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(Adds details on debate over biologics, Amari comment on biologics)
By Ana Isabel Martinez and Kevin Krolicki
ATLANTA, Oct 1 (Reuters) - Trade ministers from a dozen Pacific nations meeting in Atlanta extended talks on a sweeping trade deal until Saturday in a bid to get a final agreement on the most ambitious trade pact in a generation.
Officials extended talks originally scheduled to wrap up on Thursday in a determined effort to produce a breakthrough on the Trans-Pacific Partnership, which would liberalize trade in 40 percent of the world economy for a region stretching from Vietnam to Canada.
"No one wants to leave without an agreement," Mexican Economy Minister Ildefonso Guajardo told Reuters after a second plenary session of top officials from all 12 nations. "The good news is that we will not leave here without one."
Observers pointed to progress on autos, Canada's pledge to compensate farmers hurt by imports and signs of a possible compromise on patent protection for new drugs as evidence of advancement - although that remained a key sticking point.
"We are starting to see the path to an agreement and have agreed to make final efforts," Japanese Economy Minister Akira Amari told reporters.
Several officials said a final deal could come quickly depending on the outcome of bilateral talks on intellectual property protection for medicines and trade in dairy and autos.
Amari said the monopoly period for biologic drugs, which are made from living cells, was the most difficult issue remaining. TPP countries have protection periods ranging from 12 years in the United States to five years in countries including Australia and Chile.
A deal would be a legacy-defining achievement for U.S. President Barack Obama. But the trade deal is seen as a threat by an array of interest groups from Mexican auto workers to Quebec dairy farmers to cancer patients who worry that it could push the cost of new therapies out of reach.
In a reassertion of concern in Congress, a group of U.S. lawmakers from both parties sent a letter to U.S. Trade Representative Michael Froman and Treasury Secretary Jack Lew on Wednesday.
"We urge you to take the time necessary to get the best deal possible for the United States, working closely with us," said the letter signed by House Ways and Means Committee Chairman Paul Ryan and Senate Finance Committee Chairman Orrin Hatch as well as the senior Democrats on those two committees.
Several Republicans attacked a new U.S. proposal to ensure governments would be free to enact anti-smoking measures without fear of legal action by tobacco companies.
That could prevent companies like Philip Morris and Japan Tobacco Inc from using rules to protect foreign investors to challenge public health measures but falls short of the sweeping measure anti-smoking groups had hoped for.
Guajardo said talks on auto trade had progressed but were not over yet.
The auto issue is crucial for Japan, whose automakers, led by Toyota Motor Corp, depend on sales to the U.S. market and want flexibility on sourcing auto parts.
But Mexico, which has experienced a boom in auto-related investment over the last two decades, wants to protect its manufacturers against increased competition from Asia. (Additional reporting by Krista Hughes in Atlanta and Susan Cornwell in Washington; Editing by Bernard Orr, Diane Craft and Ken Wills)