A large number of commonly used proprietary Chinese medicines are expected to usher in a big price cut!

Recently, the Guangdong Pharmaceutical Trade Center issued the "Guangdong Union Qingkailing and other 58 pharmaceutical groups with volume procurement documents (draft for comments)"
.
According to the documents, the alliance regions participating in this centralized procurement include Guangdong, Shanxi, Henan, Hainan, Ningxia, Qinghai, and Xinjiang.
The drugs selected for the centralized procurement of proprietary Chinese medicines in the 7-provincial alliance are large in the basic medical insurance catalog.
All the dosage forms and specifications of 58 generic drugs with a high purchase amount
.
It is worth noting that the above 58 medicines are all proprietary Chinese medicines
.
Among them, 36 are exclusive varieties, such as Xiyanping, Lianhua Qingwen, Xiao'er Liaoqiao Qingre and other large varieties with sales of over 100 million yuan; not exclusive, there are also Qingkailing, antiviral oral liquid, orange red phlegm cough, etc.
Commonly used medicine
.
It is reported that the companies involved in this centralized procurement include Yiling Pharmaceutical, Tasly, Buchang Pharmaceutical and many other listed pharmaceutical companies
.
Industry analysts believe that the inclusion of 58 "high-priced and large-volume" proprietary Chinese medicines into Guangdong Central Procurement means that after chemical drugs, the "price-cut boots" hanging on the head of proprietary Chinese medicines will finally fall
.
The above-mentioned documents can be said to have swung the centralized procurement knife towards Chinese patent medicines, especially the exclusive varieties of Chinese medicines
.
In this context, it is expected that those proprietary Chinese medicine companies that rely on exclusive varieties, exclusive dosage forms, and exclusive specifications will face huge challenges, and relevant companies need to make preparations in advance
.
In fact, the industry has already anticipated that a large number of proprietary Chinese medicines will be included in the centralized procurement and will usher in a price reduction.
As early as August 9, the National Medical Insurance Administration's website publicly responded to "Proposals on accelerating the entry of Chinese medicines and formula granules into centralized procurement.
"In the next step, the Medical Insurance Bureau will work with relevant departments to improve the quality evaluation standards of Chinese patent medicines and formula granules, insist on quality first, be clinically demand-oriented, and start with high-priced and large-volume varieties.
Promote the reform of centralized procurement of proprietary Chinese medicines and formulated granules steadily
.
In addition, judging from the previous pilots of centralized procurement of Chinese patent medicines in Qinghai Province, Zhejiang Jinhua, Henan Puyang and other regions, although the pilot centralized procurement varieties are basically Chinese patent medicines with high demand and high prices, the price reduction rate is basically 50%.
In terms of %, the industry predicts that the price of Chinese patent medicines produced by the country may also be reduced by about 50%
.
So, in the face of centralized procurement, how should Chinese patent medicine companies respond? The industry believes that a batch of proprietary Chinese medicine companies will be eliminated in the future, especially small-scale and non-specialized small companies that may gradually fade out of the hospital market and move to the OTC and e-commerce markets; and have a Chinese medicinal planting base to obtain Large enterprises with advantages such as GAP certification, intelligent manufacturing, and professional promotion are expected to break through the centralized procurement competition and obtain opportunities for high-quality and rapid development
.
Therefore, under the pressure of centralized procurement, relevant companies need to focus more on the research and development of innovative Chinese medicines with relatively high academic content, and strive to introduce more innovative products with characteristics to benefit more patients
.
In addition, relevant companies can further improve product quality and market competitiveness by accelerating work related to real-world data
.
After all, the purpose of carrying out mass procurement is to squeeze out the cost of the intermediate circulation links, so that the competition between enterprises will shift to the competition of quality and price.
This is also true for proprietary Chinese medicines
.
In the future, for traditional Chinese medicine companies, only by continuously strengthening cost management, strictly controlling drug quality, increasing R&D investment, and introducing more professionals, can they seize opportunities in centralized procurement competition and continue to improve their market competitiveness
.