Medical network on April 20 - E medicine managers get industry exclusive fact: on April 14, sold in zhejiang Chinese medicine formula particles of CRC san-jiu, day jiang pharmaceutical co., guangdong pharmaceutical (after two drug companies are belongs to Chinese herbal medicine group) 3 companies bid by local secondary general hospital back, as for the reason, the hospital's explanation is: "the province has a file, do not allow the provincial traditional Chinese medicine formula particles enterprises in zhejiang province secondary comprehensive medical institutions bid." 

 

Is it true? Protection of local administrative instruction can be so bad place? 

 

According to E medicine for managers of the zhejiang province traditional Chinese medicine formula particles record table of a clinical trial, 2016 files and documents released on March 27, 2017, there is a difference: in 2017, provincial traditional Chinese medicine formula particles companies only allow in level 3 and level 2 grade a hospital medical institutions to recruit mining; In 2016, the rule is the secondary (including) above medical treatment units all can participate in bidding and procurement. 

 

 

Figure: in 2016, the zhejiang province traditional Chinese medicine formula particles record table of a clinical trial 

 

 

Figure: in 2017, the zhejiang province traditional Chinese medicine formula particles record table of a clinical trial 

 

The difference between the seemingly simple sentence, means that hundreds of millions of market share. According to E medicine managers get the message: refused to bid comes up, since last week, regulators began to clear up, zhejiang province, let the above several companies have secondary hospital sales formula particles immediately back. And according to the report, said in 2016, zhejiang JingYueTang and zhejiang HuiSong pharmaceutical companies for traditional Chinese medicine formula granules production qualification, product on market sales, and at the beginning of four traditional Chinese medicine formula particles for the record, the province is the content of the two companies for the record of "can be in our province level 2 or above medical treatment units trial". 

 

About this message, E medicine managers verification to the enterprises, there are three companies said, "now that we are pushed out of the secondary general hospital, and local companies can not only in the secondary general hospital sales, even in the primary hospital sales." In zhejiang province E medicine managers understand that the current market of traditional Chinese medicine formula particles is 400 million yuan, up and down before the above three companies is the market share leader. 

 

In zhejiang province are suddenly set threshold to CRC san-jiu, day jiang pharmaceutical co., guangdong side pharmaceutical excluded? Why traditional Chinese medicine formula particles in the medicine enterprise flocked around nation, all want to get a piece? Pattern of traditional Chinese medicine formula particles in the future? 

 

1, all round protection 

 

From the point of registration information, obviously the above three companies range of traditional Chinese medicine formula particles sales. Before CRC san-jiu, day jiang pharmaceutical co., a pharmaceutical three companies covered in the secondary medical institutions, in addition to dimethyl medical institutions of traditional Chinese medicine medical institutions must exit, and with these medical institutions and docking is provincial enterprise of traditional Chinese medicine formula particles JingYueTang and HuiSong pharmaceutical. 

 

JingYueTang is huatong medical subsidiary of listed companies, the company in 2008 began to study traditional Chinese medicine formula particles, after the market has been the pilot did not let go, so the nearly 10 years did not sell in the market. In this two years in the provinces to traditional Chinese medicine formula particles provincial pilot, for the provincial enterprises to enter the field opened the door, in December 2015, JingYueTang got the zhejiang traditional Chinese medicine formula particles scientific research projects, issued by the food drug administration in zhejiang province in January 2016 for the pharmaceutical GMP certificate about traditional Chinese medicine formula particles, can be formula particles sales in zhejiang province. In July last year, zhejiang province hospital of traditional Chinese medicine formula particles determine JingYueTang for making the bidding procurement, officially goes on sale in zhejiang province. And post HuiSong pharmaceutical department of hangzhou in zhejiang industrial and Japan pu pharmaceutical joint venture enterprise, in 2016 approved by the authorized to carry on the production and sales of traditional Chinese medicine formula particles, then recruit locally, and began to go on sale. 

 

Enterprises listed Chinese medicine formula particles after the province, the local government has support, online news is that most government departments at all levels to lead all levels of the hospital to visit the two drug firms of traditional Chinese medicine formula particles. Again a year later, in the period of traditional Chinese medicine formula particles for the record, the zhejiang province food and drug administration suddenly turned, and there is a previous rules change, eliminated the above three provincial enterprise in local secondary general hospital sales, to withdraw from this market by the provincial enterprise docking. 

 

This means that the above 3 companies must exit the market at the grass-roots level, but according to the enterprise personnel, before their main sales come from secondary hospital. Huarun san-jiu, day jiang pharmaceutical companies relevant personage tells E managers, in zhejiang sales of traditional Chinese medicine formula particles, secondary medical institutions the revenue contribution of more than 60% above, in accordance with the provisions of the now that is three companies from other provinces to half of the market to the province. According to the estimate, there are about 200 million yuan of the market. 

 

Actually, regarding the sale of traditional Chinese medicine formula particles range, all parts. At the national level, 2010 < notice about standardize management of the traditional Chinese medicine formula particles will pilot institutions set to level 2 above hospitals of traditional Chinese medicine. And most of the provinces in the implementation, mainly the use of "traditional Chinese medicine formula particles hospital must be approved by the provincial food and drug administration and for the record". Including guangdong and anhui of big size, and guangdong are all medical institutions can be used, and anhui is at or above the county level hospital and containing regions at or above the county level comprehensive hospital of traditional Chinese medicine. 

 

 

 

Previously, traditional Chinese medicine formula particles has been the national pilot, approved only six companies, later day jiang pharmaceutical industry and drug combination, the traditional Chinese medicine formula particles market more than a decade dominated by five companies, which makes subsequent to entrants have been tempted, but constrained by policy has not let go, so during the preparation phase. After 2015, the provincial pilot was allowed, has been around for enterprises began to mount. 

 

Under such circumstances, the agency in order to support the province enterprises around the development of traditional Chinese medicine formula particles, are offering out some policies. Is to limit the area of provincial company sales in zhejiang and in hebei province, the provincial enterprise of traditional Chinese medicine formula granules are explicitly included in the scope of coverage, and the other five formula particles pilot enterprises are not included. 

 

For unfair caused by local support, the industry believes that this situation is for the development of the whole traditional Chinese medicine formula particles industry is very bad, if the provinces are to the provincial enterprise protects, so enterprise can only make the province market of respective provinces, it is hard to out of the province, because to other regional markets, as well as in the form of policy will be kicked out. 

 

2, profiteering temptation 

 

Traditional Chinese medicine formula particles since 1987 day jiang pharmaceutical research and development, has 30 years so far, has long been China's traditional Chinese medicine (including day jiang, one side), red sun pharmaceutical (Kang Rentang), CRC san-jiu (spittor pharmaceutical industry), the new green, empower pharmaceutical 5 companies in monopoly. And the size of the market in 2010 from $1.484 billion to expand in 2015 to nearly 8 billion yuan, an average annual compound growth rate of more than 40%, is one of the fastest growth sector in the pharmaceutical industry. 

 

According to health development planning commission, China's second class above (1997), Chinese medicine hospital in 3115, Chinese traditional medicine formula particles in hospital coverage rate is less than 65%; And department of hospital of traditional Chinese medicine, combined Chinese and western medicine hospital and general hospital in 20023, is calculated based on the traditional Chinese medicine formula particles in a department of traditional Chinese medicine hospital cover less than 10%. From this perspective, the market space is very big. 

 

In addition, the industry over the past few years the rapid growth of the main logic is to replace Chinese medicine yinpian, according to the forecast, this trend will continue in the future continue to 2020 years slices will be 15% ~ 20% market occupied by a formula particles, according to the calculated to traditional Chinese medicine formula particles the size of the market in 2020 will reach 30 billion yuan. And four years from 2017 to 2020 in compound growth will remain more than 30%. 

 

And at the policy level, compared with the traditional Chinese medicine formula particles according to the management of Chinese medicine yinpian, don't cancel the drug addition, regardless of the medicine proportion and retention policy dividends. If compared with traditional Chinese medicine yinpian, traditional Chinese medicine formula particles sales rate of about 20% ~ 40% (and Chinese medicine yinpian sales rate of about 5%) greatly meet the doctor interests; Relative to the proprietary Chinese medicine, Chinese medicine formula particles added into 25% (and proprietary Chinese medicine will cancel the 15% bonus), do not take medicine proportion, more interests meet hospital. 

 

In terms of payment, although the traditional Chinese medicine formula particles has not yet entered the national health insurance directory, but existing, ningxia, anhui, fujian and other places have be included in the local medical insurance directory. In addition, tianjin, shandong provinces such as reference is reimbursed yinpian policy on formula particles. 

 

In the huge market space, the fastest growing, not cancel the bonus, regardless of the medicine proportion, many provinces under medical care, reimbursement and other major good, traditional Chinese medicine formula particles is "law" in the current pharmaceutical industry, allure is unmatched by any other field. Red sun pharmaceutical co., for example, traditional Chinese medicine formula particles of gross margin level is approximately 75%, far higher than that of traditional Chinese medicine yinpian 16% ~ 18%. In 2015, the net interest rate of the traditional Chinese medicine formula particles reached 25% ~ 30%, far higher than that of yinpian enterprise 5% ~ 10%. 

 

3, for advice on the way forever 

 

Traditional Chinese medicine formula particles monopoly after decades of development, have made pioneer of peng, it is bound to attract a large number of entrants, but don't let go of the policy, there are many companies secretly. And pioneer, day jiang pharmaceutical industry as the first enterprise to enter the industry, after a merger with the guangdong party, worthy of the eldest brother, occupying more than 40% of the share, the red sun pharmaceutical co., China resources are traditional Chinese medicine formula particles through m&a lump-sum qualifications do big enterprises rapidly, followed by the Chinese after days of acquisition of traditional Chinese medicine pharmaceutical jiang, the third tier is the new green and empower pharmaceutical industry. 

 

 

 

 

In addition to these have good cloth, and in the name of the provincial pilot production sales, there are a lot of enterprises in 2016 for advice about management formula particles, started to get on traditional Chinese medicine formula particles, tries to win market opportunities. At present, according to E medicine for managers to carry out the traditional Chinese medicine formula particles enterprise project not less than 14, including tasly pharmaceutical, sig, kang pharmaceutical industry this kind of traditional Chinese medicine (TCM) industry leader. 

 

 

 

These enterprises have started to move later traditional Chinese medicine formula particles, in addition to the huge profit, most involved in the industry in 2016, one of the most important reason is that in March 2016, the measures for the management of traditional Chinese medicine formula particles (draft) "end for advice, the judgment of the industry as a whole is open the industry trend is very clear, because the traditional Chinese medicine formula particles national pilot had been almost 30 years. 

 

However, the draft in the asked after a year, industry no below, in today's just finished a meeting, when the industry comment on the traditional Chinese medicine formula particles policy open, forum of China chemical & pharmaceutical industry association invited zi-ran zhang told E medicine, vice chairman of managers, "they are complaining, as to when to let go of who also don't know". Official national policy is not clear, let a lot of traditional Chinese medicine formula particles enterprises in the name of the provincial pilot began production and sales, and as an industry latecomers, traditional Chinese medicine formula particles project and local government, led by so obviously. 

 

Of course, it is important to note that traditional Chinese medicine formula particles by policy, the monopoly of the market urgently needs to be broken. Industry also calls for a year of paper should be introduced as soon as possible, as an industry in a year ago to participate in the discussion draft E medicine manager says, "policy no matter good or bad, we only want to come as soon as possible, to let go of the industry, for the follow-up question can solve slowly, don't like it, more than 20 years ago is not a policy, don't let go." 

 

Timing about policy, there is no conclusion, E medicine managers to consulting industry, their answer is the depends on the food and drug administration, but the draft before the problem is many, if according to this release, under the huge profits attract, may industry will be a period of time.