One stone, two eagles: merger of traditional Chinese medicine industry and concentration of extract industry

In addition to the development of large varieties, traditional Chinese medicine manufacturers may face the trend of merger and concentration in traditional Chinese medicine extract industry According to the relevant provisions of the State Food and drug administration, pharmaceutical enterprises that do not have the extraction ability will stop the production of relevant products in the future Analysts in the industry believe that this move aims to encourage enterprises to extract traditional Chinese medicine by themselves As part of the traditional Chinese medicine production enterprises will stop production, the industry concentration will increase Relevant statistics show that at present, the plant extract industry has become a "sunrise industry", accounting for nearly half of the export of traditional Chinese medicine products In 2010, the export value of plant extracts reached 820 million US dollars In 2011, the export value exceeded 1 billion US dollars, and in 2012, it was 1.16 billion US dollars In the first quarter of this year, the import and export volume of domestic plant extracts reached 410 million US dollars, an increase of 12.1% year-on-year, and the export volume reached 330 million US dollars, an increase of 11.2% year-on-year, accounting for 47% of the export volume of traditional Chinese medicine In this regard, some industry insiders believe that it is "inevitable" that the production and extraction of Chinese patent medicine will face an industry reshuffle Many enterprises that rely on the entrusted processing extract to survive will face the situation of stopping production or being merged For those enterprises that have always been extracting by themselves, the early investment is expected to get return and have more say in drug pricing The main purpose of centralizing to extract industry through industry annexation is to strengthen the standard, improve the quality of Chinese patent medicine, and change the disorder of entrusted processing in the extraction of traditional Chinese medicine At the same time, it can also eliminate the backward production capacity and improve the overall competitiveness of the industry, which can be described as "two birds with one stone" Under the background of the current rising price of traditional Chinese medicine and drug bidding and price reduction, strengthen the standardized management of traditional Chinese medicine extract, make the cost of traditional Chinese medicine and decoction pieces increase, standardize the source of raw materials, have a profound impact on the cost of drugs, the right of discourse in pricing, the elimination of some non-standard small and medium-sized enterprises, the integration of the industry, and the impact of reducing profits after price reduction on the industry Ring.