GLP-1 Drug Access Seen as Key Growth Driver for India’s Pharma Industry

Obesity and Diabetes Therapies to Shape Next Phase of Expansion​

Improving access to new age medicines for obesity and diabetes over the coming years is expected to play a pivotal role in driving growth for India’s pharmaceutical industry, according to Sun Pharma Managing Director Kirti Ganorkar.

Glucagon-like peptide-1 or GLP-1 receptor agonists are used in the treatment of type 2 diabetes, high blood sugar, and obesity by regulating insulin production. With obesity-linked lifestyle diseases rising sharply, India is increasingly positioning itself as a significant hub for the global weight management market, alongside its established strength in generic medicines.

Ganorkar said that wider availability of GLP-1 therapies would help the industry address the growing disease burden while also opening up new avenues for innovation and expansion. He added that the integration of AI-enabled digital tools for early disease detection, monitoring, and personalised treatment choices would further support accessibility, affordability, and improved patient outcomes.

Innovation and Risk Capital in Focus​

Dr Reddy's Laboratories Chairman Satish Reddy highlighted the importance of improving access to risk capital to enable India’s transition from being known as the world’s pharmacy to becoming a global hub for pharmaceutical innovation.

As India approaches 2026, Reddy said innovation is emerging as the defining force for the sector’s next phase of growth. He noted that continued emphasis on scientific excellence, regulatory agility, and collaborative innovation would strengthen India’s standing as a trusted global partner.

Reddy also underlined the sector’s role in contributing to the national vision of Viksit Bharat, with the pharmaceutical industry targeting a USD 500 billion scale by 2047. He said the industry has remained resilient despite external pressures, continuing to deliver critical medicines worldwide.

Initiatives such as the Research, Development, and Innovation scheme and the PRIP scheme were cited as positive steps toward strengthening research capabilities, novel drug delivery systems, and industry academia collaboration.

Revenue Outlook Remains Positive​

Rating agency ICRA expects revenues of its sample set of Indian pharmaceutical companies to grow between 9 and 11 per cent in FY2026.

This growth is projected to be supported by an 8 to 10 per cent expansion in the domestic market and 15 to 17 per cent growth in European markets. However, pricing pressure on certain key drugs, including Lenalidomide, is expected to moderate growth in the US market to 4 to 6 per cent.

Healthcare Delivery Challenges and Opportunities​

Commenting on the broader healthcare landscape, Aster DM Healthcare Founder and Chairman Azad Moopen said the opportunity ahead lies in converting scale and capital into measurable healthcare outcomes.

He noted that this would require faster regulatory clearances, stronger focus on infrastructure in tier 2 and tier 3 cities, sustained workforce skilling, and deeper public private collaboration. Addressing talent shortages while enabling innovation, he added, will be critical to ensuring that quality healthcare remains accessible, affordable, and sustainable for Indian families.