Exclusive: Novo Nordisk cuts Wegovy price by up to 33% in India, document shows
News Summary
Danish drugmaker Novo Nordisk on Tuesday cut the price of its blockbuster weight-loss drug, Wegovy, by up to 33% in India, according to a document seen by Reuters. For instance, the highest 2.4 mg dose of Wegovy will now cost 16,400 rupees, down from 24,389.06 rupees (approximately $186.59). This price reduction comes just days after rival Eli Lilly's weight-loss therapy, Mounjaro, became India's top-selling drug by value in October. Wegovy's active ingredient, semaglutide, goes off patent in India in March 2026, paving the way for generic players. Analysts suggest the move is intended to better compete with Mounjaro in a price-sensitive market like India.
Background
Novo Nordisk and Eli Lilly are leading pharmaceutical giants dominating the booming global weight-loss drug market, which analysts estimate could be worth $150 billion annually by the end of the decade. Both Wegovy (semaglutide) and Mounjaro (tirzepatide) are GLP-1 receptor agonists, demonstrating significant efficacy in weight loss. India is emerging as a critical market for these drugs due to rising rates of obesity and related health issues. The patent expiration for semaglutide in India opens the door for generic manufacturers, which typically leads to price reductions and increased market competition.
In-Depth AI Insights
What does Novo Nordisk's aggressive price cut for Wegovy in India reveal about the competitive dynamics and market strategy for GLP-1 drugs? - This price reduction highlights the intense competition between Novo Nordisk and Eli Lilly in emerging markets, particularly India. Coming after Mounjaro's success and ahead of Wegovy's patent expiration, it suggests a pre-emptive strike to secure market share and establish brand loyalty before generic entrants arrive. - This may indicate a broader strategy of sacrificing short-term margins in key growth markets to maintain long-term volume and market leadership, especially as patent cliffs loom. What are the broader implications for global pharmaceutical pricing and market access strategies, especially in price-sensitive emerging economies? - This aggressive pricing in India could set a precedent for other emerging markets, forcing pharmaceutical giants to adopt more flexible and country-specific pricing models. - It also underscores the tension between maximizing profitability in developed markets and ensuring widespread access in developing ones. This strategy could also be a defensive play against future government price controls or local generic competition, demonstrating a willingness to adapt to local economic realities to prevent being completely sidelined. How might the upcoming patent expiration in India impact Novo Nordisk's long-term revenue streams and its R&D investment strategy for next-generation weight-loss therapies? - The patent expiration for semaglutide in India in March 2026 means revenue from Wegovy in India will face significant pressure from generics. This immediate price cut is a short-term tactical response. - Long-term, it will likely intensify Novo Nordisk's focus on accelerating R&D for next-generation GLP-1 or other obesity treatments (e.g., oral formulations, dual/triple agonists, or even non-hormonal therapies) to maintain a competitive edge and offset revenue declines from expiring patents globally. - It also underscores the importance of diversifying revenue geographically and therapeutically.