Compared with India, people are ashamed that China's health care industry is still standing

Business News Agency October 25th News Although the health care industry in China still showed a good situation of high growth and high foreign exchange earnings since the world financial crisis in 2008, behind the phenomenon of exploration, we still face the question of how to maintain the sustainable and healthy development of the industry.

"Replay"

Statistics show that in 2007, the total import and export trade of Chinese medicine and health products reached US$38.591 billion, reached US$48.693 billion in 2008, reached US$531.46 billion in 2009, and grew at an average annual rate of more than US$7 billion. In the first half of 2010, the total volume of imports and exports reached 28.302 billion U.S. dollars, a year-on-year increase of more than 20%.

The growth behind it shows that nearly 50% belong to the import and export trade of western medicine raw materials, and its import share is only about 20% of exports. The pain of the data is precisely the export of high-energy, high-pollution, and high-predation low-grade products. This has long been a recipe for sorrow for the scars in the industry.

Some people may still be grateful that the export of Chinese medicine is growing rapidly, especially the emerging growth points of health products and extracts, which have shown a high growth trend in recent years, as a way to wash away the “disgrace” of the big exporters of primary products.

However, after analyzing the internal structure of high growth, it can be clearly seen that the export of extracts and health products can be regarded as a re-broadcast of the history of import and export of western medicine raw materials. In the first half of 2010, the export of extracts was still dominated by general trade, with exports accounting for 86.8%; followed by feed processing trade, with exports accounting for 10.7%. Similarly, in the case of large-scale fish oil exports from health care products, exports in the first half of the year amounted to 3,866 tons, an increase of 127% year-on-year, and the vast majority were processed health-grade fish oil products. The average export price was only around US$6,000/ton, the main importer. It is the United States and Canada and other countries. At the same time, our country has paid several times or even tens of times more than raw material exports to purchase finished products from other countries.

Be in danger

Since the reform and opening up to the outside world, the development of China's medicine and health care products has maintained a steady growth, with few innovations, few outbound moves, and more closed doors. Especially in the development of the past two decades, the result is that it has lagged behind India's development speed.

After the realization of the "dominant" dream of software, India has taken a big step towards the dream of the world's pharmaceutical giants. Today, it is already one of the world's most advanced pharmaceutical industry markets. The number of drugs it can produce ranks fourth in the world. Ranked 13th in the world for pharmaceutical value. India's pharmaceutical export capacity is very strong, and exports account for 17% of total global pharmaceutical product exports.

In 2009, the total output value of India's pharmaceutical industry accounted for about 12.2% of the total value of the international pharmaceutical industry, and the production value of preparations accounted for about 3.4%. In 2003, these two figures were only 8% and 1.5% respectively. Although India's pharmaceutical industry has not developed a new drug with major international influence like China, India has ranked first among third-world countries in terms of exports of generic drug products, and its top ten pharmaceutical companies have more than 50% annually. The output is exported all over the world. In the field of preparations, currently India has obtained more than 70 pharmaceutical manufacturing enterprises certified by the US FDA for cGMP certification, and is the country that has obtained the most FDA product certification outside the United States. In contrast, most of the Chinese enterprises mainly export pharmaceutical raw materials, that is, products whose exports are much lower than the technical content and profits of the preparations, and very few have obtained FDA formulation certification.

At present, the United States, the European Union, and Russia have become the three major markets for India's pharmaceutical exports, while Southeast Asia, South Asia, the Middle East, and the Arab region are the traditional markets for India's pharmaceutical exports. India has become the "leader" of Asian generic drugs.

It is worth pondering that the successful export of Indian preparations is due in large part to the country’s large export of bulk pharmaceuticals to India. In recent years, India has become one of the three major buyers of medicines and health products in China.

So, is emerging emerging extracts and health products catching up with India?

According to reports, India's health care industry is growing at a rate of 21% per year, which indicates that disposable income is increasing in healthcare expenditures, while an aging population, an increase in drug retail sales, and a favorable price environment are driving Indian nationals increase spending on preventive treatment and promote the development of the entire health care product industry.

The most typical example is - In the first eight months of 2010, Amway India's revenue increased by more than 20% over the same period of last year, which indicates that it will implement a second production base in South India to increase product range and promote company sales. .

To sum up, when domestic pharmaceutical companies vigorously promote the health food business, should they stop to look at China's pharmaceutical development model? Can it meet the development needs of health foods? Is it still stuck in "replay"?