The expansion of the large catalogue of Chinese medicinal materials is about to enter the market by China Resources and Jiang Zhongzhong

In recent years, relevant national departments have been promoting the pilot and identification of the catalog of medicinal and food homologous, aiming to empower the health industry
in the new era through the high-value development and utilization of medicinal and food homologous resources.
According to statistics, more than 100 kinds of Chinese herbal medicines have been included in the catalog, among which Panax notoginseng, yam, hawthorn, etc.
are the main raw materials
of star Chinese medicines such as stomach digestion, Yunnan baiyao, and Pian Tsaixi.
According to data from Intranet, the sales scale of these large varieties in China's three major terminal markets in 2021 (see the end of the article for statistical scope) exceeded 1 billion yuan
.
Recently, the pilot work of accessing 9 Chinese herbal medicines such as Codonopsis ginseng, Ganoderma lucidum and Dendrobium ironbark in many provinces is nearing completion, which means that the catalog of medicinal and food homologous is expected to usher in a new round of adjustment and expansion
.

 

The expansion of the catalog of medicine and food homologous sets the tone, and "adaptability and safety" are by no means sloppy

 

Medicinal and food homologous substances are substances
that are both food and medicine.
In Chinese medicine, many foods can be used medicinally, and many medicines can also be eaten, and it is difficult to strictly distinguish
between the two.
Therefore, for more than three decades, the relevant departments have been promoting pilots and catalog recognition
.

 

According to incomplete statistics, since 1987, the relevant departments of the state have successively updated at least 6 editions of the catalogue of medicinal and food homologous, and up to now, more than 100 kinds of
Chinese medicinal materials have been included in the catalogue of medicinal and food homologous.
(Attached at the end of the article: Compilation of the catalog of medicinal and food homologous over the years)

 

Updates to the catalog of medicinal and food homologous

Source: National Health Commission, etc.
Organized by the Intranet

 

In April 2018, the National Health Commission issued the "Letter on Soliciting Opinions on the Management of Nine Substances such as Party Ginseng as Substances that are Both Food and Chinese Medicinal Materials in Accordance with Tradition", deciding to carry out the pilot work of the production and operation of nine substances, including Codonopsis ginseng, Cistanche, Dendrobium ferrugine, American ginseng, astragalus, Ganoderma lucidum, dogwood, and eucommia eucommia leaf, in accordance with the traditional production and operation of substances that are both food and Chinese medicinal materials, and according to the implementation of the pilot in various places, the feasibility of including the above substances in the management of the homologous catalog of medicine and food will be studied and demonstrated
.

 

According to data from Intranet, among the top 20 varieties of Chinese medicine pieces in the terminal of physical pharmacies in Chinese cities in 2021, American ginseng, astragalus, codonopsis ginseng and dendrobium ranked first, third, tenth, seventeenth and eighteenth
respectively.

 

　　

Source: National Health Commission

 

Up to now, Hubei, Heilongjiang, Hebei, Shandong, Gansu, Yunnan, Guizhou, Jiangxi, Jilin, Sichuan, Guangdong, Guangxi Zhuang Autonomous Region, Inner Mongolia Autonomous Region, Anhui and other provinces and cities have selected some of the medicinal materials in 9 substances, including astragalus and Codonopsis ginseng
, according to local conditions.
Among them, Shandong carried out a pilot for American ginseng; Hubei carried out pilot projects for Codonopsis ginseng, Ganoderma lucidum and Dendrobium ferrugineum; Gansu's pilot for Codonopsis ginseng, astragalus, and Cistanche will end on November 3 this year.
.
.

 

The pilot work in various provinces and cities is about to enter the final stage, but considering the bias of Chinese herbal medicines, it is necessary to consider the adaptability of the audience and the adverse reactions
of drugs in terms of application.
Therefore, the catalogue of medicinal and food homology may only be officially expanded under the premise that the efficacy and safety of the pilot products are fully confirmed
.

 

According to data from Intranet, the sales scale of Chinese medicine pieces at the terminal of physical pharmacies in Chinese cities in 2021 has exceeded 25 billion yuan, a year-on-year increase of 3.
8%, and with the blessing of the medicine and food homologous catalog, the sales growth in this field is expected to further accelerate
in the future.

 

Sales trend of Chinese medicine pieces in China's urban physical pharmacies (100 million yuan)

Source: Intranet China's urban physical pharmacy terminal competition pattern

 

It is worth noting that in the pattern of TOP20 varieties of Chinese medicine pieces in the terminal of urban physical pharmacies in 2021, 7 kinds of Chinese herbal medicines such as goji berry, chrysanthemum, honeysuckle, poria, ginseng, angelica and jujube have been included in the catalog of medicinal and food homologous; In addition, six kinds of Chinese herbal medicines, American ginseng, Panax notoginseng, astragalus, Codonopsis ginseng and Dendrobium ironbark have been included in the pilot list
.

 

A large number of traditional Chinese medicine enterprises welcome the benefits, China Resources, Jiangzhong, Pian Tsai.
.
.
Add code to entry

 

Due to the characteristics of both food and medicine, medicinal and food homologous substances may be different from simple food or drugs, and there may be more
opportunities in product development and market sales.
With the continuous expansion of the catalog of medicine and food, many leading Chinese medicine companies have increased the layout
of related product lines.

 

Jiangzhong Pharmaceutical's almost well-known star product in the gastrointestinal category - stomach digestion tablets, the raw materials used yam, hawthorn, fried malt are dual-use products
of medicine and food.
According to data from Intranet, the sales revenue of the company's products in China's three major terminal markets has increased year by year, exceeding 1.
4 billion yuan in 2021, of which the terminal sales of online pharmacies increased by more than 43%
year-on-year.

 

Sales trend of Jiangzhong Pharmaceutical's stomach digesting tablets in China's three major terminal markets (10,000 yuan)

Source: Intranet database

 

At the same time, Jiangzhong Pharmaceutical continues to strengthen the product cognition of "appetizing and aiding digestion", "medicine and food are the same source, safe and without side effects" through a series of marketing strategies, and simultaneously seeks to acquire new product targets to explore new opportunities in the category
.

 

CR Sanjiu once pointed out in the annual report that the preventive health care market has broad prospects, its new ingredients based on the same origin of medicine and food, pure nature, new dosage forms represented by soft/sugar, oral liquid continue to be launched, and customized products for segmented groups and refined needs continue to iterate to meet the needs of
consumers throughout the life and health cycle.

 

In March 2021, CR Sanjiu launched a new functional soft/candy brand bearkoko.

Among them, GABA collagen soft/sugar has the effect of helping sleep and improving sleep quality, and the concept of "medicine and food homologous" is launched with food-grade functional supplement products, which is more conducive to market publicity and promotion
.

 

Yunnan Baiyao and Pian Tsaixi, two leading enterprises of traditional Chinese medicine, have also long had a layout
in the development of products with the same origin of medicine and food.
For example, Panax notoginseng is a valuable Chinese herbal medicine for the treatment of bruising, hematoma, bruises, and is also one of the earliest medicinal and food homologous substances in China, and the famous Chinese patent medicines "Yunnan Baiyao" and "Pian Tsai" are made
of Panax notoginseng as the main ingredient.

 

According to data from Intranet, the sales scale of Yunnan Baiyao and Pian Tsai in China's three major terminal markets in 2021 exceeded 4 billion yuan and 2 billion yuan respectively, of which the sales of Pian Tsai increased by 96.
98%
year-on-year.

 

Sales trends of Yunnan Baiyao and Pian Tsai in China's three major terminal markets (10,000 yuan)

Source: Intranet database

 

In addition, in terms of new retail health services, Yunnan Baiyao began to focus on building a new retail health service platform around digital operations, continuously enriching product categories through food and health, and initially establishing the brand impression of "medicine and food from the same source, professional and fashionable" in the user's mind; In its 2021 financial report, Pian Tsai also mentioned that the company is promoting the project
with an annual output of 5,000 tons of traditional Chinese medicine pieces and medicinal and food homologous.

 

Under the spring breeze of policy, new opportunities for the Chinese medicine industry

 

The adjustment and expansion of the catalogue of medicinal and food homologous has brought huge business opportunities to many Chinese medicine enterprises, and has also driven the rapid development
of the Chinese medicine industry.
First, the demand for raw materials has surged, and the planting and processing industries in the production areas are welcome

 

Chinese herbal medicines/Chinese medicine pieces belong to the category of medicines, which can only be circulated and sold through medicinal channels, and the dosage is greatly limited, even if they are used to wipe the edge of agricultural and sideline products, their sales are extremely limited
.
Once a certain medicinal material enters the catalog of medicinal and food homologous, various forms of food and health food are expected to appear, and the demand for raw materials will also increase significantly, which is conducive to the planting and processing industry
in the production area of related products.

 

Second, set off a new product development boom China's current medicinal and food homologous products mostly enter the market in the form of traditional Chinese medicine pieces or medicinal diets, which can basically meet the daily needs of consumers, but due to simple preparation and low technical content, the added value of products is low and the core competitiveness is insufficient
.
This phenomenon may force Chinese medicine enterprises to increase investment in the research and development of new products, improve the scientific and technological content, and enrich the product forms (such as: extracts, granules, concentrates, wall-breaking powders, lyophilizers, etc.
), so as to have stronger competitiveness
in market development.

 

Third, further expand sales channels For the sales of products in the catalogue of medicine and food, the State Food and Drug Administration replied in the "Proposal on the Permitted Open Shelf Sales of Single Products of Chinese Medicine Pieces within the Scope of the Catalogue of Medicinal and Food Homologous": If it is only a simple net, slice and package, and the packaging label does not indicate "preparation specifications, functional indications, usage and dosage", it can be classified and managed in accordance with the content of Article 38 of the Food Safety Law, pharmacies can open shelves for sale, and the public can buy them without a prescription when purchasing in pharmacies.
This will further broaden the sales channels
of related Chinese medicines.

 

4.
Promote the transformation and upgrading of traditional Chinese herbal medicine/Chinese medicine pieces enterprises In recent years, the supervision of traditional Chinese medicine pieces has been increasing, especially since the implementation of the new version of the "Drug Administration Law" in 2019, the punishment for illegal drugs reflects the spirit of "four strictest", which has caused unprecedented pressure
on Chinese medicine pieces enterprises.
Therefore, the transformation and upgrading of traditional Chinese herbal medicine/Chinese medicine pieces enterprises has become an inevitable
adaptation to market changes.
At the same time, the state's access and management of medicinal and food homologous products are gradually standardizing
.

 

In November 2021, the Department of Food Safety Standards, Monitoring and Evaluation of the National Health Commission issued the Notice and Interpretation Document of the "Regulations on the Administration of the Catalogue of Substances that Are Traditional Both Food and Chinese Materia Medica", clarifying the dynamic adjustment and management specifications
of medicinal and food homologous substances.

 

　　

Source: National Health Commission

 

The interpretation document mentions that when each province or city proposes to expand or adjust the catalog of medicinal and food homologous, it should provide materials such as certificates with traditional consumption history and food safety evaluation materials
.
When reviewing the recommended materials of the medicinal and food homologous catalog, the national technical institution should make a comprehensive evaluation opinion
based on the opinions of all parties and the social stability risk assessment.
In addition, it is also necessary to strengthen the tracking and management of newly included products in the same catalog of medicine and food, require all provinces and cities to carry out drug safety risk monitoring for newly included products, timely report and find adverse reactions and other information, combine the results of risk monitoring, adjust the products in the catalog when necessary, and implement dynamic management
.

 

epilogue

 

At present, the state is vigorously supporting the development of the traditional Chinese medicine industry, and the development of medicinal and food homologous products in the context of the big health industry has broad development prospects
.
Under the opportunities of superimposing national policies and social needs, the traditional Chinese medicine health service industry will also usher in a "good era"
.

 

Over the years, the catalog of medicinal and food homology has been sorted and summarized

 

Source: Intranet database, National Health Commission, etc

 

Note: Intranet's "Competition Pattern of China's Three Major Terminals and 6 Major Markets", the statistical scope is: urban public hospitals and county-level public hospitals, urban community centers and township health centers, urban physical pharmacies and online pharmacies, excluding private hospitals, private clinics, village clinics, excluding county and rural pharmacies; The above sales are calculated
based on the average retail price of the product at the terminal.