CCM>Free Info >News Update>1st volume No.1>
Last Update: Sept 30th, 2000
Pharmaceuticals & Intermediates
Sample of Market Analysis
I. Industrial Policy
 
Stipulation on Biological Product Comes Out (Last update: Sept 2000)
China Biological Product Stipulation (year 2000 edition) was published and will come into force since 1st Oct 2000. It is reported that there are 39 products that have been included in this stipulation. (Source: TCM Business News)
 
China Decides to Reinforce the Ephedrine Management (Last update: July 2000)
SDA issued paper to reinforce the management on the ephedrine preparation. It states that the local government should control the purchasing and the distribution of ephedrine preparation. No ephedrine preparation enterprise has the right to sell the preparation directly to the medicine unit (end-uer). All the ephedrine preparation must be distributed through government-appointed stupefacient distributors. (Source: Medicine Economic News)
 
SDA Issued the Regulation on Sales Chain Enterprises (Last update: July 2000)
On base of the Drug Administration Law of P.R.China, SDA issued the regulation on the supervision and the management on the drug sales network. SDA will consider the sales chain enterprises from aspects of their key activities, the constitution, the function of specific department. SDA also supervises how sales chains enterprises purchase and distribute the drug, including the activities covering over the province. (Source: Medicine Bulletin)
 
SDA Restate the Regulation on the formation of Pharmaceutical Enterprise (Last update: July 2000)
Due to the fact that a lot of pharmaceutical factories/wholesalers formed without legal procedure, SDA restated the governmental requirement on the foundation of a new pharmaceutical enterprise and the foundation of the drug wholesalers. According to this paper, setting up a new factory has to be approved by SDA. In applying to set up a new factory, the applicant must hold type II new drug that has not been produced in China (for TCM, applicant must has two type III new drugs). The new drug must complies with the Regulation on the Preservation of New Drug and the Technology Convey Protocol. For the production of new drug in the existent factory, the applicant can not apply for a drug that has been produced in at least three factories. At the same time, SDA will not issue the certificate to new drug wholesalers at the moment. (Source: Medicine Bulletin News)
 
China will Reform the Medicine Distribution System (Last update: July 2000)
China will reform the medicine distribution system. The present system of state owned, collective operation and the four-grade distributing chains will be will be replaced by multiple ownerships, intensive distributing and chain distributing system.
It is reported that China will largely decrease the number of medicine distributing enterprises, eliminating vicious competition and lowing operation cost during the distribution. The strict from various departments, areas and industries will be broken. In the coming 5 years, China is determined to encourage: 1) 5-10 mega medicine distribution enterprises, each with annual sale value of RMB5 billions; 2) 40 local medicine distribution groups, each with annual sales value of RMB2 billions; 3) 10 famous medicine distribution chains in China. ( Source: Medicine Economic News)
 
20 Pharmaceutical Projects That are Prohibited for Repeated Construction (Last update: Jan 2000)

The State Economic and Trade Commission published the first Catalogue of Prohibited Repeated Construction in China. There are 20 items related to the pharmaceutical industry, including1) Vitamin C 2) Penicillium 3) Chloramphenicol 4) Sulfapyrimidine 5) SMZ 6) Benemicin 7) Norfloxacin 8) Ibuprofen 9) Furazolin 10) Paracetamol (by p-nitrobenzol or phenol method) 11) Kanamycin 12) One-off Syringe 13) One-off Transfusion apparatus 14) One-off Infusion apparatus 15) Soft pipe of lead and stannum for pharmaceutical application 16) Natural rubber tuck for pharmaceutical application 17) Manual capsule 18) Straight ampule 19) Enlargement of tablet production 20) Enlargement of solid capsule production.(Source: Medicine Economic News)

 
China Publish the Development Priority of Pharmaceutical Industry (update: November 1999)
In order to modify the industrial structure of pharmaceutical industry, to maintain the fast and healthy development of the economy, as well as to guid the investment and technical improvement, the State Development & Planning Commission published the Government-encouraged Industries, Products and Technologies.
The government encourages the industries, products, and technologies that: a) are complying with the future development trend and having prosperous prospect in the future; b) are high tech ones, easy for the quipment upgrade and infrastructure optimization; c) have potential possibility to begin commercial production from the research and to form an access to new economics; d) can be developed from a long term, with energy economizing and less pollution; e) can support the relative less developed industries or products.
There are total 29 areaslisted in the catalogue, totally 440 of products, technologies or foundamental construction items. 26 items of them are related to the pharmaceuticals include: 1) Pharmaceuticals listed in the Basic Pharmaceutical Catalogue of China; 2) Important & strong products in exporting; 3) Bioengineering pharmaceuticals; 4) Radiation pharmaceuticals; 5) New anti-tumor pharmaceuticals (including anti-hepatitis pharmaceuticals) and new angiomycardiac pharmaceuticals; 6) Diagnosis reagent for aids and radiation immunity; 7) New pharmaceuticals for local disease; 8) New antifebrile and analgesic pharmaceuticals; 9) New Preparations and auxidiaries as well as the preparation made in accordance with GMP standard; 10) Tightly supplied intermediates and new antibiotics; 11) New Biochemical pharmaceutical series; 12) New packing materials for pharmaceuticals; 13) New facilities for medicines production and clinics application; 14) New sanitation materials; 15) Birth Control pharmaceuticals and materials; 16) Screening technology and screening model for new pharmaceuticals 17) New strains for amino acid; 18) Feed grade biotin; 19) Virginiamycin and eureomycin; 20) Extraction and purification of penicillium salt; 21) Fermentation and auto temperature control system; 22) Synthesis and purification of pharmaceutical polypeptide in mass production; 23) Synthesis and purification of nucleic acid in mass production; 24) Gene strains with high yield; 25) Natural pharmaceuticals; 26) R & D of new Chinese medicine
 
II. News
 
Production Technology of D-hydroxyphenylglycine Broke Through in China (Last update: Sept 2000)
For a long history of time, China has been imported the D-p-hydroxyphenylglycine, an intermeditates for amoxicillin, cefoperazone, from overseas. Since 1998, Shijiazhuang Zhongtian Chemical Co. Ltd. and Hebei Science & Technology University jointly did the research work on the synthesis of D-p-hydroxyphenylglycine. They use synthesis & enzyme technology to produce this intermediate. It is reported that the yield can reach to 100%. Now Hebei Zhongtian Chemical Co. Ltd. has set up a production line of 1,000Mt/year to produce this intermediate. (China Chemicals Industry News)
 
The Largest Deal of Biochip in China (Last update: Sept 2000)
Shanghai Bode Gene Development Co. Ltd. jointed with Guangdong Zhaoqing Star Lake Biological Science & Technology Co. Ltd. in end of August, to form the large biochip company in China. Shanghai Bode Gene Co. use their biochip technology to evaluate their shares. It is reported that Shanghai Bode Gene Co. has applied over 2000 patents of gene pharmaceuticals. (Source: China High-Tech Industry Hareld)
 
The Largest Dihydrophenylglycine Salt Production Line in China (Last update: August 2000)
The largest Dihydrophenylglycine salts production line (400Mt/year) was finished in Shandong Shuhua Group. Shuhua Group invested about RMB36 in this production line. All the technology comes from China. Dihydrophenylglycine salt is an intermediate for pharmaceuticals. China relied on the import of this product in past. (Source: China Chemical Information)
 
The largest Biological Engineering Production Base in Shenzhen (Last update: August 2000)
The construction of the largest biological engineering industrial production base began in Shenzhen. It is invested by Shenzhen Kexing Biological Product Co. Ltd. The total investment in this base is RMB700 millions. The main products include interferon (with capacity of 100 million vials), gene engineering insulin. This project is listed as State High-Tech Illustration Project and One of the Top Ten High-Tech Project in Shenzhen. (Source: China High-Tech Industry Hareld)
 
Shanghai Plant Gene Research Center Set up (Last update: August 2000)
Shanghai Plant Gene Research Center(SPGRC) was set up in July 2000. It was jointly set up by CAS Shanghai Plant Physiology & Zoology Research Institute, Fudan University, Shanghai Jiaotong University, CAS State Gene Research Center and Shanghai Agriculture Science Research Institute. The research areas of SPGRC include: new species screening for GMO crop; Crop gene technology; separation and clone of functional gene, safety evaluation of GMO product. (Source:China High-Tech Industry Hareld)
 
EPO Will be Produced in Shenzhen (Last update: August 2000)
Shenzhen Petrochemical Corp Spike Biopharmaceutical Co. Ltd. will begin to produce EPO this year. The total investment of this project is RMB200 millions. The capacity of EPO is 1.5 million vials per year. It is reported that the EPO will mainly supply the domestic market. The technology of EPO production comes from PLA military Medicine Research Institute. (Source: China Chemicals Industry News)
 
Lukang Makes Benzoic Acid from the Debris of 6APA (Last update: July 2000)
The researchers from Lukang Medicine Group Co. Ltd. is trying to make benzoic acid from the waste liquid during the production of 6APA. It is expected that they can recycle the waste by this technology and hence reduce the pollution. (Source: Medicine Bulletin)
 
Chongqing Biopharmaceutical Garden Formed (Last update: July 2000)
Chongqing Biopharm Garden opened in July 2000. At present there are 7 manufacturers enter this garden. These manufacturers are specializing in the biopharm technology. They include Lab, Sino, Chongqing Haifu, Chongqing Sangtian, etc. (Source: Medicine Economic News)
 
Protein Peptide Research & Production Base to be Built in Wuhan (Last update: July 2000)
Sanjiu Group will invest RMB15 millions in the next two or three years to build a research and production base in Wuhan Donghua High-Tech Zone. This research work is carried out by researchers from CAS and peptide experts from Shanghai. (Source: Medicine Economic News)
 
SDA Forbids the Illegal Approval of Drug (Last update: July 2000)
SDA published a paper in July forbidding the illegal issue of new drug certificate. 1) All the local/provincial organizations must stop the approval for drugs. 2) Those new drugs approved by the local organizations since 1st Nov 1985 must be registered in SDA by end of 2000. The production must be stopped hereafter. 3) Those copied drugs approved by the local functions since 25th May 1996 must be registered in SDA. The production must be stopped hereafter. (Source: Medicine Bulletin)
 
Provisional Regulation on Sildenalfil Citrate (Last update: July 2000)
SDA published the provisional regulation on sildenalfil citrate in July, the bulk pharmaceuticals for Vigiria. The regulation is summarized as follows: 1)All the manufacturer of sildenalfil citrate, both bulk chemicals and its preparation (Vigiria), must submit report to SDA by end of 2000 the production situation. 2) The preparation manufacturers must sell the product to those enterprises holding the Certification of Special Drug. The dealer must submit the record to SDA. 3)Sildenafil citrate preparation must be used under the instruction of doctor. 4) No advertisement on sildenafil citrate is allowed. (Source: TCM Business News)
 
United Gene Begin to Produce Gene Chip (Last update: July 2000)
United Gene Science & Technology Group was set up in Shanghai. It is expected that they will produce 2 million chips of gene by end of 2000. In 2001 this company will produce 10 million chips of gene. To date, United Gene Company has applied over 2,100 gene patents. The United Gene was found on base of Life Collage of Fudan University. (Source: China High-Tech Hareld)
 
Sanjiu Biochem Set up Gene Engineering Base in Shanghai (Last update: July 2000)
Sanjiu Xuangong Biochemical will invest RMB150 millions in Shanghai Zhangjiang to build a gene engineering production base, in order to speed up the application of gene medicines like TNF. (Source: China High-Tech Industry Hareld)
 
Pharmaceutical Price Greatly Lowered (Last update: July 2000)
The State Planning Committee published notice that some medicine price will be Greatly lowered. The average decrement space is 30%. These medicines include cefradine, ceftriaxone sodium, interferon, etc. There are 9 medicines (about 57 specifications) are covered in the decrement. It is expected that China will spare about RMB800 millions on the reimbursement of medicine each year. (Source: Medicine Economic News)
 
The First Agricultural Hormone Center Found (Last update: July 2000)
Jiangsu Agricultural Hormone Engineering Technology Research Center was set up in Changzhou. The center will carry out the research, development and promotion of agricultural hormone. The center will focus on the research on inset growth regulator, inset behavior controlling substance, plant grow regulator and plant growth controlling substance. (Source: China High-Tech Industry Hareld)
 
DNA Cell Project Started up (Last update: July 2000)
Shanghai government assigned 20 research units to carry out 7 subprojects of cell project. These units include State Gene Group Southern Research Center, Shanghai Haematology Research Institute and CAS Shanghai Metallurgy Research Institute and Shanghai Fudan Zhangjiang Biological Medicine Co. Ltd. (Source: China High-Tech Industry Hareld)
 
Cell Engineering Center Found (Last update: July 2000)
Xi'an Cell Engineering Development Center was set up in July 2000. This center is a joint research unit by No.4 Military Medicine University and Shaanxi High-Tech Enterprise Investment Co. Ltd. It is a professional cell engineering pilot production base in China, also a national biological technology research base. The aim of this center is to combine biological technology withventure investment and to speed up the research on bio technology. (Source: China High-Tech Industry Herald)
 
D-p-hydroxybenzoglycid Potassium Production Began (Last update: July 2000)
The p-hydroxybenzoglycic potassium project in Zhejiang Jiayuan Pharmaceutical Co. Ltd. was approved by local province. P-hydroxybenzolycic potassium is an intermediate for the production of amoxicillin and cefalexin. In the past China had to import this material. Now Zhejiang Jiayuan design their own production technology to produce this material. The production capacity is 1,300Mt/year. (Source: China Medicine News)
 
D-p-hydroxybenzoglycin Research Succeeded (Last update: July 2000)
The research on D-p-hydroxybenzoglycin in China got success. It is jointly carried out by State Biochemical Engineering Research Center and Nanjing Tiancheng Biochemical Engineering Co. Ltd.. D-p-benzoglycin is an intermediate for cefadroxil. (Source: China Chemical Industry News)
 
Tianjin Pharmaceutical Science & Technology Institute is to Set up (Last update: July 2000)
Tianjin Pharmaceutical Research Institute, a famous research unit on pharmaceutical in the world, signed agreement in June 2000 with Tianjin University, the famous University in the world, to set up Tianjin Pharmaceutical Science & Technology Collage. (Source: China Medicine News)
 
Antibiotics Price Went up in first half 2000 (Last update: July 2000)
The price of Antibiotics preparation breaks through the slag condition and began to go up. The Chinese manufacturers raise the price in Jan, March and June. The price of pennicillium injection has increased by 10%. There are a few reasons for this phenomena: 1) Chinese government renovated the medicine market this year; 2) The Price of raw material like starch, glucose went up this year. 3) Domestic manufacturers united in order to share the market together. (Source: China Chemical Industry News)
 
State Basic Reimbursement Catalogue of Medicine Published (Last update: July 2000)
Catalogue of Basic Medicine for Reimbursement was published by Ministry of State Labor and Society Security in June 2000. The catalogues include 913 western medicines, 575 patented Chinese medicines and 130 Chinese medicines. (Source: Medicine Economic News)
 
China is Ready to Product Loratidine (Last update: June 2000)
The protection on loratidine will be expired by Sept 2001. Many Chinese pharmaceutical manufacturers or researchers is doing research on the synthetic technology of this pharmaceuticals. It is reported that Jiangxi Pharmaceutical Research Institute is doing research on this product. (Source: Medicine Economic News)
 
China Highlights the Guidance for Medicine Industry (Last update: May 2000)
Officer from State Economic & Trading Committee stated that China will encourage the investment in medicine industry, especially in high technology, new product and important science-technology projects during the Tenth-Five-Year. China will first consider the conversion research to the commercial production. The target for medicine industry is: 1) The turnover of medicine industry increases at 11-12% per year; 2) Medicine commerce increases at 9-10% per year;3) Medicine export value increases at 9-10% per year; 4) Industry sales profit increase at 7% per year, etc. (Source: Beijing Science & Technology News)