Longshen Rongfa, Jiaying Pharmaceutical and many other traditional Chinese medicine stocks rose

[Pharmaceutical Network Pharmaceutical Stock Market] On February 21, 2021, the traditional Chinese medicine sector changed again
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From the perspective of individual stocks, as of 10:18, Jiaying Pharmaceutical rose by more than 3%, and many stocks such as Longshen Rongfa, Tailong Pharmaceutical, and *ST Kangmei followed suit
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The industry pointed out that the recent bad news in the pharmaceutical sector has actually occurred frequently.
Among them, WuXi Biologics has been included in the unverified list by the United States, which has made the overall pharmaceutical sector depressed.
Recently, the National Medical Insurance Bureau announced that it will expand the scope of centralized procurement to Chinese patent medicines.
, This news made the traditional Chinese medicine sector continue to decline
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However, from a fundamental point of view, a series of favorable policies at the national level still support the development of the traditional Chinese medicine industry
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Since 2021, policies to support the Chinese medicine industry at the national level have been accelerated
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For example, in February 2021, "Several Policies and Measures on Accelerating the Development of Traditional Chinese Medicine Characteristics" was released; then on June 30, the National Health Commission and others jointly formulated "On Further Strengthening the Work of Traditional Chinese Medicine in General Hospitals to Promote the Coordinated Development of Traditional Chinese and Western Medicine" On July 7 of the same year, the five departments jointly formulated the Implementation Plan for the Dissemination of Traditional Chinese Medicine Culture (2021-2025)
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In addition, the "Guiding Opinions on Medical Insurance Supporting the Inheritance and Innovation of Traditional Chinese Medicine" jointly issued by the two departments requires deepening the reform of the medical security system, supporting and promoting the inheritance and innovation of traditional Chinese medicine; in terms of registration approval, the state vigorously promotes the inheritance and innovation of traditional Chinese medicine, The number of innovative traditional Chinese medicines, both in terms of registration and approval, has reached a record high.
The number of innovative traditional Chinese medicines approved in 2021 will reach 11, covering multiple therapeutic areas
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As the country releases the signal of the expansion of the scope of centralized procurement of proprietary Chinese medicines, as well as the continuous advancement of the centralized procurement of traditional Chinese medicines in local alliances, the traditional Chinese medicine industry will face a situation where opportunities and challenges coexist
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 　　Looking forward to the opportunities in the traditional Chinese medicine sector, Caixin Securities believes that after the general rise, the market of the traditional Chinese medicine sector will be differentiated.
It is recommended to focus on three traditional Chinese medicine subdivisions with long-term growth logic, including innovative traditional Chinese medicines; high brand value, strong policy immunity, Traditional Chinese medicine consumer products with sustainable price increases; and traditional Chinese medicine formula granules with market expansion, high industry barriers and good competition
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 　　Another industry analysis pointed out that the good performance of traditional Chinese medicine companies will continue for some time
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From the demand side, the good performance of traditional Chinese medicine in anti-epidemic has made people pay more attention to traditional Chinese medicine
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At the same time, a number of Chinese medicine brands have paid more attention to the construction of e-commerce channels in the past two years, which is conducive to enabling more consumers to understand and purchase Chinese medicine products and efficiently develop the market
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In addition, the state has raised the standard requirements for the production, processing and storage of Chinese medicinal materials, and the supervision of the quality of medicines has also become stricter.
This promotes the standardization process of the industry, which is conducive to improving consumers' trust in traditional Chinese medicine products, thereby increasing the consumption of traditional Chinese medicines
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 　　The R&D analyst of Southwest Securities also pointed out that the policies of the traditional Chinese medicine industry have continued, and the immune attributes of traditional Chinese medicine consumer goods medical insurance are prominent
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In terms of policies, the state has intensively introduced favorable policies in promoting the innovation of traditional Chinese medicine, the internationalization of traditional Chinese medicine, the quality control of traditional Chinese medicine and medical services of traditional Chinese medicine, which has promoted the steady and rapid development of the industry
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Its analysis pointed out that the recent centralized procurement of Chinese patent medicines in Hubei and other places is mainly based on traditional Chinese medicine injections, while traditional Chinese medicine consumer goods have consumption attributes, mainly in the out-of-hospital market, and are relatively immune to medical insurance
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 　　In this regard, he believes that the development of traditional Chinese medicine consumer products will usher in three major opportunities, and future performance is expected to explode, including: first, upstream Chinese medicinal materials will usher in price increases, and there will be certain price increases expected for upstream raw materials + downstream products in the future; second, channel inventory clearance At the end, the superimposed price increase is expected to bring the speed of inventory turnover in the downstream of the traditional Chinese medicine sector to accelerate; third, the mixed reform of state-owned enterprises has released dividends, and equity incentives have been implemented one after another
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 Disclaimer: Under no circumstances does the information or opinions expressed in this article constitute investment advice to anyone
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