Pharmaceutical industry in china

from Wikipedia, the free encyclopedia

The pharmaceutical industry in China is one of the leading industries in the People's Republic of China , which was the second largest national pharmaceutical market in the world in 2017 with a total value of 122.6 billion US dollars. The market is estimated to grow between $ 145 billion and $ 175 billion through 2022. The two most important aspects of the Chinese pharmaceutical market are, on the one hand, the enormous sales potential of the country's 1.3 billion inhabitants, especially the growing middle class , and, on the other hand, the low wage costs , which attract pharmaceutical companies to outsource parts of their production and services to Chinese companies .

scope

At $ 122.6 billion, China was the second largest national pharmaceutical market in the world in 2017, and also the largest emerging market for pharmaceuticals , which is forecast to grow to between 145 and 175 billion US dollars by 2022. In 2016, total health expenditures were already over 6% of GDP at 693 billion US dollars, and the increase shows an increasing need in the health care sector . The Chinese pharmaceutical market for chemical or low molecular weight drugs ( with the exception of herbal drugs or traditional Chinese drugs ) is largely a generic market with an increasing share of innovative, patented drugs. In 2016, the majority of drugs in the Chinese market were generic at $ 68 billion (64% of total sales), while patented goods accounted for $ 23 billion (22% of total sales).

There are around 20,000 registered drug companies in China . Foreign pharmaceutical companies lead the market in some segments, although the domestic health authorities are trying to substitute imported drugs with locally manufactured products, and investments are already being made to a large extent in domestic production facilities. Due to price advantages and increasing quality , it is assumed that Chinese pharmaceuticals will gain market share in the next decade.

Reforms

China's health reform program began in 2009 and includes expanding insurance coverage for rural populations and building thousands of health centers. Today, over 95 percent of citizens are in various government health insurance programs. Various institutions were involved in the course of the 2009 reform of the Essential Medicines List (EML) of the PRC and its subsequent developments: The provision of health services, including medicines, is part of the responsibility of the Ministry of Health (MoH). In addition, the MoH is responsible for the specific selection of the drugs required for EML. To this end, an expert committee was formed with members from medicine , pharmacy, health insurance , health management and pricing. Within the body there are the mutually exclusive groups 'Advisory Group' and 'Review Group'. The former evaluate drugs and formulate opinions that are used to form the final list. The second group vote on the inclusion of drugs in the list based on the candidate list.

The State Commission for Development and Reform is responsible for the rules and regulation of prices, including the drug list for national reimbursements. Government-funded health insurance that reimburses the EML sub-list is administered by the Ministry of Human Resources and Social Security. Health-related product safety is subject to the state food and drug authorities. Commercial health insurance is run by the China Insurance Regulatory Commission .

In 2017, the Chinese government introduced a series of measures to reduce expensive medical treatment and the burden on patients and the public health system. These include a. Drug control, drug monitoring, two-vote system , drug price negotiations and payment after illness treatments.

China has long been criticized by the international community for lack of intellectual property rights and their protection . In 2017, significant improvements were implemented that affect the pharmaceutical industry. A total of three anchor points were established between pharmaceutical and patent protection, patent protection and data protection. In doing so, China aims to establish a scientific and systematic protection mechanism in order to simultaneously drive innovation and effectively protect the legitimate rights and interests of patent holders.

Individual evidence

  1. ↑ Huileng Tan: China's pharmaceutical industry is poised for major growth . In: CNBC , April 19, 2018. Retrieved July 4, 2018. 
  2. ^ Avoxa Mediengruppe Deutscher Apotheker GmbH: Pharmazeutische Zeitung online: Pharmaceutical market: China is taking off . Retrieved July 4, 2018.
  3. ^ Raabe, AC, & Leewe, J. (2010). China fastest growing biotech market worldwide. Biotechnology Journal , 5 (5), 447.
  4. ↑ Jin Zhang MD Ph.D: Four Key Areas Shaping the Chinese Pharma Industry ( en ) Retrieved July 4, 2018.
  5. ↑ National Bureau of Statistics of China: China Statistical Yearbook 2017 . China Statistics Press, Beijing 2017, ISBN 978-7-5037-8253-4 , p. 722.
  6. ^ Webber, DE (2005). China's approach to innovative pharmaceutical R&D: a review. In The Chemical and Pharmaceutical Industry in China, p. 121. Springer, Berlin, Heidelberg.
  7. ↑ USA Department of Commerce (2017), 2016 ITA Pharmaceuticals Top Markets Report, https://www.trade.gov/topmarkets/pdf/Pharmaceuticals_China.pdf
  8. ^ German Trade and Invest: German medicines and pharmaceutical products are booming in Asia . February 6, 2017. Retrieved July 4, 2018.
  9. ↑ USA Department of Commerce (2017), 2016 ITA Pharmaceuticals Top Markets Report, https://www.trade.gov/topmarkets/pdf/Pharmaceuticals_China.pdf
  10. ↑ Milcent C. (2018) The Medical Drug Market and its Reforms. In: Healthcare Reform in China. Palgrave Pivot, Cham.
  11. ↑ Jin Zhang MD Ph.D: Four Key Areas Shaping the Chinese Pharma Industry ( en ) Retrieved July 4, 2018.
  12. ↑ Jin Zhang MD Ph.D: Four Key Areas Shaping the Chinese Pharma Industry ( en ) Retrieved July 4, 2018.

literature

  • National Bureau of Statistics of China (2017). China Statistical Yearbook 2017. Beijing: China Statistics Press. P. 722 ISBN 978-7-5037-8253-4
  • Webber, DE (2005). China's approach to innovative pharmaceutical R&D: a review. In The Chemical and Pharmaceutical Industry in China (pp. 121-132). Springer, Berlin, Heidelberg.
  • Milcent C. (2018) The Medical Drug Market and its Reforms. In: Healthcare Reform in China. Palgrave Pivot, Cham.

further reading

  • Gassmann, Oliver, Gerrit Reepmeyer, and Maximilian von Zedtwitz. 2008. Leading Pharmaceutical Innovation: Trends and Drivers for Growth in the Pharmaceutical Industry . Heidelberg Berlin: Springer.
  • Chan, L., & Daim, T. (2018). A research and development decision model for pharmaceutical industry: case of China. R&D Management , 48 (2), pp. 223-242.