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Home > Chemial News > Policies > The National Development and Reform Commission Issued an Implementation Plan to Promote the High-quality Development of the API Industry

The National Development and Reform Commission Issued an Implementation Plan to Promote the High-quality Development of the API Industry

ECHEMI 2021-11-12

On November 9th, the two ministries and commissions issued the "Notice on the Implementation Plan for Promoting the High-quality Development of the API Industry."

 

The plan has a clear goal. By 2025, develop a batch of high value-added and high-growth varieties, break through a batch of green and low-carbon technology and equipment, cultivate a batch of internationally competitive leading companies, and create a batch of industrial clusters with global influence. Production base. The innovative development and advanced manufacturing level of the API industry has been greatly improved, the green and low-carbon development capacity has been significantly improved, and the resilience of the supply system has been significantly enhanced, providing strong support for the development of the pharmaceutical industry, and forging a unique longboard for international competition and cooperation.

 

The plan proposes to vigorously develop characteristic APIs and innovative APIs, and increase the proportion of new products and high value-added products. Relying on existing support channels, promote the industrialization of major innovations in the field of APIs and the promotion and application of green and low-carbon technology and equipment. Innovate the use of funds and use market-oriented industrial investment funds to support the development of key enterprises and the construction of key common technology platforms in the industry. Encourage superior companies to use diversified investment and financing channels such as listing and issuance of bonds to enhance the ability to support industrial innovation and development.



my country is a major producer and exporter of APIs. With the issuance of this favorable policy, it may solve the problems of unreasonable industrial structure and low level of green production, achieve breakthroughs in major equipment research and construction of industrial standard systems, and further enhance the core of the pharmaceutical industry.


   The market is also paying more attention to the API industry, and many institutions have expressed optimism about the overall performance of the API industry. Among them, CITIC Construction Investment stated that most of the price trends of APIs are highly correlated with oil prices. The increase in the upstream cost of APIs from the beginning of this year has brought greater pressure on gross profit margins. It is expected that there will be a considerable amount of The prices of API varieties will continue to increase. The agency added that the API sector has been in a state of adjustment for a long time, and it is optimistic about the stock price performance of the specialty API sector in 2022.



Guosen Securities released a research report stating that in the long run, China's API industry is one of the core directions of China's new pharmaceutical manufacturing. It has the dual growth potential of upgrading itself and undertaking the transfer of the global industrial chain, and iteratively develops towards a higher-end innovative drug CDMO. The logic is clear, the moat continues to improve, the transition from a cyclical industry to a growth industry, and 2020 is a new round of intensive production capacity construction in the API industry. This year is expected to begin to focus on contributing profits. Therefore, it is optimistic that the API industry will usher in 2021. Wes double-clicked.



   In addition, Guohai Securities also issued a report that believes that the API industry is expected to usher in Davis double-click during the year. It is recommended to pay attention to the relevant targets of the new manufacturing upgrade (CDMO) logic of raw materials, such as Prologue Pharmaceutical, Jiuzhou Pharmaceutical, Tianyu, Minova, Aoxiang Pharmaceutical, etc.



From the perspective of industry development, there is huge room for the development of the API market. According to the "Investment Environment and Investment Prospect Forecast Analysis Report of the API Industry for 2020-2024" released by the New Sijie Industry Research Center, in recent years, as patents expire The number of patented drugs in China continues to increase, and the variety and quantity of generic drugs are also rising rapidly. The bulk drug market is ushering in huge market opportunities, and the output of bulk drugs will continue to grow.



At the same time, the raw material medicine industry is also one of the core directions of my country's new pharmaceutical manufacturing. Under the double control policy of energy consumption and the favorable policies issued by the two departments, the industry's low-efficiency production capacity will be quickly cleared out, and the strategic position of the raw material medicine industry is also expected Upgrade, leading manufacturers will benefit from double benefits.

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