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Contemporary Traditional Chinese Medicine Industry

  Present Situation

  There are 74 pharmaceutical companies and 5 herbal medicine tablet manufacturing companies in Guiyang. Focusing on the production of patent medicine, the pharmaceutical industry in Guiyang has formed an industrial structure whose diversified development includes biological products, Chinese traditional medicine decoction piece, chemical medicine and hygienic materials, etc.. About 22 enterprises, such as Yibai, Yikang, Tongjitang, Xintian, Sanli, Hanfang and Kelun, have achieved output value of more than 100 million Yuan. They produce medicine of ethnic characteristics and gradually establish the reputation of “Miao medicine” across the country. Such brands of medicine are as follows: Keke, Tianmatoufengling, Relinqing, Ningbitai, Liuweidihuangwan, Kangfuyan, Xianlinggubao and Yanlishuang, etc..

  Among 1,212 medicines which have got national certified medicine code, 96 are ethnic medicine (Miao medicine). In 2008, an output value of 7.7 billion Yuan has been made. “Shenqi”, “Yibai” and “Tongjitang” were awarded the title of Famous Brand Products of China. Seventeen pharmaceutical companies including “Xintian”, Wanshuntang” and “Weimen” were awarded “National Designated Manufacturing Enterprises of Ethnic Medicine” during the period of the Eleventh Five-year Plan. Hongyu Pharmaceutical Company was awarded “China Outstanding Private Technological Enterprise” while Xintian and Xinbang Pharmaceutical Company were awarded the title of “National Key Enterprise of Agricultural Industrialization” and Xinbang also won the title of “National Innovation Pilot Enterprise”.

  In March of 2004, Guizhou Yibai Pharmaceutical Holdings Co., Ltd. listed on open public market after the verification by National Stock Supervision Commission. And Guizhou Tongjitang Pharmaceutical Holdings Co., Ltd. listed on New York Stock Exchange in March, 2007.

  As to medical research and development, a relatively complete research and development system has been established in Guiyang. In particular, in the research of modernization of Chinese traditional medicine, with the backbone formed by Guiyang Medical College and Guiyang Chinese Traditional Medical College, several research institutes were set up continuously, such as Guizhou Key Chemistry Laboratory of Natural Products, Guizhou Experimental Animals Center, Guizhou Clinical Medicine Base of Chinese Traditional Medicine and Guizhou C02 Super-critical Extraction Center.

  As to medicine quality certification management, 74 companies have been certified by GMP(quality management standard for drug manufacturing) authentication. Moreover, there are 84 medicine wholesale companies, 8 medicine chain distributors as well as 384 retailers have got GSP(quality management standard for drug supply)authentication respectively.

  Industrial Development Advantages

  Guizhou is one of the four Chinese herbal medicine bases in China, just as an old saying goes that “all grass are miraculous herbs in Guizhou.”  There are more than 4,290 kinds of various natural herbs with a total reserve of 65 million tons, including tens of local herbs, like Gastrodia elata, Eucommia ulmoides, Guizhou Codonopsis pilosula, Poligonum multiflorum. Among 1,250 kinds of Chinese herbal medicine resources in Guiyang, 1,140 kinds are plant herbs, 80 animal medicinal materials and 30 mineral medicinal materials. The reserve of Chinese medicinal materials in Guiyang is 963 thousand tons, including 52 thousand tons of plant herbs, 910 thousand tons of mineral materials and 2 tons of animal materials.

  Guizhou Chinese Traditional Medicine Research Institute, Guizhou Institute of Traditional Chinese Medical Science, Guizhou Medicine Design Academy, Guiyang Medical College, Guiyang Chinese Traditional Medical College as well as other research and development institutes are located in Guiyang. As a result, strong scientific capacity and big personnel reserve have laid solid foundation for the development of pharmaceutical industry.

  In recent years, Guiyang has rationally designed pharmaceutical industrial parks according to high standard. Five industrial parks in Qingzhen, Zhazuo in Xiuwen, Wudang, Huaxi and Xifeng have been set up, whose improving infrastructure and scale will create favorable environment for the enterprises in the parks. At present, 53 enterprises have entered the parks.

  Major Industrial Development Measures

  1.  CPC Guiyang Committee and government as well as relevant departments attach great importance to the development of pharmaceutical industry and strengthen support in capital and coordination service. According to statistics, after GMP authentication was initiated by the state in medicine producers, 74 companies have undergone renovation upon the standard of GMP one by one. Considering the problems incurred from tight schedule, heavy work load and difficult financing, leaders and officials from CPC Guiyang Committee and government as well as relevant departments conducted inspection and investigation in those companies. We knew the problems in time and required relevant departments to help to coordinate and settle the problems.

  2.   Actively promote the integration of production, study and research of the pharmaceutical industry in Guiyang and help them to improve the management. Relevant departments of the municipal government held several seminars and professional training classes such as “Pharmaceutical Business Management Seminar”, “Financial Operation and Venture Control” “Lecture on Enterprise Culture Construction and Human-oriented Management” and “Medicinal Herbs planting Training” so as to enable enterprises to know each other, exchange information and broaden perspective, which have achieved great effects.  

  3. Strengthen propaganda to improve the popularity and reputation of pharmaceutical industry of Guiyang. Based on the Fourth China (Guiyang) Pharmaceutical Exhibition, we will endeavor to successfully host the Exhibition in 2009, during which relevant promotion fairs, trading fairs and academic seminars will be held. Government as the bridge, pharmaceutical industry as the focus, the exhibition will become a platform for exchanging information, making friends and upgrading the influence, popularity and reputation of pharmaceutical industry of Guiyang

  Focal Points of Industrial Development

  1. Strengthen the macro-management and broaden the financing channels to help enterprises to get listed in stock market. We will encourage and support pharmaceutical companies to seek financing in stock market, focusing on helping those enterprises who have the potential and need to make relevant preparation for getting listed according to regulations and procedures of the stock market.

  2Rely on technological innovation to foster famous enterprises and brands. We will depend on Guizhou original medicinal herbal resources such as Gastrodia elata, Eucommia ulmoides, ginkgo and pinellia tuber to develop modern ethnic medicines to win reputation and recognition across the country.

  3 Encourage enterprises to combine and cooperate and offer relevant service for fostering 2 to 3 large-scaled, competitive modern pharmaceutical corporations. We will support competitive enterprises to carry out capital and resource restructuring with other pharmaceutical enterprises in and outside of the province so as to complement advantages, form characteristics, set up brand, create new economic growth point and cultivate competitive enterprises.

  4 Speed up the construction of medicinal herb planting bases, aiming to cultivate 200 thousand mu herb planting bases so as to give full swing to the advantages of Chinese traditional medicinal resources. We will take the construction of local medicinal material planting bases as the focus and encourage enterprises to establish planting bases of Gastrodia elata, Eucommia ulmoides and pinellia tuber which conform to the GAP standard. We will popularize the standardized planting techniques to guarantee the quality of herbal medicine tablets.


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