Chinese herbal medicine production reduction companies to increase prices Chinese medicine enterprises "calm" brokerage "excited"

Data show that as of October 2016, the year-on-year increase of 37.7%; Party participation increased by 99.5% year-on-year; The year-on-year increase reached 80.4%; The year-on-year increase was 103.6 per cent. Zheng Zhiwen, an analyst at Chinese herbal medicines, said the increase in drug prices was mainly due to reduced planting area and reduced production due to weather factors that affected supply and demand.
And in response to the above-mentioned larger increase in medicinal herbs, Roland Berger management consulting firm partner Jin Yi analysis pointed out that because of its high demand, and year by year, the efficacy has been generally recognized by regulators, the medical community and the market, and also does not rule out market manipulation in the distribution chain.
For the sharp rise in the price of Chinese herbal medicine, in an interview with reporters of Chinese medicine enterprises are relatively "calm" said that in the information age, pharmaceutical companies will be based on big data analysis to prepare materials, generally have a fixed supply of raw materials or self-built standardized base of medicinal herbs. But the rise in medicinal herbs has also increased the cost of pharmaceutical companies to a certain extent, or led to drug price increases, the National Committee of the Chinese People's Political Consultative Conference, The Chinese Academy of Engineering, Wu Yiling has publicly called for the establishment of a collection and storage system for Chinese herbal medicines to curb the rapid rise in the price of Chinese herbal medicines.
, however, the price transmission of Chinese herbal medicine in the capital market is good for Chinese herbal medicine enterprises. Including Changjiang Securities, Henyep Securities and other brokerages think that Chinese herbal medicine or enter a new round of rising cycle, Changjiang Securities said, Chinese medicine trading enterprises will be the biggest beneficiaries; The price of Chinese medicine tablets is not regulated, and the relevant enterprises can benefit from price transmission.A new round of rise in Chinese herbal medicine
In March this year, Changjiang Securities issued a follow-up review of Chinese herbal medicine, said that the prelude to the rise in the price of Chinese herbal medicine has been blown, the price of Chinese herbal medicine has been depressed for several years, some varieties of stupid move, the bulk of Chinese herbal medicine prices since 2012 at a low level continued to round, there are signs of recovery.
recently, at the time of the harvest of most new herbs, there have been signs of a sharp rise in medicinal herbs, such as the above-mentioned Wind information statistics of the three seven, party ginseng, five miso and so on.
Zheng Zhiwen said that in addition to the price of large-based Chinese herbal medicine, many small varieties also rose a lot.
Zheng Zhiwen told reporters that the increase in drug prices is mainly due to the reduction in planting area, weather factors make the production reduction and other reasons affecting the relationship between supply and demand.
" to orange terrier as an example, the growth cycle of the product for 2 years, in 2015 the price of the general goods fell to about 18 yuan, greatly dampened the enthusiasm of drug farmers to grow, but into 2016 prices began to rise, the current market prices rose to about 30 yuan, many drug farmers Seems to see the future business opportunities of orange terrier, so they have to buy seeds planting, resulting in a step-by-step rise in seed prices, last year orange terrier seeds sold for 20-30 yuan / kg, the current price has risen to 50-60 yuan / kg, high-quality seeds asked for 90 yuan / kg. Zheng Zhiwen pointed out.
weather factors are also a big reason. Gansu Province is the main province of Chinese herbal medicine production in China, but the main producing areas of chinese herbal medicine have been hit by severe drought, and some areas have seen a 70% reduction in production. This has also led directly to the recent sharp rise in the price of Chinese herbal medicines.
Gansu, a pharmaceutical distributor admitted that this year's price of medicinal herbs all the way up has become a certain decision, in a short period of time it is difficult to restore to the previous price. "When the return rose from 32 yuan / kg to the current 45 yuan / kg; Jaundice rose from 12 yuan/kg to 17 yuan/kg now; Party ginseng rose the most, from the previous 23 yuan / kg soared to the current 65 yuan / kg.
for the sharp rise in party ginseng, 37 and so on, Jin Yi believes that in addition to the problem of production, but also because of the high demand for these varieties, the efficacy has been generally recognized by regulatory agencies, the medical community and the market. For example, the recent completion of the FDA Phase III clinical study of the compound dansin pills have three or seven ingredients.
" medicinal herbs prices to a large extent to adapt to market demand, in addition to the country's attention to the Chinese medicine market in recent years, but also broaden the market share of Chinese herbal medicines, increased the demand of large hospitals, large pharmaceutical enterprises. The price problem has a certain periodicity and needs to be viewed rationally. Jin Yi pointed out.
said that some of the surge in Chinese herbal medicines also does not rule out market manipulation in the distribution chain. Jia Haibin, deputy director of the Chinese Medicine Information Center of the Chinese Medicine Association, has also pointed out that in addition to the demand for price repair of Chinese herbal medicines; In addition to the natural disasters affecting the harvest of Chinese herbal medicines, man-made speculation is also a situation that cannot be ignored. According to Jia Haibin, this year's increase of more than 20% of the varieties of Chinese herbal medicine, 90% of the possibility of capital participation.
An industry insider in the pharmaceutical circulation industry for many years also pointed out to reporters that the rise in the price of Chinese herbal medicine is caused by the contradiction between supply and demand, but there are also speculative factors, such as whenever the price of 37 fell, there will be some pharmaceutical companies in the market.
In fact, the NDRC has also issued a number of tickets for speculation, such as ordering 10 operators such as Zhejiang Southern Pharmaceutical Company, which hoarded party participation before December 2010, to sell more than 200,000 kg of party ginseng stored at a price of no more than 60 yuan/kg to Chinese medicine enterprises that have obtained GMP certification by December 2010; Forty-four operators that have had party members since January 2011 have been ordered to sell more than 800,000 kg of party ginseng stored by December 31, 2011. Those who fail to sell in accordance with the provisions after the overdue period shall be given administrative penalties in accordance with the law.Brokerage is optimistic about Chinese medicine drinking tablets enterprises
for this round of rising Chinese herbal medicine, the head of a Chinese medicine enterprises in the southwest told reporters that this may be the market economy supply and demand adjustment. "If companies have these medicinal products, the cost will have an impact, if the output is large, the impact will be smaller." Now is the information age, pharmaceutical companies have big data analysis, will not wait for price increases to prepare raw materials. "
" pharmaceutical enterprises have strict quality control of medicinal herbs, generally have a fixed supply of raw materials or self-built standardized base of medicinal herbs, coupled with the data management of raw material resources, the impact will not be too great. Unless capital enters, malicious monopoly speculation. The person in charge said.
In fact, all along, the efficacy of Chinese medicine is largely dependent on the quality of raw materials, Sichuan's bee mother, Yunnan's 37, Hangzhou's white chrysanthemum, etc., are emphasized "Daodi herbs" the best quality concept.
the above-mentioned southwest Chinese medicine enterprises mentioned by the head of the pharmaceutical companies to build their own production base of Chinese herbal medicine, is considered to or can alleviate the cost pressure to some extent. Nationally, however, this model has not been widely adopted, and retail cultivation still accounts for a significant proportion. But pharmaceutical companies build their own GAP (the standard was abolished in March this year) base to pay GAP standard maintenance and management costs, and sometimes the production price of raw materials for pharmaceutical base is even higher than the price purchased from retail investors.
There are other domestic Chinese medicine majors proposed to strengthen policy guidance, because in the eyes of these large Chinese medicine producers, to control the bulk varieties of Chinese herbal medicine in a reasonable category, in order to be conducive to the healthy development of the Chinese medicine industry. During the two sessions in 2015, Wu Yiling, a member of the National Committee of the Chinese People's Political Consultative Conference and a member of the Chinese Academy of Engineering, publicly called for the establishment of a system of collection and storage of Chinese herbal medicines to curb the excessive rise in the price of Chinese herbal medicines.
A director of the Pharmaceutical Society pointed out to reporters that its research in some Chinese medicine enterprises found that because of the high cost, some drugs, especially generic drugs, the factory price has been much higher than the market retail price, resulting in some enterprises, especially generic pharmaceutical production enterprises can not produce, some enterprises in order to maintain market share can only break even loss of production.
the above-mentioned director pointed out that although the NDRC to liberalize drug prices, but does not mean that pharmaceutical companies can because of raw material prices and arbitrary price increases. Because the NDRC is still implementing drug supervision and supervision, the tender price of drugs everywhere is still a key factor.
In fact, Chinese herbal medicine enterprises are not good, Roland Berger's "Chinese medicine enterprises sales transformation inspiration" pointed out that, although the current Chinese medicine good policy frequently, but more stay at the macro level, the current Chinese medicine enterprises need to face is that the government centralized procurement pressure, secondary bargaining, the number of pharmaceutical regulations into the hospital is controlled, approval from strict leading to a sharp decline in the number of varieties, etc. (21st Century Economic Report)