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In recent years, with the rising cost of raw materials and labor costs, the news of the price increase of Chinese patent medicine products has continued
.
In the second half of 2021, news of the price increase of Chinese patent medicine products including Angong Niuhuang Pills and Huoxiang Zhengqi Oral Liquid continued to spread, which attracted great attention in the industry
.
At the same time, since the fourth quarter of 2021, the market has been paying more and more attention to the price increase of Chinese medicine raw materials and the price adjustment plan of Chinese medicine companies
.
According to Wind data, since October 2021, a total of 15 Chinese medicine companies in the two cities have been investigated by institutions.
Among them, many Chinese medicine companies such as Yunnan Baiyao, Xintian Pharmaceutical, Guizhou Bailing, China Resources Sanjiu, and Jiuzhitang have been asked about raw materials.
A price increase or a plan to increase the price
.
Northeast Securities pointed out that the price of Chinese herbal medicines is mainly affected by the supply of production capacity, and the demand is growing relatively steadily, but the periodicity of production capacity is obvious, which often leads to an imbalance between supply and demand.
As a result, the prices of most Chinese herbal medicines have risen sharply
.
For pharmaceutical companies, in the case of rising prices of Chinese herbal medicines, the cost of companies will also be under pressure
.
So, how should pharmaceutical companies respond to reduce costs and increase efficiency? It is understood that many pharmaceutical companies said that for the price increase of some raw materials of Chinese medicinal materials in 2021, the company mainly predicts the price increase of raw materials based on past experience and data analysis, and prepares goods in advance according to the predicted results.
Therefore, some raw materials In the short term, the company will not be greatly affected by the price increase
.
In addition to the method of stocking up in advance, some pharmaceutical companies have taken measures such as improving production technology, developing their own medicinal material planting bases, upgrading equipment, improving processes, and centralized procurement to achieve the purpose of reducing costs and increasing efficiency and controlling production.
The cost is within the affordable range
.
For example, Jiuzhitang has strengthened the market monitoring of key materials and carried out strategic reserve and inventory management in a timely manner to stabilize the risk of fluctuations in raw material prices
.
At the same time, the company continuously improves the level of production technology, optimizes the production process of products, and controls production costs.
.
In addition, not long ago, the company also mentioned in the institutional research activities that for Shuxuetong injection, the company will be more proactive in responding to market changes including centralized procurement and medical insurance negotiation, by mastering terminal channels, changing marketing models, and strengthening cost control.
, strengthen the management of intermediate links and other ways to maintain the stable development of the product
.
In the first year of the "14th Five-Year Plan", Taiji Group clearly put forward a specific strategic plan for the cultivation and operation of Chinese medicinal materials - "1020 Project", which focuses on the development of "10 large-scale planting bases represented by Hebei, Northeast China and Chongqing.
" ", the "20 core planting varieties" represented by Pinellia, Atractylodes, and golden buckwheat, make great efforts on the superior products, further improve the quality of medicinal materials, and drive the benefits of the products with large-scale and standardized high-quality planting.
.
In response to the increase in the price of raw materials, the company will ensure the stability of raw material supply and prices by developing its own medicinal material planting bases, conducting strategic cooperation with base customers, and strategically storing bulk medicinal materials.
The impact of rising prices of medicinal materials on costs
.
In addition, Zhongxin Pharmaceutical stated on the investor interaction platform on October 15, 2021 that in the face of fluctuations in raw materials, the company's medicinal materials companies use the bidding procurement platform to purchase raw materials in a timely manner through scientific procurement decision analysis, and effectively and reasonably control procurement.
Price, scientific reserve of bulk materials needed for industrial production
.
In addition, the company organizes cost reduction projects every year
.
Enterprises achieve the goal of reducing production costs through measures such as centralized procurement, process improvement, equipment upgrades, energy saving and consumption reduction, and cost reduction
.
.
In the second half of 2021, news of the price increase of Chinese patent medicine products including Angong Niuhuang Pills and Huoxiang Zhengqi Oral Liquid continued to spread, which attracted great attention in the industry
.
At the same time, since the fourth quarter of 2021, the market has been paying more and more attention to the price increase of Chinese medicine raw materials and the price adjustment plan of Chinese medicine companies
.
According to Wind data, since October 2021, a total of 15 Chinese medicine companies in the two cities have been investigated by institutions.
Among them, many Chinese medicine companies such as Yunnan Baiyao, Xintian Pharmaceutical, Guizhou Bailing, China Resources Sanjiu, and Jiuzhitang have been asked about raw materials.
A price increase or a plan to increase the price
.
Northeast Securities pointed out that the price of Chinese herbal medicines is mainly affected by the supply of production capacity, and the demand is growing relatively steadily, but the periodicity of production capacity is obvious, which often leads to an imbalance between supply and demand.
As a result, the prices of most Chinese herbal medicines have risen sharply
.
For pharmaceutical companies, in the case of rising prices of Chinese herbal medicines, the cost of companies will also be under pressure
.
So, how should pharmaceutical companies respond to reduce costs and increase efficiency? It is understood that many pharmaceutical companies said that for the price increase of some raw materials of Chinese medicinal materials in 2021, the company mainly predicts the price increase of raw materials based on past experience and data analysis, and prepares goods in advance according to the predicted results.
Therefore, some raw materials In the short term, the company will not be greatly affected by the price increase
.
In addition to the method of stocking up in advance, some pharmaceutical companies have taken measures such as improving production technology, developing their own medicinal material planting bases, upgrading equipment, improving processes, and centralized procurement to achieve the purpose of reducing costs and increasing efficiency and controlling production.
The cost is within the affordable range
.
For example, Jiuzhitang has strengthened the market monitoring of key materials and carried out strategic reserve and inventory management in a timely manner to stabilize the risk of fluctuations in raw material prices
.
At the same time, the company continuously improves the level of production technology, optimizes the production process of products, and controls production costs.
.
In addition, not long ago, the company also mentioned in the institutional research activities that for Shuxuetong injection, the company will be more proactive in responding to market changes including centralized procurement and medical insurance negotiation, by mastering terminal channels, changing marketing models, and strengthening cost control.
, strengthen the management of intermediate links and other ways to maintain the stable development of the product
.
In the first year of the "14th Five-Year Plan", Taiji Group clearly put forward a specific strategic plan for the cultivation and operation of Chinese medicinal materials - "1020 Project", which focuses on the development of "10 large-scale planting bases represented by Hebei, Northeast China and Chongqing.
" ", the "20 core planting varieties" represented by Pinellia, Atractylodes, and golden buckwheat, make great efforts on the superior products, further improve the quality of medicinal materials, and drive the benefits of the products with large-scale and standardized high-quality planting.
.
In response to the increase in the price of raw materials, the company will ensure the stability of raw material supply and prices by developing its own medicinal material planting bases, conducting strategic cooperation with base customers, and strategically storing bulk medicinal materials.
The impact of rising prices of medicinal materials on costs
.
In addition, Zhongxin Pharmaceutical stated on the investor interaction platform on October 15, 2021 that in the face of fluctuations in raw materials, the company's medicinal materials companies use the bidding procurement platform to purchase raw materials in a timely manner through scientific procurement decision analysis, and effectively and reasonably control procurement.
Price, scientific reserve of bulk materials needed for industrial production
.
In addition, the company organizes cost reduction projects every year
.
Enterprises achieve the goal of reducing production costs through measures such as centralized procurement, process improvement, equipment upgrades, energy saving and consumption reduction, and cost reduction
.
