Event: the general office of the State Council issued the “14th five year plan” for the development of traditional Chinese medicine, which aims to significantly enhance the health service capacity of traditional Chinese medicine, further improve the high-quality development policies and systems of traditional Chinese medicine, achieve positive results in the revitalization and development of traditional Chinese Medicine, and give full play to its unique advantages in the construction of a healthy China by 2025.
From “quantitative change” to “qualitative change”, the “14th five year plan” focuses on the high-quality development of industries. Different from the “13th five year plan” which focuses on improving the popularity of traditional Chinese medicine services, the “14th five year plan” focuses on the high-quality development of traditional Chinese medicine and puts forward higher requirements for service penetration, industry standards, service quality and supporting management system. The “14th five year plan” takes into account the accessibility of medical services, talent education, scientific research of traditional Chinese medicine Industrial development, cultural communication, international cooperation and other key areas of the development of traditional Chinese medicine, put forward a total of 10 key tasks, and set up 15 specific development indicators and 11 work columns. On the basis of the 13th five year plan, continue to increase the number of traditional Chinese medicine hospitals by 15%, the number of beds in public traditional Chinese medicine hospitals by 25% and the number of practicing (Assistant) doctors of traditional Chinese medicine by 29% per 1000; In addition, 12 new indicators are added to make clear requirements for the number of TCM medical institutions, the number of professionals, the proportion of TCM rehabilitation department, geriatrics department and fever clinic. Compared with the 13th five year plan, which focuses on the relatively macro indicators such as the number of total TCM doctors, the number of doctors and the scale of enterprises, the 14th five year plan further refines the development of TCM medical institutions, departments and personnel at all levels, with more specific and detailed objectives, and also defines the future development path and specific measures of the industry. The TCM industry has officially moved from “quantitative change” to “qualitative change”.
Traditional Chinese medicine service: focus on building a high-quality and efficient traditional Chinese medicine service system to improve the health service capacity of traditional Chinese medicine. By strengthening the leading traditional Chinese medicine hospital and other four measures, promote the expansion and balanced layout of high-quality traditional Chinese medicine medical resources, and increase the software and hardware construction and accessibility of traditional Chinese medicine services. By establishing about 35 national TCM epidemic prevention bases and setting up TCM geriatrics and rehabilitation departments, we can give full play to the unique advantages of TCM in disease prevention, infectious disease emergency, rehabilitation and elderly health. At the same time, we also encourage social medical institutions to set up TCM departments to improve the health service capacity of TCM.
Traditional Chinese medicine and traditional Chinese medicine: strengthen the standardized cultivation of traditional Chinese medicine and promote the standardization and intelligent development of traditional Chinese medicine industry. Increasing the supply of high-quality traditional Chinese medicine is a necessary process for the high-quality development of the traditional Chinese medicine industry chain. In the future, it is expected to strengthen the protection and utilization of traditional Chinese medicine resources by supporting the artificial breeding of rare and endangered traditional Chinese medicine, the high-quality breeding of traditional Chinese medicine, the promotion of traditional Chinese medicine breeding base and ecological planting; By improving the standard system of planting, breeding, storage, logistics and primary processing of traditional Chinese medicine, encourage the industrialization, commercialization and moderate large-scale development of traditional Chinese medicine, improve the standardization and intelligence level of traditional Chinese medicine industry, and effectively promote the modern and high-quality development of traditional Chinese medicine.
Innovation of traditional Chinese medicine: support the inheritance and innovation of traditional Chinese medicine and strengthen talent training. On the basis of basic research, deepen the research on major scientific issues such as the original theory of traditional Chinese medicine and the action mechanism of traditional Chinese medicine, and increase the support for scientific and technological innovation of traditional Chinese medicine. In the examination and approval of drug registration, establish a “three combination” evidence system of traditional Chinese medicine registration and evaluation of traditional Chinese medicine theory, human experience and clinical trials, and actively explore the establishment of a real-world research evidence system of traditional Chinese medicine; At the same time, give play to the management role of filing system, examination and approval system and registration system in different types of traditional Chinese medicine. In terms of industry talents, strengthen the high-level talent team such as leading talents, optimize the professional title promotion mechanism, build about 100 first-class undergraduate majors in traditional Chinese medicine, increase the training of senior talents in traditional Chinese medicine, and lay a talent foundation for the further strengthening of traditional Chinese medicine services.
Medical insurance sector: deepen the reform and approval of traditional Chinese medicine and medical insurance policies, and improve the field of traditional Chinese medicine. Gradually establish reasonable assessment standards and management system of traditional Chinese medicine for hospitals, and increase the number of diagnosis and treatment and service quality of traditional Chinese medicine in hospitals, which is conducive to expanding the audience of traditional Chinese medicine. Guide the formation of a quality-oriented market price mechanism of traditional Chinese medicine decoction pieces, which is conducive to increasing the supply of high-quality decoction pieces through market means. Continue to explore the medical insurance payment system in line with traditional Chinese medicine, including but not limited to the mechanisms of paying according to the dominant diseases of traditional Chinese medicine, paying according to projects and paying according to bed days. Encourage the implementation of the same disease, the same effect and the same price of traditional Chinese and Western medicine, which is conducive to the promotion of high-quality traditional Chinese medicine diagnosis and treatment services.
The traditional Chinese medicine industry has officially entered a high-quality development stage, opening up medium – and long-term imagination. We are optimistic about the historical market of traditional Chinese medicine. Under the background of the implementation of the national “14th five year plan”, various national and local documents have been implemented successively, and the standards and systems related to the whole industrial chain of traditional Chinese medicine are gradually improved and introduced. It is expected to realize the transformation of standardization and modernization of traditional Chinese medicine, which may be a good opportunity to invest in the track of traditional Chinese medicine.
Investment suggestion: the national “14th five year plan” for traditional Chinese medicine has been implemented, traditional Chinese medicine has officially entered a high-quality development stage, and the industry has opened up medium and long-term imagination space. We believe that OTC, traditional Chinese medicine diagnosis and treatment, formula granules and innovative traditional Chinese medicine are expected to take the lead in benefiting.
1) OTC of traditional Chinese medicine itself has no risk of centralized purchase, and the market outside the hospital has independent pricing power, which helps the products maintain a high profit margin. With the expansion of the consumer population and the opening of the consumer mind, it is expected to maintain a steady growth trend for a long time. We focus on two directions. First, we have exclusive and confidential varieties and high intellectual property barriers. We suggest to pay attention to Beijing Tongrentang Co.Ltd(600085) , Zhangzhou Pientzehuang Pharmaceutical Co.Ltd(600436) , Jianmin Pharmaceutical Group Co.Ltd(600976) , etc., which have both brand value and exclusive product advantages; Second, the target with omni-channel coverage and brand strength has significant brand effect and rapid product volume. It is recommended to pay attention to China Resources Sanjiu Medical & Pharmaceutical Co.Ltd(000999) , Chongqing Taiji Industry (Group) Co.Ltd(600129) , Henan Lingrui Pharmaceutical Co.Ltd(600285) , etc.
2) the direction of TCM diagnosis and treatment service is supported by policies and is in a period of rapid growth. The market scale is growing rapidly. It is suggested to pay attention to gushengtang, the leading private TCM chain.
3) under the trend of tracing the source of traditional Chinese medicine, enterprises providing high-quality traditional Chinese medicine Pieces / formula particles at the head are expected to benefit. It is suggested to pay attention to Chinese traditional Chinese medicine, Tianjin Chase Sun Pharmaceutical Co.Ltd(300026) etc.
4) the competition pattern in the field of innovative traditional Chinese medicine is good, and the drug research and development has entered an intensive cashing period. It is suggested to pay attention to Shijiazhuang Yiling Pharmaceutical Co.Ltd(002603) , Guiyang Xintian Pharmaceutical Co.Ltd(002873) , Guizhou Sanli Pharmaceutical Co.Ltd(603439) , etc.
Risk warning: policy change risk; Risk of centralized purchase; Regulatory risk
