On April 3^rd, the Brazilian Ministry of Health held an event to announce the reconstruction of the Executive Group of the Health Economic-Industrial Complex – “GECEIS”, which will be coordinated by the Ministry of Health (“MS”) and the Ministry of Development, Industry, Trade and Services (“MDIC”).

The GECEIS' reconstruction is part of the government’s efforts to strengthen the Brazilian Health Economic-Industrial Complex. The announced expectation is that 70% of Brazil’s Unified Public Health System necessities will be nationally produced and attended within ten years.

To this end, according to the press release, "actions to promote research and innovation, the celebration of product development partnerships and innovation, actions aiming at the comprehensive use of the Brazilian Federal Government purchase power and strengthening national production" are planned.

Moreover, the Brazilian Minister of Health, Mrs. Nísia Trindade, stated that in the next 30 days, GECEIS will identify the sectors needing most funding.

Besides the alleged concern with the national production increase, it is noteworthy that the Brazilian vice-president, Mr. Geraldo Alckmin, which was present at the event, stated that he intends to reduce the period for analyzing a patent application to 2 years. In this sense, given the prominent role of the MDIC in GECEIS' coordination, a greater precaution regarding patent rights is expected, unlike what happened in 2017 with the last series of Product Development Partnerships ("PDP"). Many PDPs signed in that year ignored patents from third parties and ended up either as object of several discussions in the Judicial Branch and before the Brazilian Government Accountability Office, or were terminated and/or cancelled by the Government itself.

The new GECEIS will be composed of one representative member from each of the following Brazilian administrative bodies and entities:

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I – Ministry of Health;

II – Ministry of Development, Industry, Trade and Services;

III – Office of the President’s Chief of Staff;

IV – Brazilian Presidency’s Institutional Affairs Office;

V – Ministry of Finance;

VI – Ministry of Planning;

VII – Ministry of Public Service Management and Innovation;

VIII – Ministry of Science, Technology and Innovation;

IX – Foreign Ministry;

X – Ministry of Education;

XI – Ministry of Labor and Employment;

XII – Brazilian Supplementary Health Agency – ANS;

XIII – Brazilian Food and Drug Administration – ANVISA;

XIV – Brazilian Bank for Economic and Social Development – BNDES;

XV – Brazilian Company of Hospital Services – EBSERH;

XVI – Brazilian Financier of Studies and Projects – FINEP;

XVII – Oswaldo Cruz Foundation – FIOCRUZ;

XVIII – Brazilian Patent and Trademark Office – BRPTO (INPI);

XIX – Brazilian National Institute of Metrology, Quality and Technology – INMETRO; and

XX – Brazilian Industrial Development Agency – ABDI.

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Furthermore, GECEIS must act in an articulated and collaborative manner with representatives of the following Brazilian agencies and entities:

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I – National Health Council – CNS;

II – Brazilian Sciences Academy – ABC;

III – Brazilian Society for Science Advancement – SBPC;

IV – Brazilian Council of State Health Secretaries – CONASS;

V – Brazilian Council of Local Health Secretaries – CONASEMS;

VI – Brazilian Association of Public Health – ABRASCO;

VII – representation entities of the public and private productive sector;

VIII – trade unions; and

IX – other entities considered relevant.

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Our team is closely monitoring the developments and impacts arising from the GECEIS reconstruction. For more information, please email equipeeh@lickslegal.com.

The full text concerning the ordinance that determined the GECEIS reconstruction can be accessed through the following link (in Portuguese): https://www.in.gov.br/web/dou/-/decreto-n-11.464-de-3-de-abril-de-2023-474873011