Speeding Up The Expansion Of Purchasing Products With Quantity Forces Pharmaceutical Enterprises To Develop "Double High" Products

Focus on centralized purchasing upgrade

Since 2018, the state has held five batches and six rounds of centralized procurement. As the mechanism continues to mature, centralized procurement has entered the stage of normalization and institutionalization. From chemicals to high-value medical consumables such as coronary stents and artificial joints, and then to insulin, the frequency of centralized procurement is increasing, and the categories are also expanding. In the future, more categories will be included, such as Chinese patent medicine, biological similar drugs, in vitro diagnostic reagents, etc. There is no doubt that centralized purchasing has become a long-term mechanism to solve the problem of "expensive medical treatment", which is a double-edged sword for enterprises. In the short term, it may experience pains, but in the long run, it will promote enterprises to embark on the road of innovation, upgrading and high-quality development.

With the implementation of the standardization and institutionalization of centralized drug procurement work promoted by the National Office of the people's Republic of China at the beginning of this year, the development of centralized procurement has been accelerated to the vertical direction, and the categories of centralized procurement products have been continuously expanded, from chemical generic drugs to high-value medical consumables (coronary stents and artificial joints), as well as biological similar drugs, Chinese patent medicines and traditional Chinese medicine formula granules to be included.

At present, five batches of chemical drugs have been collected by the state, and the Sixth Batch has been started. Among them, the fifth batch of centralized procurement announced in June this year is the largest ever, involving 55 billion yuan of public hospital procurement, and 61 varieties were selected. There are not only hypertension, diabetes, coronary heart disease, digestive tract diseases and other common diseases, chronic diseases, but also lung cancer, pancreatic cancer and other major diseases. The benefit and sense of gain of patients are significantly enhanced.

At a regular policy briefing of the State Council on July 8, Wang Guodong, head of the Department of pharmaceutical price and bidding and procurement of the State Medical Security Bureau, pointed out that from the perspective of five batches of centralized purchase, 218 varieties were involved, which accounted for 30% of the purchase amount of chemical drugs in public medical institutions according to the price before the centralized purchase. Taking this centralized purchase into account, it is estimated that 92.6 billion yuan of drug cost can be saved every year according to the agreed purchase quantity.

Through the national centralized procurement, the drug price has been greatly reduced, the public burden has been greatly reduced, the grey space in the drug circulation link has been squeezed, the enterprise R & D investment has been enhanced, and the public medical institutions have been forced to reform and further rational drug use.

However, centralized purchasing also led to a sharp decline in profits of some enterprises. For example, Hengrui pharmaceutical, which has been hotly discussed in the market recently, since 2018, Hengrui has entered the national centralized purchase of generic drugs with a total of 28 varieties, and 18 varieties have been selected, with an average price drop of 72.6%. This also led to a further decline in its profits. In the first half of this year, Hengrui pharmaceutical's net profit was about 2.668 billion yuan, an increase of 0.21% year-on-year, almost zero growth.

In addition, in addition to the above categories have been or will soon be included in the national centralized procurement, in vitro diagnostic reagents (IVD), which are in great demand, have also begun to be included in the local centralized procurement.

On August 19, Anhui pharmaceutical centralized procurement service center issued the announcement on negotiation and negotiation of centralized procurement of clinical laboratory reagents for public medical institutions in Anhui Province. The procurement scope mainly includes five categories of high-value chemiluminescence reagents, including tumor related antigen detection, experimental detection of infectious diseases, experimental diagnosis of myocardial diseases, hormone determination and procalcitonin (PCT) detection.

After the disclosure of the above information, on August 20, A-share IVD related concept stocks fell sharply. Among them, the large volume of Mindray Medical Co., Ltd., the leading stock, dropped by 17%, and the market value evaporated by nearly 70 billion yuan per day. Wanfu biological fell by 15%, new industry by 14%, Antu bio limit, toujing life and haoobo fell by more than 10%. Other medical stocks were also affected. Tongce medical fell to the limit, Amico, David medical and wellbay medical fell by more than 9%, while yaomingkant fell by nearly 6%. On that day, the market value of the whole medical sector evaporated nearly 400 billion yuan.

How to face the challenge of intensive purchasing? Hengrui pharmaceutical may have given a reference answer. Since June, the company has been adjusting its organizational structure, including the transfer of generic drug sales staff and the layoffs. At the same time, it continued to increase the research and development of innovative drugs. For the first time, it disclosed in detail in its financial report that it was currently researching and creating new drug pipelines, comprehensively focused on innovation and internationalization, and actively responded to industry challenges.

However, it is worth noting that the market has also given different reactions in the face of the second batch of high-value medical consumables to be purchased by national organizations with large quantities. On August 23, according to the state organization's high value medical consumables joint procurement office's "national organization's centralized procurement document of artificial joints", the centralized procurement of artificial hip and knee joints will be opened in Tianjin on September 14.

As a result, as of the end of August 24, Hong Kong stocks related to orthopedic high-value consumables rose. Among them, Aikang medical (01789. HK) rose by 7.64%, Chunli medical (01858. HK) rose by 2.25%, minimally invasive medical (00853. HK) rose by 6.53%, and Weigao shares (01066. HK) rose by 1.82%. For example, Dabo medical (002901. SZ) rose 0.41%, Sanyou medical (688085. SH) rose 1.44%, AVIC high tech (600862. SH) rose 3.34%.

According to the paper issued by capital securities, with the increase of market scale caused by the aging population, the penetration rate of products after centralized purchase continues to increase, and the domestic joint leader is expected to grow rapidly.

For orthopedic high-value consumables included in the centralized procurement, a senior pharmaceutical industry personage told the 21st century economic news reporter that high-value consumables generally refer to consumable medical devices with high safety requirements, strict production control, limited to certain specialties and relatively high price.

In recent years, the rapid development of high-value orthopedic consumables in China has gradually narrowed the distance with multinational enterprises, and even has a place in some subdivision fields. Therefore, leading enterprises, especially some innovative medical device enterprises with weak commercialization, can quickly open the market channel through centralized procurement“ At the end of the day, it's more about quality. "

Whether it is medicine or equipment, or even the follow-up biopharmaceuticals, the final market needs high-quality and high-value products. Only by transforming on this road can enterprises achieve long-term sustainable development in the future.