Eli Lilly to invest over $1 billion in India to boost manufacturing

Eli Lilly, which launched its obesity drug Mounjaro in India earlier this year, plans to invest $1 billion to strengthen manufacturing partnerships and set up a new Hyderabad facility

Global drugmaker Eli Lilly will invest more than $1 billion in India over the next few years to expand manufacturing and supply chains through collaborations with domestic pharmaceutical firms, the company announced on Monday.

 

The move aims to leverage India’s skilled workforce and strong contract manufacturing base as part of Lilly’s global expansion strategy.

 

Focus on key therapies

 

The partnerships will boost production of Eli Lilly’s key treatments for obesity, diabetes, Alzheimer’s disease, cancer and autoimmune disorders.

 

“We are making significant investments to increase manufacturing and medicine supply capacity around the world,” said Patrik Jonsson, president of Eli Lilly International.

 

Eli Lilly, which launched its weight-loss drug Mounjaro in India earlier this year, has yet to establish its own manufacturing plant in the country. India already hosts several firms that produce complex injectables and biologics on a contract basis for global pharmaceutical companies.

 

$5 billion facility in the US

 

Lilly’s investment in India comes as global drugmakers ramp up US manufacturing after the Trump administration imposed a 100 per cent tariff on imported branded and patented medicines from October 1.

 

In September, Lilly announced a $5 billion facility in Virginia, part of a $27 billion plan to build four new plants in the US over the next five years.

 

India’s obesity market grows

 

The launch of Mounjaro, alongside Novo Nordisk’s Wegovy, has spurred awareness of obesity treatments in India, which is projected to have the world’s second-largest obese population by 2050. Sales of both drugs have doubled within months of their launch.

 

However, Lilly faces growing competition from Indian generic manufacturers preparing to launch cheaper versions of Wegovy once its active ingredient, semaglutide, loses patent protection next year.

 

New Hyderabad facility planned

 

Separately, Lilly is establishing a new manufacturing and quality facility in Hyderabad, expanding beyond its existing global capability centre in the city. Recruitment for the new site “will begin immediately”, the company said.