Events
One belt, one road, one belt, one road, one belt, one road, was set up in January 15th by the State Council of Chinese medicine administration and the leading group office of the “one belt and one way” construction work. It is conducive to promoting the quality and level of the “one belt and one way” in the construction of Chinese medicine and promoting the long-term and healthy development of the Chinese medicine industry by promoting the integration of the Chinese medicine into the “one belt and one road” development plan (2021-2025 years).
Brief comment
To build a “one belt, one road” approach to the development stage of high quality, the pace of internationalization of Chinese medicine is accelerating. The “one belt, one road one belt, one road one belt, one road” development plan (2016-2020), issued in 2016, is the first industry plan to respond to the “one belt and one road” initiative. It has clearly defined the guiding ideology, main principles and key tasks of Chinese medicine in building the “one belt and one road”. One belt, one road, and one belt, one road, will enter the stage of high quality development. The development plan is conducive to better solve the problem of “going out” of Chinese medicine, and fully mobilize the forces of all sides to promote the development of Chinese medicine in the “one belt and one way” development, and is conducive to the long-term healthy development of the Chinese medicine industry.
It has both short, medium and long-term development goals, and is optimistic about the development potential of the traditional Chinese medicine industry. One belt, one road, is the first to develop 30 high-quality Chinese medicine overseas centers in the “14th Five-Year” period. The 30 international standards for Chinese medicine were promulgated, 10 Chinese medicine culture overseas communication brand projects were built, 50 international cooperation bases for Chinese medicine and a number of export bases for Chinese medicine services were set up. Strengthen the construction of overseas registration service platform for traditional Chinese medicine products, organize and send TCM foreign aid medical teams, and encourage social forces to explore the construction of Sino foreign friendly TCM hospitals in a market-oriented manner. In addition, one belt, one road plan, has also defined the medium and long term development goals: it is expected that by 2035, more and more Chinese medicine will be integrated into the mainstream medical system of “one belt and one road”, and the voice and influence in the field of international traditional medicine will be significantly improved, and the multiple values of health, economy, technology, culture and ecology will be fully realized. One belt, one road and one way, will be formed in the high quality of Chinese medicine.
Eight tasks and three guarantees to help the healthy development of the traditional Chinese medicine industry. The development plan clearly puts forward eight main tasks, which are as follows: 1) deepen global health governance cooperation and strive to build a traditional medical partnership; 2) Deepen medical and health cooperation and strive to increase the supply of high-quality traditional Chinese medicine services; 3) Deepen scientific and technological innovation cooperation and strive to shape new advantages in the development of traditional Chinese medicine; 4) Deepen international trade cooperation and strive to cultivate new advantages in the development of traditional Chinese medicine; 5) Deepen health industry cooperation and strive to expand the development scale of traditional Chinese medicine; 6) Deepen regional and international cooperation and strive to promote the open development of traditional Chinese medicine; 7) Deepen educational cooperation and focus on strengthening the construction of international talent team of traditional Chinese medicine; 8) We will deepen cultural exchanges and cooperation and strive to enhance the influence of traditional Chinese medicine. Meanwhile, one belt, one road, and three aspects of quality participation in the development of Chinese medicine, including organizational leadership, support and environmental protection, is proposed to ensure the implementation of the eight tasks and the healthy development of the Chinese medicine industry.
Investment advice
We expect that the industry will achieve sustained, healthy and high-quality development thanks to the successive implementation of policies in the traditional Chinese medicine sector. Based on the expectation of price increase superimposed by industrial policies, we suggest paying attention to the investment opportunities in the eight subdivided directions of traditional Chinese medicine: 1) innovative traditional Chinese medicine; 2) Traditional Chinese medicine formula granules; 3）OTC； 4) Brand traditional Chinese medicine; 5) Traditional Chinese medicine; 6) Chinese patent medicine; 7) Traditional Chinese medicine services; 8) Relevant supporting supply chain, etc.
It is suggested to pay attention to: Shijiazhuang Yiling Pharmaceutical Co.Ltd(002603) , China Resources Sanjiu Medical & Pharmaceutical Co.Ltd(000999) , Zhangzhou Pientzehuang Pharmaceutical Co.Ltd(600436) , Beijing Tongrentang Co.Ltd(600085) , GUSHENG hall, etc.
Risk tips
The risk of policy implementation falling short of expectations, the risk of industrial regulatory policies, the risk of intensified market competition, the risk of upstream raw material price rise, and the risk of brand promotion falling short of expectations.
