Analysis of the Import and Export Situation of Chinese Medicines and Health Products in the Third Quarter of 2010

Business Club November 22 News In the third quarter of 2010, the import and export trade of Chinese medicine and health products continued to maintain a good development. The import and export volume was US$156.86 billion, up 23.09% year-on-year, and the export value was US$ 10.213 billion, which was a year-on-year increase of 21.83%. The import value was 54.72. Billion U.S. dollars, a year-on-year increase of 25.51%. The growth rate of imports and exports shifted from the relatively rapid growth in the second quarter to the current modest growth. The main factor was that the import and export of medical insurance in the same period last year had recovered from the impact of the financial crisis, pushing up the year-on-year rate. Base; On the other hand, as the European and American markets are the major markets for exports of pharmaceutical products, the economic recovery in the region has been postponed, and the devaluation of currency competitiveness will directly affect the overall exports of medical and health products. My pharmaceutical export to the European Union and North America was at a historical high for five consecutive months, and hit a record high in September. Destocking pressures appeared, while the export base for emerging markets was still limited, and its high growth in the short term was still unable to export China's overall medicine. There was a clear pull, and market uncertainties were highlighted. It is expected that the slowdown in the growth of pharmaceutical exports in the fourth quarter will continue.

one. The international market is divided, the emerging pharmaceutical market continues to grow rapidly, and the EU market demand slows

According to GTI statistics, since the beginning of the second half of the year, the global pharmaceutical market has been markedly divisive. The EU market has been affected by the debt crisis of certain countries, and the pharmaceutical market as a whole has shown stagflation. According to the July data analysis, the EU imports pharmaceuticals from the 9.07% in the first half of the year quickly declined to 2.91% in the month of July. Among them, Germany, France, the Netherlands, Italy, Switzerland and other major markets experienced negative growth during the month. At present, the European debt crisis has caused EU countries to tighten their fiscal policies, greatly limiting With the growth of EU consumption and investment, there is limited room for further expansion of the short-term medicine market.

At the same time, the U.S. market showed strong growth potential. As of August, the U.S. market drug imports increased by 19.83% year-on-year, of which the single-month increase in August was 39.26%. At present, the United States is still the world's largest pharmaceutical consumer market. According to IMS forecasts, the compound annual growth rate will reach 3% to 6% over the next five years. As the focus of global pharmaceutical industry production shifts to developing countries, the US market will expand to pharmaceutical products. Imports have a strong driving effect.

The emerging pharmaceutical market continued to maintain rapid growth. Russia and Brazil experienced the most significant growth, with growth rates of 48.05% and 45.90%, respectively, and markets such as Australia, South Korea and South Africa increased by 20.75%, 27.64% and 28.85%, respectively.

January-July 2010 Global Pharmaceutical Market Changes

two. The pharmaceutical industry operates well and the domestic market grows steadily

According to the data from the China Economic Net, in the third quarter, the output of chemical raw materials in China was 526,500 tons, a year-on-year increase of 14.38%, and the output of proprietary Chinese medicines was 508,800 tons, an increase of 19.07% over the same period of last year. At the same time, under the combined influence of cost factors and demand factors, The ex-factory price index of domestic pharmaceutical manufacturing industry products in the third quarter was 103.4, an increase of 3.4% from the same period of last year. From the perspective of the growth rate of the overall pharmaceutical production, the domestic market continued to maintain a number of favorable conditions, including higher income levels of residents and medical system reforms. The steady and rapid growth, the slow growth of international market demand, and the relative advantages of China's pharmaceutical production costs and the improvement of pharmaceutical quality will increase the import of pharmaceutical products in China. The domestic and international market demand for pharmaceutical production is constantly expanding. However, as can be seen from the data, due to the continuous expansion of the production capacity of some bulk bulk pharmaceutical products, the issue of overcapacity has a certain impact on profitability. As a result, the industry's investment rate has slowed down, and industry investment has declined.

three. Western medicine exports have steadily increased, but the price growth is weak

In the third quarter, the export value of western medicines was 5.964 billion U.S. dollars, a year-on-year increase of 28.88%. Among them, raw material drugs continued to be the main force driving the growth of western drug exports, with an export value of 5.018 billion U.S. dollars, an increase of 19.57% over the same period of last year, accounting for the proportion of western drug exports. 85.53% of the sustainable growth depends on the expansion of demand in major markets around the world. The EU, India, and the United States have achieved year-on-year growth rates of 21.89%, 29.12%, and 17.23%, of which India continues to be the largest exporter of raw materials in China.

Western medicines exports continued to maintain a relatively high growth rate. The export value in the third quarter was 387 million US dollars, an increase of 28.99% year-on-year. Asia and Africa were the major export markets, with the proportions of 48.57% and 17.77% respectively, and the growth rate reached 20.48% and 17.77%. The EU and North American markets showed rapid growth, with growth rates of 47.60% and 28.09%, respectively. From the perspective of the composition of export companies, the export market pattern of state-owned and private enterprises has changed slightly, and their share of exports to Asia and Africa has declined. This has brought about an increase in the share of European and U.S. market exports, and exports in the third quarter have increased year-on-year. The growth rate reached 147.28% and 83.12%, respectively. The fastest-growing varieties were anti-infective drugs and vitamin drugs.

Based on the analysis of the market pattern and growth level of APIs and Western medicines in the third quarter, the current growth in western medicines exports is mainly driven by the increase in export volume caused by the demand in the international market. The advantages of cost and resources are outstanding, and the focus of the global pharmaceutical industry is The shift to Asia is reflected in the fact that in addition to the export growth of foreign-funded enterprises, it has also partly shifted to domestic-funded enterprises. On the other hand, the overall price is always at a relatively low level, and the structural problems that affect the development of the industry are becoming increasingly prominent. The homogeneity of enterprises is highly competitive and is greatly affected by changes in the international market. Independent innovation and high value-added products are still scarce and sustainable development. The problem of insufficient stamina still exists.

four. Product upgrades and cost increases continue to drive the growth of medical device products exports

In the third quarter, medical device products continued to maintain rapid growth, with an export value of US$3.785 billion, a year-on-year increase of 21.78%. Among them, medical dressings, disposable consumables, health care and rehabilitation supplies and other commodities were affected by rising raw material prices. There were different degrees of improvement. Among them, the price of cotton wool, gauze and bandage rose by 16.70%, the price of unbleached cotton medical gauze rose by 16.40%, and the price of cotton surgical towel and other towels rose by 4.81%.

According to the understanding of the 108th session of the Canton Fair, affected by the economic recovery, health care and rehabilitation supplies were sought after, and the sales of health care and rehabilitation products represented by massage equipment were relatively strong. From the perspective of exhibitors, the number of visiting buyers was increasing geometrically. The number of buyers has increased significantly, and there has been a greater interest in medium-sized massage products, with special attention paid to the functional and intelligent design of new products. From the point of view of the product category of transactions, after years of imitation, Chinese local companies have paid attention to independent research and development, and have launched new products independently researched and developed at this session of the Canton Fair, and applied for patent protection at the first time. This phenomenon shows that our massage equipment The industry gradually matured.

The hospital's diagnostic and therapeutic equipment entered a benign growth track this year. In the third quarter, it exported 1.121 billion U.S. dollars, a year-on-year increase of 25.69%. Among them, foreign-funded enterprises still dominated, accounting for 73.12% of the export share, an increase of 24.24%. The share of state-owned and private enterprises is still relatively low, but it has developed rapidly. Among them, the increase in exports of state-owned enterprises in the third quarter has reached 36.15%. The market expansion is mainly directed against the European and American markets, with growth rates of 74.45% and 66.97%, respectively. The main advantages of its exports, some products have also begun to move toward the high-end market, combined with GTI data analysis, China's small and medium-sized diagnostic and therapeutic equipment in Europe and the United States market share of less than 5%, the market has great potential for development.

Fives. Rapid increase in pharmaceutical imports, market potential is still huge

In the third quarter, China’s imports still continued the trend of continued growth this year, with a year-on-year increase of 25.51%. The major sources of imports were developed countries such as the United States, Germany, Japan, Switzerland, and France. Among them, medical equipment, western medicine, and raw material medicine The imported varieties accounted for 29.89%, 26.83% and 25.41% of the total respectively, representing a year-on-year increase of 34.27%, 25.82% and 10.41% respectively. From the statistics of the global pharmaceutical market, China’s import market share accounts for a very small proportion of its global share, but its growth rate has been close to or exceeding 20% ​​for three consecutive years, and it has become one of the fastest growing countries, and continues to expand from the Chinese pharmaceutical market. Looking at the long-term trend, pharmaceutical imports will still be expected to maintain a relatively high growth momentum in the medium to long term.