Starting 2008, Dutch authorities began confiscating several shipments of generic drugs bound for developing countries in South America. Most of these shipments originated in India and were seized on grounds of suspected patents and trademarks infringement. However, they were neither protected at the port of origin, nor the destination country. While most debates have surrounded the rights under the TRIPS Agreement, the right to freedom of transit protected under Article V of the GATT has not been given much attention. Considered along with the General Exceptions under Article XX of the GATT, seizure of goods in transit acquires quite a different dimension. This work begins by analyzing the interpretation of Article V of the GATT including an analysis of the special character of the border measures imposed by the EU. It then analyzes the consistency of the border measure and its application with the GATT, 1994 to determine whether, if not the TRIPS Agreement, does the GATT, 1994 grant protection to countries which seek to undertake such measures.
Global Trade and Customs Journal