The case hearing comes months after the Nexavar compulsory licensing decision by the Indian court that dealt a heavy blow to Bayer. The german firm was stripped of its exclusive right to sell Nexavar in India due to its high prices. Bayer AG has, however, demanded a withdrawal of the compulsory licence. Indian firm Cipla, which sells the drug in the country, has reduced its price by three-fourth. The case is presently before the Intelletual Property Appellate Board in Chennai and the next hearing is scheduled for September 3, 2012. The ruling has attracted wide spread criticism from the Western world, while at the same time, drawn appreciation from other countries such as China.  

The Novartis case is important in the wake of the fact that India is an emerging market for drug companies from the West, while the country is also one of biggest exporters of generic drugs. The ruling in the case could thus impact the introduction of new drugs into the Indian market by MNC drug companies.