Can Indian Companies Compete with MNCs in GLP-1 Production?

With the patents for blockbuster diabetes and obesity drugs, particularly Semaglutide set to expire in India in March 2026, it is expected to trigger a major shift in the market. Indian pharmaceutical companies will be able to launch generic versions of these high-demand GLP-1 receptor agonist drugs. This is a pivotal moment in the offering that will democratise access to expensive therapies that has been till now dominated by multinational companies.

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The patent war can become uglier at times and the pharma industry is no exception to this. Indian and MNC pharma companies are at loggerheads when it comes to global patent disputes. That Indians get affordable and accessible medicines is what the Government of India prioritises. However, MNC pharma companies want to dominate the market armed with patents.

The global pharmaceutical industry is bracing itself for the upcoming patent cliff which is touted to put an estimated $236 billion in drug sales in jeopardy for the innovator companies. Between 2025 and 2030, the patents on a number of blockbuster drugs spanning therapeutic areas including diabetes, cardiovascular, oncology immunology, and ophthalmology are set to expire, thereby opening up the market for generic and biosimilar manufacturers.

While patent cliffs by themselves are not unprecedented, they have previously involved relatively simple chemical entities. By contrast, the current wave of expiries includes several biologics, structurally complex small molecules, and drugs which require novel delivery systems.

India's patent history

India supplying 20 per cent of the world’s generics and exporting to over 200 countries is being supported by the current patent regime. It has ensured access to affordable medicines for diseases like cancer, TB and HIV AIDs. Also, pharma companies have been able to invest more on R&D. The Patents Act of 1970 initially only allowed process patents for pharmaceuticals, enabling Indian companies to manufacture generic versions of patented drugs using alternative processes. The Patents (Amendment) Act, 2005, brought India into compliance with the WTO’s TRIPS agreement, introducing product patents for pharmaceuticals and strengthening IP protection.

Patent disputes