Unlocking the Hidden Potential of Traditional Knowledge: Building Up a Phytopharmaka Market

1. Unlocking the Hidden Potential of Traditional Knowledge:Building Up a Phytopharmaka Market Muscat, February 13 and 14, 2005 Intellectual Property and Economic Development Division Roya Ghafele, e-mail: roya.ghafele@wipo.int

2. EXECUTIVE SUMMARY • Tradition Medicine is a source of prosperity proper to Oman. However this intellectual asset has so far not been fully exploited, mainly because Omani are not yet fully aware of the value of the wealth they own. • The market in Phytopharmaka and alternative medical treatment is globally boosting. Countries like China, India, Sri Lanka and Indonesia are fully profiting from this trend. There is no reason why Oman should not also benefit from this emerging market. • Adequate market development strategies need to integrate the IP dimension, but also look at issues related to benefit sharing. The three steps to develop the market in Oman consists of unlocking hidden assets, defining and understanding the market and positioning Omani products globally. • Practical next steps include developing government commitment, mobilizing funding, identifying relevant stakeholders, bringing them together to interact and starting to standardize healing practices to guarantee patients’ safety. Oman may also consider to study closer Asian success stories. Source: Roya Ghafele

3. AGENDA The Omani Context Alternative Medicine: A growing Market You can do it too!

4. The Omani Government Encourages the Use of Traditional Values “The Omani people have, with God’s grace, managed to combine the good elements of tradition and the good elements of modern times…Oman joins tradition to modernization.” “The objective of the National Drug Policy is to develop within the resources of the country, the potential that drugs have to control common diseases and alleviate poverty.” “The National Drug Policy seeks to ensure that the traditional medicines of Oman and the imported traditional remedies are safe and effective.” Source: Roya Ghafele, WIPO/ECTK/SOF01/3.6, Oman National Drug Policy 2000

5. Pharmaceutical Market Size: Selected Middle Eastern Countries 1000 Market Size: In US Dollar Million 350 160 80 60 30 Saudi Arabia United Arab Emirates Kuwait Qatar Oman Bahrain Source: Roya Ghafele, oeronline.com

6. Traditional Medicine: An unlocked Asset in Oman Lack of awareness of the value of traditional medicine Negative stigma among educated, used by uneducated & rural poor Insufficiently researched Few studies on health impact or use by patients Total market size unknown Over prescription of antibiotics Source: Roya Ghafele

7. AGENDA TheOmaniContext Alternative Medicine: A growing Market You can do it too!

8. Global Trend: Back to Nature Estimated Total Market Size: 43 Billion Dollar China 9 Other 21.4 Western Europe 6.6 3 2 1 U.S.A. Canada Japan Source: Roya Ghafele, CBD Secretariat Report 2000

9. Case Example Indonesia: Indonesia’s Context Vision: “To optimize the utilization of Indonesian Herbal Medicine for the maintenance & promotion of health of the community as well as to prevent & treat diseases” 40 % of population uses herbal medicine: popular & locally available 400 000 species 90 000 used as medicine 400 used as Phytopharmaka Market Potential: 200 million Dollar Growth expected: 20% Source: Roya Ghafele, Badaon Pom Indonesia

10. Case Example Indonesia: Addressing the Challenges Strategic Issues Envisaged Solutions • Lack of data on product/services quality, safety, efficacy • Fragmented information • Limited research • Lack of IP protection in Phytopharmaka • Low acceptance in conventional health care systems • Lack of qualified practitioners Government Commitment Standardization throughout the value chain Quality control of independent institutions, clinical trials Patents on new ingredients, isolations Certification Marks guarantee product safety Further training & R&D Public Private Partnerships Source: Roya Ghafele

11. Case Example Indonesia Government Strategic Policy Inventory, mapping of existing medicinal plants Foster R&D on herbal medicine from cultivation, post harvest, production to final product Develop standards in production, plant material, Verify product safety, efficiency through independent body Ensure IP protection: trademarks, patents Create market opportunities Reposition Phytopharmaka to become globally competitive Source: Roya Ghafele, National Food and Drug Control Agency Indonesia

12. AGENDA The Omani Context Alternative Medicine: A growing Market You can do it too!

13. Changing the Course: Unlocking Hidden Assets Traditional Medicine, a source of wealth for patients & the Omani economy Used as alternative approach across all classes globally Repositioning Traditional Medicine, a shadow market mainly for the poor & uneducated associated with backwardness Source: Roya Ghafele

14. Developing an Early Stage Market in Oman What? Why? How? Improve health care for patients in Oman & worldwide, while expanding a profitable market for Oman Unlock Assets Develop a Market Position Products Globally Marketing Organization Technology • Brand products • Raise patients’ • awareness • Find international • alliances • Raise Awareness • Research & assess • healing methods • Bring research & • industry together • Define your • market • Understand • competition • Assess profits/ • costs Source: Roya Ghafele

15. Next Steps • Develop government commitment • Mobilize funding • Identify relevant researchers, traditional healers, industry interested in developing the market • Bring relevant stakeholders together to interact and build up a network • Seek to standardize healing practices; e.g. issue a university degree on traditional healing Source: Roya Ghafele