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    Home > Active Ingredient News > Drugs Articles > IMS analysis: 2016 China pharmaceutical market panorama

    IMS analysis: 2016 China pharmaceutical market panorama

    • Last Update: 2016-10-11
    • Source: Internet
    • Author: User
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    Source: before IMS 2016-10-11 started to talk about the opportunities and challenges of China's pharmaceutical market in 2015, let's consider the following questions: 1 Why is the year-on-year growth of imported drugs lower than that of domestic drugs? 2 The growth rate of traditional Chinese medicine has dropped to 2%, which is lower than the average level Is it the problem of auxiliary drugs, or is it because the top three hospitals only allow less than 300 varieties of traditional Chinese medicine? 3 What should I think of the auxiliary drugs? For example, thymopentin is available in tumor hospitals, but not in other hospitals 4 What is the impact of the enterprise on how to do hierarchical diagnosis and treatment and two ticket system? 5 The development of county-level hospitals, county-level hospitals are all included in the medical reform pilot, what corresponding measures can be taken? 6 Who is in charge of the integration of two guarantees? Who is in charge of the health and Family Planning Commission or the Ministry of human resources and social security? The policy of the health and Family Planning Commission is to bundle sales at the county and township level What should the county market as a key market do? 7 The self payment standard of medical insurance is likely to be issued in the second half of the year What are the opportunities and problems? 8 Where are the challenges for drugs that pass the consistency evaluation to enter the medical insurance catalog? All data interpretation sources: imschpa (> = 100 beds) China Hospital Pharmaceutical Market Overview imshealth analysis, in 2015, China's pharmaceutical market reached more than 1100billion yuan, still dominated by prescription drugs in structure As the main sales channel of prescription drugs, hospitals account for 77% of the total sales, while retail pharmacies and third terminal channels account for 10% and 13% respectively The growth rate of various channels of pharmaceutical sales slowed down in 2015, among which the growth rate of hospital channels decreased from 12% in 2014 to 5% in 2015, which was lower than that of retail pharmacies (8%) and community health service centers (13%) Under the influence of the strengthening of medical insurance and fee control of hospitals, the strengthening of the promotion of clinical rational drug use by the Ministry of health, the control of drug proportion, centralized bidding and procurement and other core policies, as the main sales channel of medicine, the year-on-year growth rate of large hospitals continued to decline, from 7.1% in the first quarter to 3.4% in the fourth quarter In 2015, the sales volume of China's large hospitals reached 645.3 billion yuan, up 5.0% year on year The growth rate of both domestic and multinational enterprises slowed down significantly Sales volume is still the main driving force of market growth; Chinese patent medicine still plays a lot of pulling role in the market growth of local enterprises, but its driving force for growth is relatively weak due to the shrinkage of sales volume; the negative impact of price on market growth increases due to the impact of medical insurance fee control policy From the classification of Chinese hospital drug market, the growth rate of prescription drugs was 5.1% in 2015, while that of OTC was only 1.2%; that of Western drugs was 5.5%, while that of Chinese patent drugs was only 2.5% Due to the gradual standardization of rational drug use, the growth of proprietary Chinese medicine, antibiotics, tumor and large infusion products has slowed down significantly, while the growth of chronic diseases such as diabetes, cardiovascular and cerebrovascular diseases, hypertension and other products is relatively strong The market growth of the main treatment areas of Chinese patent medicine, especially the anti infection and tumor adjuvant treatment products, slowed down significantly 1 Among the top 20 manufacturers of multinational vs local enterprises, 12 are local enterprises Pfizer, Yangtze River and AstraZeneca remain in the top three positions The growth rate of the top 20 enterprises reached 7.1%, far higher than the average growth rate of 5.0% in the overall market According to the performance of the top 10 local enterprises in the Chinese hospital market, the growth of Zhengda Tianqing and Sihuan pharmaceutical is the strongest, with the growth rate of mat in the fourth quarter of 2015 being 15.5% and 17.8% respectively In 2015, the products of local enterprises accounted for 16 of the top 20 products in China's hospital market The top three products in terms of sales volume are Shenjie, Xueshuantong and Plavix; the products with the strongest growth are dizosin, olain and Tianqing Ganmei The top 20 products are mainly traditional Chinese medicine, antibiotics and anti hepatitis drugs The growth rate of urban market at all levels has declined, and the competition pattern between multinational enterprises and local enterprises is quietly changing Influenced by the cost control of drugs and the substitution of generic drugs, the growth rate of multinational enterprises in the first tier cities in 2015 was only 2.6%, while that of local enterprises reached 6.8% On the contrary, driven by rational drug use policy, multinational enterprises have more growth advantages than local enterprises in small and medium-sized cities 2 The structure of seven provinces and cities is Beijing, Shanghai, Guangdong, Zhejiang, Jiangsu, Anhui and Fujian, occupying nearly 50% of the Chinese hospital market In 2015, new policies on medicine were introduced frequently, especially the policies on drug purchase and use, which had an obvious impact on provinces and cities The growth of Guangdong, Zhejiang and Sichuan, the major pharmaceutical provinces, was weak, while Anhui and Chongqing saw negative growth in drug sales In 2016, the fragmentation of procurement projects in all provinces will become the norm, and the decline of drug prices has become a foregone conclusion Foreign enterprises still occupy a high market share in the first tier cities and coastal cities, while local enterprises show a high growth and gain market share in Guangdong, Jiangsu and Shanghai 3 County Hospital potential growth market in 2015, county hospital market sales accounted for 26% of China's hospital market In the fourth quarter of 2015, the mat growth rate of multinational enterprises in county hospitals was 10%, twice of the overall market growth, which fully shows that multinational enterprises are increasing their strategic layout for county hospitals, and the county market has become a new growth point for multinational enterprises In the field of treatment, affected by relevant policies, the market of chronic disease drugs such as diabetes and hypertension is growing rapidly in the county hospital market, while the market of antibiotics and intravenous drugs is shrinking From the perspective of provinces, in the top six provinces, local enterprises still dominate the county hospital market, among which Zhengda Tianqing is growing rapidly in the county hospital market The county hospitals of multinational enterprises in Shandong and Henan grew rapidly, and the mat growth rate in the fourth quarter of 2015 was 16.9% and 22.8% respectively Summary in 2015, China's hospital market faced many challenges, including the control of total medical insurance, rational use of drugs, centralized procurement in provinces and the reduction of the proportion of drugs As a result, the growth rate of the market has slowed down to 5% In 2015, the growth of various channels and major treatment areas in the Chinese pharmaceutical market slowed down to varying degrees Hospital channels and proprietary Chinese medicine were the most significant, and chronic diseases and other areas were relatively less affected Under the background of implementing different policies in different regions, the market situation of hospitals in different provinces is very different The changes of market pattern need to be studied in detail to cope with the differences In recent years, the government has been increasing the support and investment for county hospitals, and the opportunities of drug market in county hospitals are prominent Opportunities and challenges in the future 1: the bidding situation is becoming more and more severe, and the impact on the company's promotion of products is increasing This is mainly reflected in: first, the bidding cycle interval is shortened, the price reduction will be more frequent, and new drugs will have more opportunities to enter the market; second, the bidding price reduction range is larger, and enterprises need to balance the price and sales volume; third, the bidding price refers to the lowest national bidding price, and the price reduction of one province will be quickly adopted by other provinces, and eventually become a national price reduction The bidding decisions of provinces and cities have a greater impact on the overall business For pharmaceutical enterprises, the national price linkage will become a practice With the release of drug pricing by the national development and Reform Commission, the bidding price has become the key to determine the reimbursement price of medical insurance The three modes of "medical insurance payment price" that have been observed are Sanming mode, Shaoxing mode and Chongqing mode Trend 2: with the deepening of reform, the number of cities where hospitals transfer pressure to pharmaceutical enterprises through secondary bargaining increases In 2016, about 100 public hospitals participated in the pilot The main goals of public hospital reform include controlling the total amount of medical insurance, reducing the proportion of drugs from 40% to 30%, zero addition of drugs and secondary price negotiation with manufacturers Trend 3: quality consistency evaluation and new cGMP compliance require elimination of products with poor quality, and bring huge price pressure to the original research drugs of multinational enterprises that have passed the patent period Through the consistency evaluation, generic drugs will be equal to the original research drugs of multinational enterprises in terms of access, prescription and acceptance The establishment of quality certification system of generic drugs is conducive to continuously improving the quality of generic drugs and enhancing the status of generic drugs Local enterprises use international quality certification to gain access advantages Special quality certification such as "National Science and Technology Progress Award" will become more and more important in provincial access All generic drugs need to complete the quality consistency evaluation of generic drugs to ensure the same quality as the original drugs With the continuous improvement of the quality of generic drugs, the advantages of provincial market access, coupled with the pressure of medical insurance cost control, doctors' prescription habits will change, which will lead to the change of patients' purchase tendency Trend 4: the government has taken measures to promote the hierarchical diagnosis and treatment system and guide patients to seek medical treatment in primary medical institutions The goal is to build a primary medical driven and reasonably structured medical service system by 2017, and the rate of medical treatment in pilot county hospitals has increased to 90% The community health service center of the pilot city will provide the treatment and dispensing of common and chronic diseases To meet the challenges in the future, based on various foreseeable challenges at present, IMS Health tends to be cautious about the growth forecast of China's pharmaceutical market in the next few years: it is expected that the Chinese pharmaceutical market will grow by 6.9% from 2016 to 2020 In order to better cope with these challenges, multinational enterprises will first refocus on the whole life cycle of innovative products and truly demonstrate the value of innovative drugs; secondly, maximize the market opportunities of mature products, such as outsourcing products to local partners or establishing joint ventures, and further explore the grassroots market opportunities of products, including county hospitals and community health services Heart and retail channels; thirdly, implement a new business model, drive the participation of doctors and patients with scientific and real world data, and maximize the return on investment with accurate and interactive multi-channel marketing How can local enterprises cope with these challenges? First, local enterprises should strive to win the bidding of generic drugs, focus on high-quality generic drugs such as biological analogues, and introduce mature products of multinational enterprises; second, increase the R & D investment in innovative product lines, including "metoo" and "mebetter" Third, go out of China, go global, export high-quality generic drugs, and authorize foreign innovative products  
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