Countdown to Cleanup of Local Medical Insurance Directory!

Text | Linan

According to the previous requirements of the National Medical Insurance Bureau, the second batch of supplementary items in the local medical insurance catalogue needs to be completed before the end of June this year

The former star drug of Jichuan Pharmaceutical is difficult to be removed by the local medical insurance catalogue

On July 6, Jichuan Pharmaceutical issued an announcement stating that the main varieties of Pudilan Anti-inflammatory Oral Liquid and Iron Protein Succinate Oral Solution, a wholly-owned subsidiary of Jichuan Pharmaceutical Group Co.

Pudilan Anti-inflammatory Oral Liquid is the exclusive dosage form of Jichuan Pharmaceutical

After the announcement of the news, on July 7, the stock price of Jichuan Pharmaceutical fell by more than 3%

Jichuan Pharmaceutical once relied on Pu Dilan to gallop the children's medicine market for a long time

Protein iron succinate oral solution is Jichuan’s first generic drug, which is mainly used for iron deficiency anemia

Relying on important products such as Pudilan, Jichuan Pharmaceutical's performance is also very impressive

The 2017 version of the local medical insurance catalog included in the Insight database shows that Pudilan Anti-inflammatory Oral Liquid is still in the medical insurance catalogs of 13 provinces including Hebei Province.

Recently, Jichuan Pharmaceutical responded to investors’ questions and said that the 2020 revenue of heat-clearing and detoxifying products based on Pudilan Anti-inflammatory Oral Liquid accounted for 34.

In response to the risk of product concentration, Jichuan Pharmaceutical said it will continue to do a good job in the market promotion of its main products, and at the same time accelerate the research and development of new products and the secondary development of old products, strengthen foreign cooperation, continue to expand product lines, and enhance market competitiveness

In June this year, Cao Longxiang, chairman of Jichuan Pharmaceutical, also stated at the performance briefing that the company is currently vigorously developing the daily chemical business, aiming to apply the "anti-inflammatory, antibacterial and antiviral" effects of the company's Pudilan Anti-inflammatory Oral Liquid to Japan

Countdown to clean up the local medical insurance catalogue, a batch of drugs welcome the "life and death robbery"

On July 2, Buchang Pharmaceutical also issued an announcement stating that the holding subsidiary Jilin Tiancheng Pharmaceutical Co.

The above two drugs are the exclusive varieties of Buchang Pharmaceuticals.

Entering July, blockbuster products under Buchang Pharmaceuticals and Jichuan Pharmaceutical have been withdrawn from the local medical insurance catalog

Previously, the National Medical Insurance Bureau issued a document requesting that local medical insurance catalogues were added and cancelled.

According to the "Notice on Doing a Good Job in Basic Medical Security for Urban and Rural Residents in 2021" issued by the National Medical Insurance Administration, the Ministry of Finance, and the State Administration of Taxation, all provinces (autonomous regions and municipalities) must complete the second batch of 40% supplements before the end of June 2021 Digestion work

According to observations, recently Hebei Province, Tianjin City, Anhui Province, etc.
have all announced clearing and retiring plans
.
With the gradual digestion of local supplementary catalogs, the national medical insurance catalog will be unified in the future
.
However, the drugs that have been removed from the local medical insurance catalogue are not without the opportunity to enter the national medical insurance catalogue
.
As long as the clinical value is high, there is still hope to enter the big catalog
.

During the adjustment of the 2020 version of the medical insurance catalog, the National Medical Insurance Bureau requires that more than 5 (inclusive) drugs in the latest provincial basic medical insurance drug catalog have the opportunity to be declared to the scope of the national medical insurance catalog
.
However, this is not mentioned in the 2021 medical insurance catalogue
.
For drugs still in the provincial medical insurance catalog, this "gate" has been closed
.

This is also a concern of the investors of Jichuan Pharmaceutical.
In 2020, Pu Dilan entered the "Guide to Clinical Diagnosis and Treatment of Chinese Medicine Pediatrics".
The industry believes that it can enter the guide and proves that the efficacy of the drug is still recognized
.
According to Jichuan Pharmaceutical, it is working hard to promote Pudilan Anti-inflammatory Oral Liquid to enter the national medical insurance list in the case of long-term interests
.
However, medical insurance is not the only factor that affects the scale of drug sales.
The efficacy, brand and user recognition are also very important
.

However, the 2021 version of the medical insurance catalog requires that the conditions that can be included in the medical insurance catalog this time are the new generic drugs approved for marketing by the national drug regulatory authority during the period from January 1, 2016 to June 30, 2021, or indications or Drugs with major changes in functions and indications; drugs for the treatment of respiratory diseases related to new coronary pneumonia; drugs included in the National Essential Drug List (2018 Edition)
.
Beginning on July 1, the new version of the medical insurance catalog has entered the declaration stage
.

From a preliminary point of view, Pudilan Anti-inflammatory Oral Liquid of Jichuan Pharmaceutical does not seem to meet the above conditions.
As the local supplementary catalogs are gradually removed, this seems to mean that Pudilan will be completely "out of date" with the medical insurance catalog
.
All medicines that enter medical insurance require a substantial price cut.
Analysts pointed out that if the company's non-medical insurance sales channels have a large sales volume, they can also choose not to enter the medical insurance catalog
.
I don't know what the Jichuan Pharmaceutical Industry should do next
.