Lilly and Novo engage in competition for obesity drug market in India

Global pharmaceutical giants Eli Lilly and Novo Nordisk are competing fiercely for dominance in India's rapidly growing obesity drug market. With the launch of affordable generic treatments expected in 2026, both companies are ramping up efforts to capture market share through pricing strategies, partnerships, and awareness campaigns.

In Hyderabad, India, global pharmaceutical giants Eli Lilly and Novo Nordisk are in fierce competition to dominate the country's rapidly growing obesity drug market. With the launch of more affordable generic versions of obesity treatments expected in March 2026, both companies are intensifying their efforts to capture significant market share before the influx of competition. Each has adopted a distinct strategy to solidify its position.

Strategic Approaches

Both Lilly and Novo Nordisk have tailored their approaches to outpace each other. Novo Nordisk is focusing on reducing prices and speeding up product launches, whereas Eli Lilly has gained an early advantage by introducing its products ahead of its competitors, thereby ensuring a strong market presence. Both companies are implementing aggressive tactics to expand their reach:

• Outreach programs aimed at doctors
• Heavier advertising campaigns emphasizing the importance of addressing obesity
• Partnerships with clinics to improve access to treatments
• Incentives for patients to use their products
• Collaborations with local Indian drugmakers for better distribution

Additionally, Lilly has partnered with Bollywood celebrities to raise awareness about obesity in India via social media campaigns. India is expected to have the second-largest population of overweight and obese individuals globally by 2050, making it a crucial market for obesity drugs. As the worldwide market for such treatments is projected to hit $150 billion annually by the end of the decade, India is becoming an increasingly important battleground.

Market Growth and Early Trends

Despite most patients in India paying out-of-pocket for these medications, early data shows a rapid uptake of obesity drugs. Analysts predict that the Indian market could exceed $1 billion within the next two years. Shrikant Akolkar, Vice President at Nuvama Institutional Equities, commented, "We believe that this market can be more than $1 billion within two years." According to Pharmarack, India's obesity drug market was valued at 6.28 billion rupees ($70.23 million) in July 2023, marking a fivefold increase since 2021. This growth reflects the rising demand for effective weight-loss treatments.

Lilly's Early Success

One of the key players in this race is Eli Lilly's Mounjaro, which was approved for both diabetes and weight loss in India. Since its launch in March, Mounjaro has rapidly become the top-selling drug by value, with its sales doubling within just a few months. In comparison, Novo Nordisk's Wegovy, introduced in June, is still catching up. Vikrant Shrotriya, Managing Director at Novo Nordisk India, acknowledged, "We realized just after a couple of months that for accessibility, we had to take a price cut."

In November 2023, Novo Nordisk reduced the price of Wegovy by up to 37%, with the lowest dose of 0.25 mg priced at 10,850 rupees ($121.34) per month. The company also launched Ozempic in India at 8,800 rupees ($98.42) for a 0.25 mg dose to target a broader market segment.

Price Wars and Patent Expirations

Although Mounjaro's early introduction helped it secure a significant lead, Novo Nordisk's price cut has made Wegovy a more competitive offering. Analysts have noted that Mounjaros pricing is a crucial factor in its success, with some doctors highlighting its potential for greater weight loss, making it popular among patients. However, the competition is expected to intensify as Indian drugmakers prepare to launch generic versions of Novo's weight-loss drugs after its patent on semaglutide expires in March 2026. These generics could be priced up to 60% lower, which could put pressure on branded products like Wegovy.

Despite concerns about the patent expiration, Novo's Shrotriya downplayed the potential impact, emphasizing that the company's strategy in India would prioritize quality, trust, and affordability over patent protection alone.

Continued Competition

Lilly's Mounjaro, priced at 13,125 rupees ($146.79) for a 2.5 mg dose, remains the drug of choice for many patients. The price for the highest 15 mg dose reaches 25,781 rupees ($288.33) per month. While this pricing positions Mounjaro at a premium compared to Novo's offerings, it has helped Lilly maintain a strong market presence. Dr. Anoop Misra, an endocrinologist and executive chairman at Fortis C-DOC Hospital, commented, "Mounjaro clearly has first-strike advantage and continues to have strong demand, but price-sensitive patients are reassessing alternatives."

Currently, Lilly does not plan to lower its prices as it holds a dominant market position. Analysts like Vishal Manchanda from Systematix Institutional Equities suggest that even if Lilly reduces prices later, Mounjaro will likely remain 30% more expensive than other branded weight-loss drugs.

Collaborations to Expand Market Reach

The competition between Lilly and Novo has extended beyond pricing and patents. Both companies are working to expand their reach into smaller towns and suburban areas of India. Lilly has partnered with Cipla, the third-largest drugmaker in India, to launch a second brand of tirzepatide called Yurpeak. This move aims to capture consumers in smaller markets. Lilly has also teamed up with Apollo Hospitals to raise awareness about obesity and diabetes, investing over $1 billion to expand its contract manufacturing operations in India.

Similarly, Novo Nordisk has partnered with Emcure Pharmaceuticals to launch a second brand of semaglutide called Poviztra, aimed at broadening its distribution network beyond major cities. Novo has also collaborated with the startup Healthify to offer personalized health coaching and has joined forces with Apollo Hospitals to promote obesity awareness.

As prescription drug advertising is banned in India, both companies have turned to educational campaigns to inform the public about obesity, framing it as a serious disease. Novo's "WeGoWithYou" and Lilly's "WeKnowNow" initiatives aim to provide resources and connect patients to medical professionals.

The Future of the Indian Obesity Drug Market

The obesity drug market in India is evolving rapidly, fueled by growing awareness of obesity as a health issue and increasing availability of effective treatments. As both Lilly and Novo prepare for the introduction of generic alternatives, the competition is expected to intensify, especially in India's price-sensitive market. With projections indicating that the market could surpass $1 billion in the next two years, India is set to become a crucial battleground for global pharmaceutical companies vying for dominance in the obesity drug sector.

Sources:

• Lilly, Novo lock horns in India's obesity drug race

Author: Olivia Parker
Olivia Parker is a journalist and editor with over 8 years in media. She focuses on culture, arts, and social issues, skilled in feature writing and critical reviews.