Under the transformation and upgrading of the traditional Chinese medicine industry, it is showing a trend of differentiation

At present, under the background that the centralized procurement of Chinese patent medicines is blooming all over the country and the pace of national procurement continues to approach, some analysts believe that the entire Chinese medicine industry may face a reshuffle in the future, and a large number of products and Enterprises may be eliminated at an accelerated pace
.
Therefore, for Chinese medicine companies, with the continuous advancement of centralized procurement, they need to seek innovation and transformation in order to survive
.
The industry believes that in the future, only companies that follow the law of TCM development, inherit the essence, and maintain integrity can accelerate the modernization and industrialization of TCM and obtain more opportunities
.
It is worth noting that, in the face of stricter policy regulations and continuous pressure on corporate performance, a large number of traditional Chinese medicine companies have actually begun to seek transformation and are creating diversified development models to enhance their own anti-risk capabilities
.
It is understood that many Chinese medicine companies are making efforts in the fields of biological medicine and chemical medicine innovative medicine through innovative research and development
.
Companies such as Buchang Pharmaceuticals, Tasly, Jiuzhitang, Zhongsheng Pharmaceuticals, Yuheng Pharmaceuticals, etc.
are all targeting small-molecule chemical drugs and even monoclonal antibodies, double antibodies, cell therapy, and even PD-1, CAR-T, etc.
that have become popular in recent years.
Biological medicine layout
.
Of course, more and more Chinese medicine companies are beginning to expand into consumer products such as cosmetics, skin care products, health products, general foods, and beverages
.
For example, Yunnan Baiyao, Guangzhou Pharmaceutical, and Pien Tze Huang are all working hard in the daily chemical market
.
On the other hand, Tongrentang opened a traditional Chinese medicine health catering experience store, and launched coffee and other products with Chinese herbal medicine
.
From an overall point of view, many traditional Chinese medicine companies are currently in the process of transformation, and they are biased towards the fields of chemical medicine, biological medicine, and general health
.
In this context, the industry believes that in the future, the entire Chinese medicine industry may have important differentiation, and all Chinese medicine companies will be roughly divided into three categories, showing different development trends
.
One is that, like Yunnan Baiyao and other companies, it has become a company that relies on its existing advantages and through continuous transformation, the future income of daily chemical products and other businesses will exceed the income of traditional Chinese medicine
.
The other is to continue to deepen the field of traditional Chinese medicine, diligently conduct evidence-based research on listed drugs, and have Chinese medicine companies with important clinical value products.

.
In the future, their products may not be in the medical insurance catalog, but they may be able to shine in the OTC market
.
In addition, while adhering to the innovation and development of traditional Chinese medicine, it is expanding into other medical fields and becoming a joint development enterprise of Chinese and Western medicine
.
It is understood that Rubuchang Pharmaceutical started its transformation as early as 2018, from a sales company to a technology company, and its main products were converted from Chinese patent medicines to biological medicines, vaccines, chemical medicines, medical devices, and Internet medicines.
, And transform from Chinese localization to globalization
.
After the transformation, Buchang Pharmaceutical has developed new opportunities, and its sales revenue in 2020 will reach 8.
373 billion yuan
.
In general, "transformation" has become a key word for the development of Chinese medicine companies
.
Whether it is a leading Chinese medicine company with a market value of 100 billion yuan or a Chinese medicine company with a market value of less than 10 billion yuan, they are transforming into the fields of chemical medicine, biological medicine, food, beverage, medical beauty, and general health, trying to enter more than traditional Chinese medicine.
Better development in the field
.
However, it should be noted that the cross-border actions of most companies have not seen obvious results for the time being
.
In this regard, industry insiders believe that in order to increase the probability of successful transformation of pharmaceutical companies, relevant companies still have a long way to go, and they need to formulate long-term transformation strategies and product strategies
.