More talks in Aids drugs case

Medecins Sans Frontieres: Drop the court action

A judge in South Africa has adjourned a court case over the price of Aids drugs amid signs that the government and pharmaceutical companies may be close to a deal.

The judge told the court that he understood that discussions between the two sides were still going on and that he wanted to adjourn proceedings until 1000 (0800 GMT) on Thursday.

More than 4m South Africans are thought to be HIV-positive

The 39 pharmaceutical companies have gone to court to block legislation passed in 1997 which they say will give the South African health minister blanket powers to import or manufacture cheaper versions of brand-name drugs.

But it is reported that the companies may now be considering dropping their legal action.

A government spokesperson said a settlement was imminent.

'Case may collapse'

As the court was adjourned for a second time today, both the South African Government and lawyers representing the pharmaceutical companies remained tight-lipped.

But groups campaigning for greater access to vital drugs in the developing world said they sensed the case may now collapse.

The campaign groups are urging the South African Government not to compromise, and to refuse any demands that they change their legislation in return for the withdrawal of the drugs companies' case.

Crippling crisis

The 1997 legislation was suspended pending the outcome of this court case, and the government argues its hands have been tied at a time when it desperately needed cheap drugs to address the country's crippling Aids crisis.

Aids activists say the case will determine what matters more: the companies' profits or the lives of those suffering from Aids in poor countries.

The BBC's Greg Barrow in Pretoria says the firms involved in the case are finding it difficult to occupy the moral high ground in an argument about access to vital drugs in the poorest regions of the world.

The international medical organisation, Medecins Sans Frontieres (MSF) has presented the companies with a petition signed by 250,000 people, including eminent scientists and film stars, calling on them to withdraw.

'Nonsense'

"All over the world people are asking you to drop this. It is nonsense," MSF representative Eric Goemaere told the industry earlier.

Former South African President Nelson Mandela has also joined the fray, accusing the companies of exploitation, and criticising them for using court action to protect their profits.

The pharmaceutical industry has hit back, questioning the South African Government's commitment to treating the country's 4.7 million HIV carriers.

The companies maintain the 1997 law puts the future of the industry at risk, threatening the profits that allow them to create and test new drugs.