Delhi HC division bench refuses stay on Dr Reddy’s semaglutide exports

The Delhi High Court’s division bench on Friday declined to stay a single-judge order that allows Indian drugmaker Dr Reddy’s Laboratories to domestically manufacture and export semaglutide, the blockbuster weight-loss and diabetes drug, to countries where it is not under patent protection.

The higher bench refused interim relief to Novo Nordisk, which had sought to block Dr Reddy’s from manufacturing and exporting the drug.

While denying interim relief, the bench issued notice on Novo’s appeal and listed the matter for final disposal in the second week of January, likely on 15 January. A bench of Justice C. Hari Shankar and Justice Om Prakash Shukla said it was not inclined to interfere at this stage after hearing arguments.

The judges noted that Novo’s appeal challenges the single judge’s finding that semaglutide is not sufficiently distinct from earlier inventions. If that view stands, the earlier order permitting export will remain intact. Given this, the division bench chose to hear and conclude the appeal in January rather than grant temporary relief now.

For now, Dr Reddy's can continue producing semaglutide domestically for export to non-patent jurisdictions until the patent expires in late January 2026 and the divison bench hears the case next.

Background of the appeal

Novo’s challenge stems from a 2 December order by Justice Manmeet Pritam Singh Arora, which allowed Dr Reddy’s to continue manufacturing and exporting semaglutide to non-patent jurisdictions while restraining domestic sales until 2026. Justice Arora had rejected Novo’s request for an interim ban on exports.

The court held that Novo had not established a strong prima facie case for an interim injunction and noted that any commercial loss could be compensated if Novo ultimately succeeded at trial.

The order also recorded that Novo imports semaglutide into India rather than manufacturing it locally, while Dr Reddy’s has been producing the drug since April.

Dr Reddy’s gave an undertaking that it would not sell semaglutide in India until the patent expires. The company was directed to file manufacturing and export data dating back to April 2025. All observations were made on a prima facie basis.

Broader impact on Indian drugmakers

Novo’s appeal is being closely watched across the domestic pharmaceutical sector. The outcome will shape the export prospects of Dr Reddy’s as well as the strategies of companies preparing to enter the semaglutide market.

On 10 December, Justice Arora applied the Dr Reddy’s ruling to Sun Pharmaceutical Industries, allowing Sun to manufacture and export semaglutide to non-patent countries while blocking domestic sales. Novo had approached the court shortly before Sun’s expected early launch of its generic version.

A fast-expanding market

The patent battle is unfolding as India becomes one of the most competitive emerging markets for the GLP-1 agonist class of drugs. Sun Pharma, Dr Reddy’s, and Natco Pharma are preparing to launch generic semaglutide once the patent expires in 2026. Others such as Cipla and Emcure have entered distribution partnerships with Eli Lilly and Novo Nordisk.

India’s GLP-1 market has grown sharply—from ₹186 crore in November 2022 to ₹1,047 crore in November 2025, according to Pharmarack. Eli Lilly’s tirzepatide (Mounjaro), launched in March 2025, now dominates the category, crossing ₹100 crore in monthly sales in October.

A recent price cut by Novo has helped Wegovy increase its share by around 5% in absolute doses. As of November 2025, Mounjaro held 86% percent of the market by doses, with Wegovy accounting for most of the remaining share.

The division bench’s ruling in January will be critical for Indian manufacturers seeking to maintain export operations and prepare for generic launches once Novo’s Indian patent expires in March 2026.