Canada Could See Cheaper Obesity Medications by Summer 2024

Health Canada is currently reviewing nine submissions for generic versions of popular obesity medications, potentially paving the way for lower prices this summer. The focus is on generic formulations of semaglutide, the key ingredient in Novo Nordisk’s well-known drugs, Ozempic and Wegovy. These medications have received approval from Health Canada for the treatment of diabetes and weight management, respectively.

Semaglutide belongs to a class of drugs known as glucagon-like peptide-1 (GLP-1) therapies. These medications work by mimicking a natural hormone that regulates blood sugar levels, slows digestion, and enhances feelings of fullness. While many users report significant benefits, common side effects include nausea, vomiting, diarrhea, and stomach pain, along with fatigue, constipation, and headaches.

Canada stands out as the only country where Novo Nordisk has permitted the patent for its semaglutide medications to expire. This change allows for “regulatory exclusivity” to end on January 4, 2024, which could make Canada the first nation to offer more affordable versions of Ozempic and Wegovy to patients with prescriptions. However, industry experts caution that immediate availability of these generics may not be realistic.

Understanding Generic Versions and Their Impact

Generics are chemically identical to their brand-name counterparts but typically cost less due to reduced research and development expenses. Health Canada assesses these submissions to ensure that they meet safety, quality, and effectiveness standards. According to Mark Johnson, a spokesperson for Health Canada, the evaluation process for semaglutide generics is particularly complex. This complexity arises from the fact that semaglutide was originally developed through biological methods, whereas generic formulations may employ simpler chemical processes.

The anticipated approval of these generics comes on the heels of a recent recommendation from the World Health Organization (WHO) endorsing GLP-1 therapies for obesity treatment in December 2025. The availability of generics could significantly affect pricing, which currently ranges from $200 to $400 per month for patients, often out of pocket due to limited insurance coverage for obesity medications in Canada.

Potential Pricing Changes and Accessibility

Pharmaceutical expert Mina Tadrous, an associate professor at the University of Toronto, suggests that the new generics might lower monthly costs to around $100 to $150, a substantial reduction from current prices. He emphasizes that while the market may not see these generics approved immediately—possibly delaying until summer 2024—the prospect of affordable options is promising.

The accessibility of these medications remains a critical issue, particularly for patients without insurance coverage. Dr. Sanjeev Sockalingam, scientific director of Obesity Canada, highlights that many patients in his clinics cannot afford these essential medications, limiting their options for obesity management. With obesity affecting one in three Canadians, the introduction of generics could provide much-needed relief.

Several companies have submitted applications for the review of generic semaglutide by Health Canada, including Sandoz Canada, Apotex, Teva Canada, Taro Pharmaceuticals, and Aspen Pharmacare Canada. However, the identities of some companies remain undisclosed due to a policy change on April 1, 2023, which requires sponsors to be named in submissions.

As Health Canada continues its review, the focus on price reduction and accessibility of obesity medications could reshape the landscape of weight management options available to Canadians. The anticipated generics stand to not only enhance affordability but also increase the overall accessibility of essential treatments for obesity.