From The Economic Times · ET Online · · 1m 50s
Novartis and Eli Lilly Oppose India Breast Cancer Drug Price Cut Bid
Novartis and Eli Lilly oppose Kerala HC's bid to lower breast cancer drug prices in India, citing high global sales versus minimal local revenue.
In brief
Novartis and Eli Lilly oppose Kerala HC's bid to lower breast cancer drug prices in India, citing high global sales versus minimal local revenue. Novartis and Eli Lilly have opposed a Kerala High Court petition to reduce breast cancer drug prices in India, arguing their global sales far exceed Indian market revenue…
Novartis and Eli Lilly Oppose Kerala HC Petition
Novartis and Eli Lilly have opposed a petition before the Kerala High Court seeking government intervention to make two expensive breast cancer drugs more affordable.
Global Sales vs India Revenue Gap
Novartis generated $12.7 billion globally from ribociclib between 2020 and 2025, while India sales stood at $55.7 million, or 0.4% of global revenue.
Lilly's Global Sales and India Revenue
Lilly generated $19.6 billion globally from abemaciclib between 2020 and 2025, while India sales stood at $31.5 million, or 0.16% of global revenue.
Clinical Trial Costs Under Scrutiny
An affidavit estimated Novartis spent $494.5 million on clinical trials for ribociclib, while Lilly spent more than $469 million on trials for abemaciclib.
Higher Cost Estimates from Advocates
A separate calculation put estimated clinical-trial costs higher at about $667.5 million for ribociclib and more than $633 million for abemaciclib.
Manufacturing Cost Analysis
Dr Melissa Barber estimated a 200 mg ribociclib tablet costs $0.85 when API is manufactured in-house, or $1.29 when API is imported, leading to monthly costs of Rs 5,100-Rs 7,750.
Price Gap and Generic Drug Examples
Bayer's Nexavar cost $5,500 monthly, while Natco's generic version cost $175; hepatitis C treatment cost $150,000 in the US but $200-$350 after generic production in India.
Kerala HC Considers Price Intervention
The Kerala High Court is considering the petition against the backdrop of the wide gap between patented medicine prices and manufacturing costs, seeking government intervention to improve access.
The one thing
Novartis and Eli Lilly have opposed a Kerala High Court petition to reduce breast cancer drug prices in India, arguing their global sales far exceed Indian market revenue.
