India Pharma Outlook Team | Monday, 28 April 2025
Dr. Reddy's Laboratories is preparing to enter the rapidly expanding GLP-1 (glucagon-like peptide-1) drug market, hoping to launch generic versions of key diabetes and obesity drugs such as Semaglutide from 2026 onwards as patents begin to lapse. Addressing the Nasscom GCC Summit, leadership at the company detailed a strategy of focusing on markets where patents expire earlier, including Canada and Brazil, followed slightly later by India.
The Hyderabad drugmaker is creating a portfolio of about 15 GLP-1 products with phased launches to coincide with patent expirations in global markets.
Emphasizing the value of both generic and innovator companies, Prasad said, "We are registering the products around the world, including India, and the first few generic versions will start rolling out as soon as they go off-patent. We have already made the products for testing but cannot launch until patent expiration."
He highlighted that even the process of creating generic medicines is capital-intensive, as each product would cost $2–3 million to introduce into the market. Compared with new drug discovery, it can reach over $1 billion. He added that clinical development is still the largest challenge, accounting for almost 80% of the overall expense even with improvements in data management and monitoring technology.
Prasad also highlighted the issue caused by the increasing number of international pharmaceutical firms setting up Global Capability Centres (GCCs) in Hyderabad, which has increased competition for talent. To counter this and other stresses, Dr. Reddy's Laboratories has been actively embracing technologies like AI and robotics to increase productivity, enhance efficiency, and lower operational costs.