In the next 3-5 years, 70% of small and medium-sized API enterprises will disappear

"Pharmaceutical Network Market Analysis" China for the global production and supply of chemical and pharmaceutical raw materials, more than 1500 production enterprises, in the product species has more than 1600, in 2019 output reached more than 3 million tons, the main business revenue of 380 billion yuan.
, but because the API industry still exists small, scattered, chaotic situation, low-cost competition between enterprises, serious waste of resources, overcapacity problem is increasingly prominent.
data show that the proportion of small enterprises in China's API industry is about 77.04 percent.
industry expects that under the dual pressure of industry integration and environmental upgrading, the market reshuffle will intensify, at least 70% of small and medium-sized enterprises will disappear in the future, and the API companies with large-scale effect will win in the follow-up market.
, the Ministry of Industry and Information Technology in a reply letter made it clear that the next step will be to work with the relevant departments to develop raw materials production base identification standards and working procedures, to support regional space independence, environmental carrying capacity of the region to build a centralized production base of raw materials.
refers to the 2019 release of the heavyweight document, "Guidelines to Promote the Green Development of the API Industry", which will further promote the green upgrading of the API industry and promote the high-quality development of the pharmaceutical industry.
"Opinion" clearly adjust the industrial structure, optimize industrial layout, speed up technological innovation and application and the implementation of green production standards four key tasks.
requires that by 2025, more than 20 key green common technologies will be broken through, the industry's green production technology will be basically replaced, and a green plant, green park and green management standard evaluation system will be established, and the intensity of emissions of major pollutants will gradually decrease.
will force the API industry to eliminate backward production capacity and optimize industrial transformation and upgrading.
, with the gradual promotion of generic consistent evaluation in recent years, the replacement speed of domestic generic drugs has accelerated, and quality and cost have become the key factors in the competition of generic drugs.
background, upstream API industry will face reshuffle, small and medium-sized enterprises or be eliminated.
addition, in recent years, environmental protection and high pressure continue to advance, in the supply-side reform continued to advance and environmental regulations tightened, the API industry into the integration period, many small enterprises will also withdraw.
, the trend of the restructuring of the API industry is irreversible, the concentration of the industry will be continuously improved in the future, the industry will be transitioned and upgraded in the direction of high quality.
after saying goodbye to savage growth, pharmaceutical companies will seek new directions, such as the integration of preparation-apid drugs, to find a green, lower-cost development path.
Pharmaceutical companies in July this year disclosed the prospecto, the company's "raw materials and preparations" integrated layout can guarantee the company's preparation products stable supply of raw materials, reduce production costs and ensure product quality, at the same time in the current context of centralized procurement of drugs with a stronger competitive advantage.
from the performance reports of various API enterprises, by the "raw materials and preparations" two-wheel linkage of enterprises have achieved good results.
For example, the company achieved a net profit of RMB145 million in 2019, up 0.03% YoY, in the share of Tian Pharmaceuticals, the leading enterprise in the whole industrial chain, with corticosteroids and amino acid drugs as the core.
the first half of 2020, although the company's demand for some preparation products declined, the growth rate of performance declined, but its export revenue-generating capacity is still eye-catching.
half-yearly report, Tian medicine shares export revenue reached 479 million yuan, up 15.17 percent year-on-year.
addition, the main business for steroid API and preparation development, production and sales of centroid pharmaceutical 2019 net profit of 410 million, an increase of 36.17 percent year-on-year.
net profit attributable to shareholders of listed companies in the first half of 2020 was RMB205 million, up 18.2% YoY.