Why in news
A clause in a draft free trade agreement text being negotiated between India and the European Free Trade Association (EFTA) could delay access to affordable, generic versions of patented drugs in India by a minimum of six years, according to documents viewed by The Hindu.
A leaked draft of the Trade and Economic Partnership Agreement says that within six months of the agreement being signed, signatories should include a “specific duration” during which applicants seeking consent from their country’s regulators to sell a drug would
not rely on “undisclosed test data” to gain market approval for at least six years.
European Free Trade Association (EFTA)
The European Free Trade Association is a regional trade organization and free trade area consisting of four European states.
Iceland, Liechtenstein, Norway, and Switzerland.
It was founded in 1960 as an alternative to the European Economic Community (EEC), which later evolved into the European Union (EU).
The main goals of EFTA are to:
Promote free trade and economic integration between its member states.
Eliminate tariffs and other trade barriers between member states.
Cooperate with other countries and international organizations on trade-related issues.
EFTA is much smaller and less integrated than the EU.
It has been successful in promoting free trade and economic growth among its member states.
EFTA countries are all highly developed and have high standards of living.
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