Eli Lilly’s obesity treatment Mounjaro has maintained its leading position in the market but has begun to lose ground to newly launched generic versions of semaglutide, as well as to semaglutide products from innovator Novo Nordisk. This shift comes just ten days after the entry of lower-cost generic semaglutide drugs, following the loss of patent protection for semaglutide in India and several other markets on March 20.

Semaglutide, the active ingredient in Novo Nordisk’s diabetes medication Ozempic and obesity drug Wegovy, has seen a surge of domestic generic versions entering the market. These generics are priced between 50 and 80 percent lower than the original branded products and are being rolled out in various delivery formats, including vials, reusable pens, and oral formulations, with multiple strengths available.

While Eli Lilly’s Mounjaro (tirzepatide) — launched in March 2025 — continues to dominate the glucagon-like peptide-1 (GLP-1) agonist segment, analysts note a notable decline in its sales since the generic entries began. Tirzepatide’s sales dropped from ₹135 crore in February 2026 to ₹114 crore in March, according to Pharmarack Technologies. Conversely, semaglutide sales increased from ₹48 crore in February to ₹59 crore in March. The overall GLP-1 drug segment, valued at nearly ₹1,600 crore for the 12 months ending March 2026, saw a decline in total sales from ₹191 crore in February to ₹180 crore in March.

Other drugs in the segment showed stable performance, with dulaglutide sales steady at ₹5 crore and liraglutide holding at ₹3 crore in March. The rise in generic semaglutide offerings reflects the entry of about 13 companies launching 26 versions to date, with more generics expected to enter the market. Key players among the generics include Torrent Pharma, Dr Reddy’s Laboratories, Zydus Lifesciences, Lupin, and Sun Pharma, all registering initial sales from less than ₹1 crore to nearly ₹5 crore during their debut month.

Novo Nordisk’s branded semaglutide products continue to lead semaglutide sales, generating ₹45 crore in March from Ozempic, Wegovy, and the oral formulation Rybelsus, as the company seeks to remain competitive by aligning its pricing more closely with generic counterparts.

Industry observers describe this period as a “gold rush” phase, characterized by a high level of market participation but expected consolidation in value capture. Despite regulatory warnings from Indian health authorities about the potential side effects of GLP-1 drugs and the risks of misuse, demand is projected to grow. Analysts anticipate aggressive launches and rapid expansion of generic models through April 2026 and beyond.

While market regulations may evolve to better control prescriptions and usage, the initial momentum generated by the introduction of lower-priced generics is unlikely to be impeded, potentially reshaping competition in the treatment of obesity and diabetes drugs in India and similar markets.