An international drug purchase fund for HIV, malaria and TB medicines called UNITAID was launched this week
The mechanism is intended to raise new money to fund antiretroviral drug purchases by using innovative fundraising methods. The French government announced in February that it will fund its contribution through a new tax on airline tickets. The tax will levy one euro on all domestic and European flights departing from French airports, and four euros on long-haul flights. Business and first class travellers will pay ten euros on European flights and 40 euros on long-haul flights.
The United Kingdom will contribute $25 million in 2007 while France will contribute $250 million. UK International Development Minister Gareth Thomas promised that the UK’s contribution will triple by 2010.
“UNITAID can use its purchasing power to leverage price reductions for quality drugs and diagnostics, and accelerate the pace at which they are made available. It can provide a stable and continuous source of financing for health care programmes, particularly in low-income countries,” said UN Secretary-General Kofi Annan at the launch in New York.
Aditi Sharma, HIV and AIDS Campaign Coordinator for ActionAid International said, "While we welcome innovative funding plans to fight HIV and AIDS, we must ensure that this is indeed additional to existing aid commitments. Rich countries have already made commitments which are in grave danger of not being met. We hope this isn't another one to add to that list.”
UNITAID plans to purchase antiretrovirals for 130,000 children in 35 countries by the end of 2007, and will also fund second-line antiretroviral treatment for 100,000 people in 16 countries by the end of 2007.
However, UNITAID’s success will depend on a number of factors, including the ability of generic manufacturers to develop and bring to market generic formulations of second-line and paediatric drugs that are significantly cheaper than branded alternatives, together with the ability of the World Health Organization to prequalify UNITAID’s priority drugs quickly.