WiCON Officially Publishes China Pharmaceutical Guide 2017 (12th Edition)
WiCON Announces Upcoming Publication of China
Pharmaceutical Guide 2017 (12th Edition)
Beijing, China, April
18, 2017 – The Chinese
pharmaceutical market rose slower in 2016 at only 8.3% to CNY 1,497.5 billion
at retail price level, compared with 11.0% in 2015, according to the China Pharmaceutical Guide 2017 (12th
Edition), which is to be published in August 2017, and WiCON | Pharma China (www.pharmachinaonline.com) quoting official SMEI data.
On the other hand, CPIIC
data suggests the Chinese pharmaceutical industry revenue and profit
growth rebounded slightly in 2016 to 10.3% and 15.6% respectively, despite shadows of
numerous challenges stemmed from the troubled Chinese economy, regulatory
shakeups, cost containment measures and healthcare reform turbulences.
Albeit the seemingly
better industry performance, which may simply mean higher inventory in the face
of slower market growth, the era of single-digit Chinese pharmaceutical market
growth is here to stay, the China
Pharmaceutical Guide 2017 summarizes.
QuintilesIMS reported the Chinese
hospital drug sales were up 8.1% in 2016. The slowing growth was attributed by the
company to be intensified government cost containment policies, implementation
of rationalization policies for clinical drug consumption, control of drug
sales share in total hospital revenues, and centralized hospital tender
purchase. It also disclosed the sales of OTC drugs and health foods of
Chinese retail pharmacy sector to have reached CNY 77.4 billion in 2016, up
only 2.8%, continuing a slowing growth trend due to slower price rise and
negative volume growth.
The China Pharmaceutical Guide 2017,
an indispensable reference for MNC pharma executives with China
responsibilities for more than a decade, provides various data sets on the
Chinese pharmaceutical market and drug consumption patterns from respected
sources including QuintilesIMS, SMEI, CPIIC, CPA, Sinohealth, Nicholas Hall and
other official sources. The publication, from the publisher of WiCON | Pharma China and covers all aspects of Chinese pharma/healthcare
sector, aims to help HQ and local executives at proactive MNCs feel the dynamic
and up-to-date pulse of Chinese healthcare in order to stay in the driver seat
of their business in the country.
In 2016 and early 2017, the CFDA’s move to elevate drug quality and
reform drug approval system, though contradicted by other government agency’s
preoccupation to slash drug costs, has advanced substantially in the past year.
The real questions are that, with the world’s largest population, what kind of
healthcare solution and product mix China can and should get for merely 5%-6%
of GDP? Is the country willing or able to pay more for better drugs and
healthcare being pushed?
Despite superficial slogans and touted ambitions of the Chinese
government, the healthcare reform has been hijacked by cost containment and
gone astray from the pledged path of improving efficiency and fixing structural
flaws. With tax and other revenues drying up and under increasing threat of BMI
system deficit amid a slowing Chinese economy, local governments are pressured
by both the central government and the public to do more for healthcare with
less financial resources.
Pushed to the corner, the Chinese pharmaceutical industry is now at
the brink of business bottomlines. Nonetheless, many drug company executives
are still bullish about China's long-term growth prospects. As the government
improves access to healthcare, the country’s pharmaceutical market is projected
by QuintilesIMS to reach approximately between $140 billion and $170 billion by
2021 on slower annual growth between 5% and 8%. But the short-term picture is
proving difficult, with reforms in the hospital sector affecting physician
prescriptions and price pressures growing for most drugs.
The Chinese economy and the reform of its healthcare system are once
again at crossroads. Pharma companies, local or foreign, must change to remain
competitive and fit with the market.
Other than growing challenges on the ground in China, there
are success stories from all categories of players, whether they are foreign or
local, large or small, newcomer or established, private or state-owned.
However, to be one of the success stories require a thorough understanding of
the sector, ability to face and tackle challenges, flexibility to deal with
changes, and skills to maneuver through complex situations.
Please click on the following link to download full text of this press release in PDF:
Press Release - China Pharmaceutical Guide 2017.pdf