Dr Reddy’s Gets Nod to Export Weight-Loss Drug, Domestic Launch Barred Till March 2026

Dr Reddy's Laboratories Ltd can now export its diabetes and anti-obesity drug semaglutide outside India following a Delhi High Court order on Tuesday. The court allowed the BSE-listed company to manufacture its version of the drug in India but barred it from domestic sales for now.

Semaglutide is the key ingredient in several Novo Nordisk medicines — including Ozempic, Wegovy and Rybelsus, which are widely prescribed for type-2 diabetes and weight management. Novo Nordisk entered the Indian market with Wegovy in June, pricing it between ₹17,000 and ₹25,000 per month.

The company later approached the court, alleging that Dr Reddy's and another pharmaceutical firm, OneSource Specialty Pharma, had violated its patent by importing the active ingredient and formulating it into a drug without consent. The Danish drugmaker argued that even export-only production amounted to infringement under the Patents Act, which grants patentees exclusive rights over making, using and exporting a patented invention.

Dr Reddy’s countered that Novo Nordisk’s secondary patent lacked novelty and amounted to evergreening to extend its monopoly beyond the expiry of the primary patent. It also said it was exporting only to countries where no patent existed.

Both Dr Reddy’s and OneSource had earlier undertaken not to sell or market their versions of the anti-obesity drug in India while the case was ongoing.

On Tuesday, Justice Manmeet Pritam Singh Arora allowed exports but barred Dr Reddy’s from domestic sales until March 2026, when Novo Nordisk’s secondary patent expires.

According to JM Financial, the decision is a positive development for both Dr Reddy's and OneSource as it allows continuous manufacturing and the accumulation of inventory. This stock can later be deployed in various international markets and will support the India launch once the patent expires.

The brokerage believes Dr Reddy's has already applied for approvals in select non-patent markets.

“If Canada (where the relevant patent expires in January 2026) or a non-patented market grants regulatory approval, Dr Reddy's can commence commercial sales in those geographies,” it said in a note.

It added that the move not only ensures manufacturing continuity but also opens the door to potential early international revenues, helping to offset delays in the Indian launch and strengthening the company’s position as generic players prepare to enter the growing semaglutide market.

However, it warned of the risk of Novo Nordisk appealing the Delhi High Court's interim ruling to a higher court.