Sandoz CEO says $40–$50 monthly pricing could triple patient access to weight-loss drugs
Branded weight-loss and diabetes medications priced between $200 and $400 per month in Canada may soon face competition from generics costing as little as $40 to $50, as Sandoz prepares to launch unbranded versions once key patents expire.
According to Financial Times, Sandoz CEO Richard Saynor said the company had not yet finalised pricing for its generic semaglutide but projected a reduction of “60 or 70 per cent of the list price” was possible.
Saynor added that further price drops could follow as other generics enter the market.
He said, “If you were selling this at $40 or $50 a month, the market could be two or three times bigger in terms of the number of patients.”
The Canadian list prices for branded semaglutide drugs—Ozempic and Wegovy from Novo Nordisk—and tirzepatide-based medications—Mounjaro and Zepbound from Eli Lilly—range between $200 and $400 per month, as per the Financial Times.
Sandoz has initiated the approval process for its generics, though the drugs have not yet received regulatory clearance.
The Canadian patent for semaglutide is scheduled to expire in January 2026.
As demand for Ozempic surged, Canadian pharmacies began experiencing spillover effects from US markets.
The Canadian Pharmacists Association reported that up to 15 percent of prescriptions in British Columbia in 2023 were dispensed to American patients.
Joelle Walker, the association’s vice-president for public and professional affairs, said they are hopeful generics will help improve affordability and access for Canadians managing diabetes and obesity.
“We also need to be prepared — with the right monitoring and safeguards in place — to prevent pressure and potential access issues within our drug supply,” she added.
Canada’s health department stated that it would monitor the availability of diabetes and weight-loss drugs, and that current regulations prevent companies from exporting drugs intended for domestic markets if it would cause or worsen a shortage.
Lower-priced generics in Canada could also intensify interest from American buyers.
As reported by Financial Times, the US list price for branded semaglutide and tirzepatide drugs sits at about US$1,000 per month, though some manufacturers offer patient discounts cutting prices in half.
Despite regulations designed to discourage cross-border purchases, some Americans already source medications from Canada.
The US Food and Drug Administration currently permits Florida to import certain drugs from Canada, and other states have applied for similar authorisations.
Kevin Duane, a pharmacy owner in Jacksonville, Florida, told Financial Times that Canadian generics could lead to “tens of millions of patients” being added if Florida expands its import programme.
“If Canada goes generic like we are expecting … then I think Florida would have to apply to the FDA,” he said, citing the potential “massive” cost savings.
Novo Nordisk said it is “well equipped” to navigate the post-patent landscape in Canada.
The company added that US rules prohibit importing generic semaglutide until it receives approval from American regulators.
Novo also stated, “We work in close collaboration with all levels of government to ensure access and availability of our medicines for Canadians and to limit the sale of our medicines to non-Canadian residents.”
A Sandoz spokesperson confirmed Saynor’s comments to Financial Times, clarifying that he was speaking generally about typical price reductions once patents expire, and not detailing specific pricing plans for Sandoz’s version of semaglutide.
