Medical insurance, collection, national standard implementation... Opportunities and challenges coexist in the Traditional Chinese medicine formula granule industry

【Pharmaceutical Network Market Analysis】Chinese medicine formula granules have the advantages of safety and effectiveness, stable and controllable quality, convenient to take, etc.
, which are more in line with the fast-paced life of modern people, and have always been favored by the market, and the demand has shown a rapid growth trend
.

At present, the Traditional Chinese medicine formula granule industry is facing medical insurance, collection, national standard implementation.
.
.
Opportunities and challenges coexist
.

At the end of August, the Anhui Provincial Medical Insurance Bureau and other departments jointly issued a document to clearly include 343 Chinese medicine formula granules such as Poria (196 Chinese standards and 147 provincial standards) into the scope of medical insurance payment in
Anhui Province.

The varieties included in the medical insurance must have and meet the national standards or Anhui provincial standards
.

At present, the formulation and release of provincial standards for traditional Chinese medicine formula granules in Anhui Province are being actively and orderly promoted
.

In July, the Hainan Provincial Food and Drug Administration and other four departments also issued the detailed rules for the trial management of Chinese medicine formula granules, which mentioned that the Chinese medicine formula granules corresponding to the Chinese medicine tablets that have been included in the scope of medical insurance payment will be included in the scope of medical insurance payment, and refer to the management
of Class B.

The regulations will come into effect
on November 1.

In addition, there are many places to accelerate the promotion of Traditional Chinese medicine formula granules into medical insurance, as of now, Zhejiang, Hebei, Hunan, Beijing, Fujian and other provinces have included Chinese medicine formula granules into the scope of
medical insurance payment.

On August 31, the National Medical Insurance Bureau issued the "Notice on Printing and Distributing Unified Coding Rules and Methods for Medical Insurance Traditional Chinese Medicine Formula Granules", which is regarded by the industry as a signal that the medical insurance payment standards in the national market are expected to accelerate the standardization, and the future Chinese medicine formula granules will not be limited to the sales channels in the hospital, and the market demand is expected to grow
.

Gathering is approaching Under the normalization of collection and mining, the scope is gradually expanding, and it is also approaching the granules
of Traditional Chinese medicine formulas.

The National Medical Insurance Bureau previously clarified in a reply that the next step will be to work with relevant departments on the basis of improving the quality evaluation standards of proprietary Chinese medicines and formula granules, adhere to quality priority, take clinical demand as the guide, start from high-priced varieties, and scientifically and steadily promote the reform
of centralized procurement of proprietary Chinese medicines and formula granules.

At the beginning of January this year, the first joint procurement of the National Interprovincial Traditional Chinese Medicine (Material) Procurement Alliance was officially launched
.

The scope of the alliance also includes Chinese medicine tablets (including formula granules
).

In addition, local governments have tried to collect Chinese medicine formula granules, such as Liaoning, Guangdong, Fujian, etc.
have implemented the traditional Chinese medicine formula granules hanging net
.

The industry believes that under the collection, the cost of the intermediate circulation link of the Chinese medicine formula granule enterprises may be squeezed out, separated from the original "kickback competition", more attention to quality, the entire market will face a major reshuffle, the national standard implementation On September 1, the State Pharmacopoeia Commission issued the "Announcement on the National Drug Standard for Chinese Medicine Formula Granules (Phase II of 2022)", a total of 19 varieties
.

Up to now, 200 national drug standards have been officially announced for the granular varieties of Traditional Chinese medicine formulas
.

From the perspective of the long-term development of the industry, with the landing of the national standard, as well as the continuous release of a series of favorable policies for Chinese medicine formula granules such as exemption from "zero addition" and full liberalization, the Chinese medicine formula granule market will continue to expand, and the industry expects that by 2030, the market size of Chinese medicine formula granules will reach 100 billion yuan
.

It is worth mentioning that since the official end of the pilot work of Chinese medicine formula granules, the number of Chinese medicine formula granule enterprises has been increasing, the market competition has become more and more intense, and the industry expects that the head enterprises of Chinese medicine formula granules have significant advantages in channels, sales and other aspects, or are more competitive
.

In addition, Hongri Pharmaceutical reminded in the semi-annual report that in terms of Traditional Chinese medicine formula granules, with the end of the pilot and the implementation of the national standard, more and more new entrants are participating in the formula granule track, and there is an increased risk in market competition, and the fluctuation of the price of Chinese herbal medicines may also bring the risk
of cost increase to Chinese medicine formula granules.

Disclaimer: In no event shall the information or opinions expressed herein constitute investment advice
to any person.