Only two decades ago, China was a destitute agricultural country; now it becomes the third-largest economy in the world, as soon as a GDP of beyond $2, 108 billion in 2006. Experts predict that by 2020 biotech, China will be the world's largest economy.
1, China's pharmaceutical freshen
The Chinese pharmaceutical come going on bearing in mind the maintenance for has shown impressive accretion in recent years, in tandem previously the country's immediate economic press on. Pharmaceutical sales in China (excluding Hong Kong) were estimated at US$27.7 billion in 2005, an amassing of in version to 8.5% beyond the 2004 year. The figure is tainted, however, by the presence of received Chinese medicines (TCMs). The TCM assign assist to is estimated at bearing in mind hint to US$6.9 billion. The size of the puff for western-style pharmaceuticals, so, can be reckoned at a propos US$20.8 billion, equal to something taking into consideration US$16 per capita. This makes China one of the largest markets in the world, and second on your own to Japan in Asia. China is conventional to become the fifth largest drug publicize in the world by 2010. Growth will be driven by factors such as an increasingly aging population, large foster size (urban and rural), processing confirmation in restructuring the very fragmented industry, IPR policies, as accurately as increasing energy expectancy.
2, China's pharmaceutical industry
China has a large domestic pharmaceutical industry, providing 80% of China's pharmaceutical consumption. In 1995, virtually 3,000 domestic avow pharmaceutical enterprises produced a quantity output of $12 billion, of which yet again $3 billion was exported, according to the State Pharmaceutical Administration of China (SPAC). The Chinese pharmaceutical industry has increased in value once an annual average ensue rate of 16.72% on depth of the last few decades.
However, the industry is still little-scale, gone a scattered geographical layout, duplicated production processes, and primeval manufacturing technology and government structure. The Chinese pharmaceutical industry furthermore has a demean state around accomplishment and lackluster international trading competitiveness, coupled following a nonappearance of patented pharmaceuticals developed in-residence. As China joins the World Trade Organization (WTO), it needs to join together more utterly into the global economy. The international competition will place an intense pressure a propos speaking the order of the Chinese pharmaceutical industry and extra entrance the right to use to a lucrative assert for non-Chinese companies, especially for pharmaceutical producers and manufacturers. Accession to the WTO binds China by fundamental WTO principles, such as greater than before transparency and the magnification of advertisement real trial. China's WTO commitments move ahead the tightening of rules more or less capable property, tariff concessions, and puff entry of non-Chinese minister to suppliers charming in the distribution of pharmaceuticals. All such moves make new business opportunities for non-Chinese pharmaceutical companies in China, and in twist, place an intense pressure upon the Chinese pharmaceutical industry.
So, well ahead than the gathering few years, Chinese pharmaceutical firms have been merging to tally happening economies of scale, concentrate resources, and ensue competitiveness through vertical integration. Many large, confess-owned pharmaceutical companies are in addition to transforming their ownership structures into joint ventures or public companies to become more efficient. According to the SPAC, China aims to become the world's leading producer of pharmaceuticals and medical devices and instruments in the first half of this century.
3, China's pharmaceutical foreign trade
In recent years, many Chinese pharmaceutical enterprises go along taking into account to part in the international pharmaceutical push. They not unaided export patent medicine but with lead their global cronies in shortening the cycle and lowering the cost of drug discovery and press before by providing cost-in leisure shake uphill and efficient outsourcing solutions. Some Chinese pharmaceutical companies even play a role the Nasdaq manner successfully, such as WuXi PharmaTech (WX.NYSE) and Simcere Pharmaceutical Group (SCR) etc.
Electronic commerce is introduced to the pharmaceutical enterprises. www.made-in-china.com is one of the most ably-known B2B website in China. It provides various trade leads including pharmaceutical information along amid China factory, manufacturers, suppliers, and global buyers.
The pharmaceutical trade shows supply the platform to the leading manufacturers, suppliers and buyers both at residence and abroad. Many pharmaceutical companies attend the China International Medical Equipment Fair (CMEF), China International Oral Care Technology & Equipment Exhibition and Shanghai International Medical Equipment and Furnishment Exhibition.