraine one of the initiators of the bill, the head of the Parliamentary Committee on National Health, Medical Care and Health Insurance Mykhailo Radutskyi specified that the bill proposes to modify the rules of the law adopted after the full-scale invasion to extend patents during martial law and return to the regulation previously in force.
Radutskyy reminded that at the beginning of the full-scale invasion the country adopted a number of amendments to the legislation aimed at simplifying the work of business and state structures. In particular, the law “On the protection of interests of persons in the field of intellectual property during martial law, imposed in connection with the armed aggression of Russia against Ukraine,” extended the validity of all property rights of intellectual property end of martial law. Including the intellectual property rights for medicines were extended.
“In April 2022 such a decision was logical. After all, there were potential risks of losing intellectual property rights, including due to the fact that a significant number of lawyers went to serve in the AFU, the state body for registration of patents did not work regularly. But now there are no significant obstacles to extending patents on medicines. In fact, extended patents have become an obstacle for competitors to enter the market and launch production of some generic drugs in Ukraine, which makes it impossible to reduce prices for some drugs,” he said.
Radutskyy said that in mid-April, the Committee held a working meeting on this issue with representatives of the Association of Drug Manufacturers of Ukraine (ADMU), the European Business Association (EBA) and the American Chamber of Commerce in Ukraine, and bill number 9383 reflects the common position of the Committee and market participants.
At the same time, Radutsky clarified that the main committee dealing with the bill No. 9383 is the Committee on Economic Development.
“The Health of the Nation Committee, which I chair, plans to provide recommendations to my colleagues. We will initiate their early consideration in the parliament,” he said.
As reported, earlier participants of the pharmaceutical market said that the attempt to regulate intellectual property rights for the duration of the war, undertaken after the full-scale invasion of Ukraine by Russia, has led to problems in the pharmaceutical market, the inability to bring to market and launch production of new drugs. At the same time, some companies made attempts to unfairly restrict possible competition by blocking the entry of competitors’ preparations to the market.
Then the All-Ukrainian Union for the Protection of Patients’ Rights and Safety addressed the head office of the Merck Sharp and Home Corp with a demand to influence its representative office in Ukraine and to stop blocking patients’ access to the antifungal generic drugs “Caspofungin” from different manufacturers. Thus, the Ukrainian branch of the pharmaceutical company, taking advantage of the legislative changes, adopted after the full-scale invasion of Russia, actually blocked the patients’ access to a number of products by artificially extending the term of their patent, which expired on April 16, 2022. In particular, we were talking about generic drugs Caspofungin-Teva, Caspofungin Acetate manufactured by Gland Pharma Limited, Caspofungin Rompharm manufactured by K.T. Rompharm Company, and Kasmig manufactured by Pharmaten UV.

Zelenskyy orders Foreign Ministry to propose to Georgian ambassador to leave Ukraine

Ukrainian President Volodymyr Zelensky has instructed the Foreign Ministry to summon the Georgian ambassador to Kiev and protest him in connection with the ongoing imprisonment of former Georgian President Mikheil Saakashvili.
Zelensky also instructed the Foreign Ministry to ask the ambassador to leave Ukraine within 48 hours for consultations.
“Right now Russia is killing Ukrainian citizen Mikheil Saakashvili at the hands of the Georgian authorities. We have repeatedly called on official Tbilisi to stop this mockery and agree on Saakashvili’s return to Ukraine. Our partners in coordination with Ukraine have also offered various rescue options. Today, I instructed the Ministry of Foreign Affairs to summon the Georgian ambassador to Ukraine, protest him strongly and suggest he leave Ukraine within 48 hours to consult with his capital,” he wrote Monday in his Telegram channel.
“Once again, I call on the Georgian authorities to transfer Ukrainian citizen Mikhail Saakashvili to Ukraine for the necessary treatment and care. And I call on our partners to turn, not to ignore this situation and save this man. No government in Europe has the right to execute people, life is a basic European value,” he also wrote.
Earlier on Monday, video of Saakashvili’s interrogation was published, in which he looks severely thinner.

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“Dobrobut” plans to open another medical clinic

The “Dobrobut” medical network plans to open a clinic in Vinnitsa, a project that was suspended due to the war, said Sergei Orel, chief operating officer of the “Dobrobut” multi-profile hospital in the capital on Bazhana Avenue.
“The war adjusted our plans. For example, we were planning to open a large hospital in Vinnitsa, it was supposed to receive its first patients at the end of last year,” he said in an interview with Interfax-Ukraine.
Orel clarified that “now we have suspended this project, but the clinic in Vinnitsa is waiting for its time.”
“At the same time we do not stop opening – we opened Bazhana, a large polyclinic on Entuziastov Street. We’re still moving forward, maybe not as fast and not on the same scale as before, but we are,” he said.

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Ukrainian construction industry forecasts job growth – Ministry of Reconstruction

For the first time since February 24, 2022, construction companies plan to increase the number of employees, according to the press service of the Ministry of Reconstruction.
As noted in a press release, such positive sentiment is recorded in a survey conducted in June 2023 by the National Bank of Ukraine “Business Activity Expectations Index of Enterprises”.
According to the survey, the construction companies expect an increase in the volume of construction, the number of new orders, as well as an increase in the purchase of raw materials and supplies.
According to the research Ukrainian business positively evaluates results of its activity for the third month in a row, which indicates gradual adaptation to difficult conditions of full-scale Russian invasion.
Debugging of production and logistics chains, improvement of inflation and exchange rate expectations as well as revival of domestic demand contribute to activation of business processes.
It is noted that business expectations of the construction business have improved due to the expansion of Western logistics, road construction and rehabilitation, as well as due to weather conditions.

Change in prices of food raw materials from Ukraine (forecast up to 2025), %

Change in prices of food raw materials from Ukraine (forecast up to 2025), %

Source: Open4Business.com.ua and experts.news

Last week net sales by National Bank of Ukraine (NBU) rose to $520 mln

Net sales of dollars by the National Bank of Ukraine (NBU) this week totaled $520.4 million compared to $427.5 million last week.
According to the NBU on its website, from June 26 to June 30, 2023, its purchases of currency increased from $8.3 million to $12.6 million, while sales increased from $435.8 million to $533.0 million.
On the cash market, the dollar rose by only about 3 kopecks during the week. – UAH/$1 to UAH 37.25.
Since the beginning of the year, the NBU bought $177.9 mln at the market, while it sold $12 bln 455.9 mln.
As it was reported, the volume of interventions of the National Bank in May increased to $1.93 billion, compared to $1.37 billion in February and $1.67 billion in March.
However, due to a significant influx of external financing, international reserves rose by 4%, or $1.358 billion – to $37 billion 311.3 million in May.
For June, interventions amounted to about $1.9 billion, which is again noticeably less than Ukraine’s external financing, which amounted to about $3 billion.