Good Day BIO: USTR's Special 301 Report and a fertilizer crisis

A new week and a new month, with a look at USTR’s 2022 Special 301 Report (and BIO’s take on it) plus why farmers and investors are looking to biotech to help solve the fertilizer crisis. (685 words, 3 minutes, 25 seconds)

USTR calls out China – but still supports giving away science

With the release of the 2022 Special 301 Report, USTR calls out China, but also reiterates support for waiving intellectual property protections for COVID-19 vaccines—here’s BIO's take. 

USTR released the 2022 Special 301 Report, which reviews “the adequacy and effectiveness of U.S. trading partners’ protection and enforcement of intellectual property (IP) rights.” USTR reviewed 100+ trading partners and put 27 on the Priority Watch List or Watch List.

USTR included China on the Priority Watch List, citing pharmaceutical sector concerns and noting “investment and regulatory approvals, market access, government procurement, and the receipt of certain preferences or benefits may be conditioned on a firm’s ability to demonstrate that IP is developed in or transferred to China, or is owned by or licensed to a Chinese party.”

BIO’s take: “We welcome USTR’s efforts to address IP-related concerns for U.S.-based biotech enterprises in China, especially concerning China’s coercive technology transfer policies, patent prosecution, and patent enforcement obstacles. USTR’s emphasis on monitoring China’s progress in implementing its Phase One Agreement commitments to address these longstanding IP matters is encouraging,” says BIO’s statement released Friday.

But: USTR reiterated the administration’s support for a waiver of IP protections for COVID-19 vaccines under the WTO Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS).”

BIO’s “disappointed,” continues the statement. “This proposed agreement would have profound and negative consequences on the US’s leadership in innovative biotechnology development. We also point out that this position on the TRIPS Agreement stands in stark, irreconcilable, contrast to many other positions taken by USTR in addressing IP-related concerns in key markets abroad.”

The big picture: “Absent adequate IP protections, U.S. biotech companies are unable to innovate, invest, and create jobs in the United States. Strengthening the global policy environment for the commercialization of IP-enabled innovations should, therefore, be a priority for this Administration,” says BIO.

Read BIO’s comments to USTR in January.

More Health Care News:

Bloomberg Law: COVID federal aid fight risks future pandemic drugs, vaccines
“Absent more funding, the U.S. faces a risk of shortages in vaccines or antivirals if there’s a spike in cases or illness, BIO’s [Phyllis] Arthur said. The country also faces a potential loss of future vaccines and antivirals.”

With fertilizer prices at record highs, world looks to biotech

We have a fertilizer crisis—but we also have solutions, like GE microbes and synthetic biology.

The news: Fertilizer prices are at record highs, up as much as 70% from last year, reports Bloomberg, as a result of Russia’s invasion of Ukraine disrupting supply.

Why it matters: “For the first time ever, farmers the world over—all at the same time—are testing the limits of how little chemical fertilizer they can apply without devastating their yields come harvest time,” continues Bloomberg. “Lower fertilizer use risks engendering malnutrition, political unrest and, ultimately, the otherwise avoidable loss of human life.”

It’s driving investors and farmers to biotech solutions,The Wall Street Journal reported Saturday—like “harnessing microbes or plant-based products to deliver nutrients that corn and other crops need” with genetic engineering and synbio.

Here’s an example: Two BIO members, Bayer and Gingko Bioworks, recently announced a partnership to develop biological crop solutions with “focus on the advancement of Joyn’s marquee nitrogen fixation program.”

BIO’s take: “Innovations in genetically engineered (GE) microbes can unlock the potential for biology to transform industries,” says BIO’s Issue Brief. “But these breakthroughs are dependent on a clear, timely, and science-based regulatory approval process that provides a viable path to market.”

More Agriculture & Environment News: 

Fortune: ESG investors shouldn’t ignore biotech’s potential to deliver change
"The financial industry is undergoing an awakening," writes Dr. Michelle McMurry-Heath. "It's the revelation that businesses that prioritize people and the planet can be just as successful–or indeed, more successful–than firms that focus solely on their bottom lines. That's why the world's biggest asset managers now evaluate companies on their Environmental, Social, and corporate Governance priorities, and allocate their capital accordingly."

EPA: EPA issues emergency fuel waiver for E15 sales
“Following President Biden’s announcement, EPA takes critical steps to increase fuel supply, which will provide consumers more choices at the pump.”

President Biden’s Monday: This morning, presenting the Presidential Rank Awards to 230 outstanding career employees from 37 federal agencies. This afternoon, hosting a reception this afternoon to celebrate Eid al-Fitr.

What’s Happening on Capitol Hill: The Senate may return its attention to a climate bill and “[a] small bipartisan group of lawmakers will gather again on Monday evening to hash out whether a deal is possible to combat climate change and modernize U.S. energy policy,” reports POLITICO. The House is in recess.