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    Home » From Code to Cure: Legal Hurdles for AI in Indian Pharma
    #TheSpotlight

    From Code to Cure: Legal Hurdles for AI in Indian Pharma

    December 16, 2024By QH Editorial Team
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    • December 16, 2024

    The Rise of AI in Drug Discovery

    Drug discovery—a process traditionally taking 10-15 years and costing billions of dollars—is now being accelerated by the advent of Artificial intelligence (AI) technologies. AI models can analyze vast datasets, identify potential drug candidates, predict their efficacy, and streamline the preclinical and clinical trial phases.

    India, being the world’s largest provider of generic medicines, has begun integrating AI into its drug discovery processes. Companies like GVK BIO, Syngene, and Sun Pharma are leveraging AI to optimize molecule identification and drug design. According to a 2023 report by NASSCOM, India’s adoption of AI in pharma is growing at 25% annually. The AI healthcare market is projected to reach $6 billion by 2025. According to a joint study conducted by Carnegie Mellon University and a German institution – globally, the use of AI in drug discovery could reduce costs by up to 70% and shrink timelines by 30-50%.

    AI applications in drug discovery include:

    1. Target Identification: AI algorithms identify biological targets for diseases faster and more accurately than traditional methods.
    2. Drug Screening: Machine learning models sift through millions of chemical compounds to find the most promising candidates.
    3. Clinical Trial Optimization: AI predicts patient responses, ensuring more efficient and effective trials.
    4. Repurposing Existing Drugs: AI analyzes existing drugs to find new therapeutic uses.

    Regulatory Landscape in India

    Existing Framework

    Despite the transformative potential of AI, India’s regulatory framework for AI in drug discovery remains nascent and fragmented. Current regulations fall under broader healthcare and pharma laws, with no AI-specific provisions:

    1. Drugs and Cosmetics Act, 1940: Governs drug manufacturing, testing, and approval but doesn’t address AI-driven methodologies.
    2. New Drugs and Clinical Trials Rules, 2019: Regulates clinical trials but does not accommodate AI’s role in trial optimization or virtual testing.
    3. Information Technology Act, 2000: Provides a legal basis for data protection but doesn’t cater to the specific needs of sensitive healthcare data used in AI models.
    4. Digital Personal Data Protection Act, 2023: While this act aims to safeguard personal data, it does not explicitly clarify the sharing and processing of healthcare data for AI applications.

    The Central Drugs Standard Control Organization (CDSCO), India’s apex drug regulatory body, oversees drug approvals. However, its guidelines are geared toward traditional methods, leaving a significant gap in addressing AI-driven processes.

    Regulatory Gaps

    1. Absence of AI-Specific Guidelines:

    • India lacks a clear regulatory framework defining how AI can be integrated into drug discovery.
    • There are no standardized protocols for validating AI algorithms used in identifying drug candidates or conducting simulations.

    2. Accountability and Liability Issues:

    • If an AI-driven drug discovery process leads to adverse effects, it is unclear whether liability lies with the AI developer, the pharmaceutical company, or the data provider.
    • Legal ambiguity exists regarding who owns the intellectual property (IP) for AI-generated drug candidates.

    3. Data Privacy and Security:

    • AI requires access to vast datasets, including patient records and clinical trial data. Current laws do not adequately protect this sensitive data.
    • There is a lack of clarity on cross-border data transfers, a significant concern for collaborations with international AI firms.

    4. Ethical Considerations:

    • AI models may perpetuate biases present in training datasets, leading to ineffective or unsafe drugs for underrepresented populations.
    • No ethical framework exists to oversee the use of AI in patient-related decision-making during clinical trials.

    5. Approval Process Challenges:

    • Regulatory bodies are unfamiliar with the technical intricacies of AI models, leading to delays or inconsistent approval processes for AI-generated drugs.
    • There is no fast-track mechanism for AI-driven drug discovery projects, unlike in countries like the U.S. and Japan.

    6. Interdisciplinary Coordination:

    • Regulatory gaps arise due to poor coordination between healthcare, technology, and legal sectors in framing policies.

    Global Comparisons

    India can draw inspiration from global regulatory frameworks to address these gaps:

    1. United States: The FDA’s AI/ML-Based Software as a Medical Device Action Plan provides a framework for regulating AI in drug development, emphasizing transparency and accountability.
    2. European Union: The EU AI Act categorizes AI applications based on risk and sets standards for high-risk applications like drug discovery.
    3. Japan: Japan’s Pharmaceuticals and Medical Devices Agency (PMDA) has established clear guidelines for approving AI-driven healthcare solutions, fostering faster adoption.
    4. Singapore: Its Health Sciences Authority (HSA) has introduced flexible guidelines for AI in healthcare, balancing innovation with patient safety.

    The Way Forward

    To bridge the regulatory gaps and harness AI’s full potential in drug discovery, India must adopt a multi-pronged strategy:


    1. AI-Specific Regulatory Framework:

    • Develop dedicated guidelines for AI-driven drug discovery processes, from preclinical research to clinical trials and approvals.
    • Establish clear parameters for validating AI algorithms, ensuring reliability and reproducibility.

    2. Data Protection and Sharing Protocols:

    • Implement stringent data privacy regulations tailored to healthcare data, ensuring secure and ethical usage.
    • Facilitate frameworks for safe data sharing between public and private entities, encouraging collaboration.

    3. Liability and Accountability:

    • Define clear liability protocols to address issues arising from AI-generated drugs, including adverse effects and IP disputes.
    • Require transparency from AI developers regarding model design and decision-making processes.

    4. Capacity Building in Regulatory Bodies:

    • Train regulators in AI and machine learning to better understand and evaluate AI-driven applications.
    • Create interdisciplinary panels involving tech, healthcare, and legal experts to review AI-driven drugs.

    5. Ethical Oversight:

    • Develop an ethical framework ensuring AI minimizes biases and adheres to principles of inclusivity and safety.
    • Mandate independent audits of AI models to assess ethical compliance.

    6. Incentivizing Innovation:

    • Introduce fast-track approval pathways for AI-driven drugs addressing unmet medical needs.


    Offer tax incentives and grants to startups and pharma companies investing in AI-based drug discovery.

    Conclusion

    AI-based drug discovery holds immense promise for revolutionizing India’s pharmaceutical sector by reducing costs, accelerating timelines, and improving outcomes. However, the lack of a robust regulatory framework poses significant challenges, from data privacy to accountability. Addressing these gaps requires a proactive and collaborative approach involving regulators, industry stakeholders, and technology experts.

    By adopting global best practices and crafting a forward-looking regulatory framework, India can not only overcome these challenges but also emerge as a leader in AI-driven drug discovery. The future of Indian pharma lies at the intersection of innovation and regulation, and bridging this gap will ensure both safety and progress.

    Author

    • QH Editorial Team
      QH Editorial Team

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    AI Artificial Intelligence Data Protection DPDPA HealthTech IT Act 2000

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