Generic Tamiflu is made in Asia

Two Asian groups are claiming to have produced a generic form of Tamiflu, the Roche-made medicine that can protect against the bird flu pandemic.

The move could open up the bottleneck of Tamiflu supplies, which has left many countries desperately short of the anti-viral drug. Scores of people have died from bird flu in Asia, where poultry is being slaughtered to try to control the disease. It has now entered the eastern reaches of Europe.

Roche has said it will license Tamiflu, and has been contacted by more than 100 parties that want to produce it. But Roche claimed it was difficult to make, and that it would take time for rivals to develop the expertise.

However, Cipla, an Indian drugs maker, and Taiwan's National Health Research Institute, have both said they have made batches of Tamiflu.

Roche has now admitted that the difficulties may have been overstated.

The Swiss drugs company Novartis may also build a vaccine production plant in the US which would ease the flu treatment shortage. It would also head off concerns that Novartis's acquisition of California-based Chiron will take America's only nationally owned vaccine company into foreign ownership.

The $5.1bn (£2.9bn) acquisition of the 58 per cent of Chiron that Novartis does not already own, announced last week, has won the support of the smaller company's independent directors but has yet to be agreed by shareholders and by regulators.

Novartis's chief executive, Daniel Vasella, said last week it would consider building a vaccine production plant in the US.

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