Generic semaglutide lifts Canadian pharmacy volumes as prices fall

Canadian grocery chains say generic semaglutide is bringing more prescriptions through their pharmacy counters, even as the lower prices that come with generics drag down sales measured in dollars. Loblaw Cos. Ltd., which owns Shoppers Drug Mart and Pharmaprix, reported a roughly 40 percent surge in GLP-1 sales in each of its last two quarters, according to a Canadian Press report published Sept. 13 ^[1]. Those company figures cover the GLP-1 drug category as a whole, not semaglutide by itself.

Loblaw chief executive Per Bank told analysts on a July earnings call, "We are beginning to see the impact of GLP-1 drugs going generic. It's still very early, but the initial indications are encouraging" ^[1]. Loblaw executives project double-digit GLP-1 sales growth in 2027 ^[1].

Metro Inc., which owns Jean Coutu pharmacies, reported a similar pattern. Outgoing chief executive Eric La Flèche said on the company's earnings call last month, "Demand fundamentals remain strong with early evidence of increased patient adoption and higher prescription volumes" ^[1]. He also told analysts, "As generic supply continues to build, we expect ongoing expansion of the GLP-1 category to drive low-teens volume and contribution growth" ^[1].

That volume is visible in same-store sales. Loblaw's drug retail same-store sales rose 4.6 percent in its latest quarter, and Metro's pharmacy same-store sales rose 4.8 percent. Both outpaced the companies' food same-store sales, and the gains were driven by the prescriptions category ^[1].

Veritas analyst Kathleen Wong wrote in an August note that higher volumes "should more than offset a meaningful portion of the price pressure from generalization." She added: "The resulting price deflation is therefore likely to pressure pharmacy same-store sales measured in dollars, but Metro's early experience suggests that increased accessibility and prescription volumes can offset part of that pressure at the contribution level" ^[1].

Canada's generic semaglutide lineup

Health Canada has approved three generic semaglutide products and is reviewing more, making Canada the first G7 country to authorize them ^[1]. The first two cover the type 2 diabetes indication only: Dr. Reddy's Laboratories on April 28, 2026, and Apotex's Apo-Semaglutide Injection on May 1, 2026 ^[2]. The third, Apotex's Sevmia, was approved June 29, 2026, as the first generic semaglutide in Canada cleared for chronic weight management and the first referencing Wegovy rather than Ozempic ^[2].

Prices have not reached their floor. Using Ozempic's manufacturer list price of about $228 for a four-week supply, Canada's pan-Canadian Tiered Pricing Framework caps generic list prices at 75 percent of the brand (about $171) during the first three months with a single generic, 55 percent (about $125) after that, 50 percent (about $114) with two generics, and 35 percent (about $80) once three or more injectable generics are on market ^[2]. Those are list-price caps for public drug plan formularies, and counter prices include dispensing fees and markups ^[2]. Realistic near-term consumer reductions land in the 25 to 50 percent range depending on province, and no Sevmia price has been published ^[2].

Demand signals point to more volume. In a Leger poll from March, half of respondents said insurance coverage or a lower-cost generic would make them more likely to use a GLP-1, and more than half cited weight loss as their primary reason. At that time, 8 percent of Canadians, about three million people, were on prescription GLP-1s ^[1]. Amar Singh, senior director and head of Canadian retail insights at Kantar, said he expects uptake to reach about 20 percent over the next year or two. "This drug was expensive, and now, with the generics coming out, this is increasing penetration as the cost has come down and more people can afford it," he said ^[1].

Why it matters for patients

Canada is the only G7 country where generic semaglutide is authorized, so it is the clearest early look at how cheaper copies change prescribing in a developed market ^[1]. For patients paying out of pocket or facing coverage rules, the Canadian experience suggests two things can happen at once: more people get prescriptions, and the dollar value of each prescription falls. Metro's results indicate the volume gain has partly offset the price drop so far, but the deflation is described as meaningful and ongoing ^[1].

Whether similar generic products reach the United States, and on what timeline, has not been reported. US patients filling semaglutide prescriptions are still filling branded products. The Canadian price caps described above are public-plan formulary caps, not a promise of counter prices, and they may not reflect what any individual pays after insurance, dispensing fees or pharmacy markups ^[2].

Pharmacy access is also shifting. Loblaw said it expects to have opened about 200 stores over the last three years, roughly half of them pharmacies ^[1]. Loblaw launched an online weight-management program late last year, and Metro and Empire are expanding pharmacy footprints as well ^[1].

What happens next

Six additional generic semaglutide submissions remain under Health Canada review, with further decisions expected in the coming weeks and months; manufacturer production scale-up and pharmacy availability typically lag approval by weeks to months ^[2]. Health Canada's generic submission list dated July 31, 2026 showed nine semaglutide submissions ^[2]. Sevmia pricing has not been disclosed ^[2]. Loblaw projects double-digit GLP-1 sales growth in 2027 ^[1].