Question:medium

What is meant by generic drugs? Explain its importance in the light of judicial decisions in India.

Updated On: Jul 13, 2026
Show Solution

Solution and Explanation

Definition first:
A generic drug matches a brand-name drug in active ingredient, dose, and effect, and is sold under its chemical name once it clears regulatory approval. Since the original innovator has already proved the molecule safe and effective, the generic maker's only real burden is proving bioequivalence, so approval is faster and cheaper, and that saving is what gets passed on as a lower price.

Checkpoint one, regulatory control:
The Drugs and Cosmetics Act, 1940, and the CDSCO decide whether any drug, generic or branded, can be manufactured and sold in India, so a cheaper price never comes at the cost of an unverified drug. This is the baseline safety check that applies regardless of what happens in patent law.

Checkpoint two, stopping weak patents:
Section 3(d) of the Patents Act, 1970, refuses a patent on a minor variation of a known drug unless it is shown to work meaningfully better. The Supreme Court applied this in the Glivec case to deny Novartis a patent on a new crystal form of an existing cancer drug, which is the single biggest reason Indian generic versions of that drug could keep being sold.

Checkpoint three, overriding a valid patent when needed:
Even a properly granted patent can be opened up through a compulsory licence under Section 84 if the drug is priced beyond what patients can reasonably afford. This was used for the cancer drug Nexavar, letting Natco Pharma sell a generic version at a much lower price while still paying royalty to the patent holder.

Why this matters for access:
Together, these three checkpoints mean price is never assumed to be untouchable in Indian drug law, healthcare affordability is treated as a real interest that limits how far patent protection can go, which is why India stayed a major source of low-cost generic medicine even as global drug prices for the same molecules stayed high.
Was this answer helpful?
0

Top Questions on Public International Law


Questions Asked in CLAT PG exam