Ozempic Copies to Cost $14 in India as Generic GLP-1 Era Starts

Injection pens for the weight-loss treatment Wegovy, manufactured by Novo Nordisk A/S, on display during a news conference in Mumbai. Photo by Dhiraj Singh /Photographer: Dhiraj Singh/Bloom

Article content

(Bloomberg) — At least a dozen large drugmakers are set to roll out copies of Novo Nordisk A/S’s blockbuster weight-loss drugs in India, crashing prices as soon as the patent expires Friday.

Article content

Natco Pharma Ltd. plans to sell an injection for semaglutide —  the active ingredient in both Ozempic and Wegovy — with prices starting from 1,290 rupees ($14) a month, on the first day the generics are allowed. The pen device is expected to launch by April and cost about 4,500 rupees a month, it said in a filing. 

Article content

Article content

Article content

By comparison, Novo’s Wegovy pen starts at about 10,480 rupees ($113) in India and about $199 in the US under the self-pay model. Other companies are likely to price the starting dose between 3,000 rupees ($32) and 5,000 rupees a month, according to people familiar with the matter who did not want to be named as the information is competitive.

Article content

Article content

While Canada was the first to lose patent protection for semaglutide in January, the Canadian health regulator hasn’t approved any generics so far effectively making India the first major market to see a flood of copycat versions. The ensuing price war will be closely watched as the Danish drugmaker faces patent expiries in key markets including China, Brazil and Turkey.

Article content

Bloomberg News parsed company filings and earnings call transcripts to identify at least 12 large drugmakers — Sun Pharmaceutical Industries Ltd., Dr. Reddy’s Laboratories Ltd. and Lupin Ltd. among others — that have plans to sell generic semaglutide soon after patent expiry. But the true scale of competition will be much higher. 

Article content

About 42 drug manufacturers, including smaller ones, are expected to launch products under more than 50 brand names this year, said Sheetal Sapale, a researcher at market data firm Pharmarack.

Article content

Article content

‘Case Study’

Article content

India is “an important case-study for the future” loss of exclusivity on this molecule, Jefferies analysts led by James Vane-Tempest wrote in a Feb. 12 note. The brokerage estimates India’s weight-loss market at about $500 million, which “could rise to $1 billion with the right pricing, adoption and government incentives.”

Article content

Generic drugmakers are also experimenting with a range of delivery formats, including single-use pre-filled syringes, single-shot pen injectors, vials, and reusable pens with adjustable dosing, the people familiar with the matter said.

Article content

These are aimed at giving patients more flexibility, reducing the cost burden and making adoption of these anti-obesity therapies easier. Novo Nordisk’s Ozempic and Wegovy and Eli Lilly & Co.’s Mounjaro in India currently come in a pre-filled pen with four shots.

Article content

The tweaked delivery methods can also build brand loyalty. If a patient gets comfortable using a particular device, they usually wouldn’t switch, Pharmarack’s Sapale said.

Article content

“The reputation of the company in this therapy category as well as the delivery system will be the differentiators now” since the underlying semaglutide molecule is the same, she added.

Article content

Indian drugmakers have also started forging alliances. Zydus Lifesciences Ltd. this week announced a licensing partnership with Lupin and Torrent Pharma Ltd., while Eris Lifesciences Ltd. has tied up with Natco Pharma for the marketing of the drug.  

Article content

The generic drugmakers will also focus more on smaller cities where innovator firms have not established a widespread presence, Sapale said. “There will be a lot of noise” in the market as firms fight for share, she added.

Article content

—With assistance from Naomi Kresge and Amber Tong.

Article content