Scarcity of expensive Chinese herbal medicines still has room to rise

According to the regulations of the relevant government departments, from the beginning of this year, Ejiao will no longer be included in the scope of government pricing management. It will be determined by the manufacturer based on the changes in production and operating costs and market supply and demand. In this context, Dong-E E-Jiao decided that from January 7 this year, the ex-factory price of Ejiao block products will not increase by more than 60%. In the past year, Dong'e Ejiao raised the price of gelatin products by more than 100%.

According to the China Investment Consulting Industry Research Center, in the past 2010, Dong'e Epox had raised its price four times. On January 16 last year, the Ejiao block ex-factory price increased by 10%; on January 28th, the Ejiao block ex-factory price rose again by 20% from 432 yuan per kilogram to 516 yuan per kilogram; on May 25, Donga Ejiao also raised the ex-factory price of Ejiao block by 5% to 542 yuan per kilogram. On October 11, Dong-e E-Jiao declared once again that the ex-factory price of Ejiao block was increased by 10%.

Zhang Yanlin, research director of China Investment Consulting, pointed out that at the same time, Pien Tze Huang has also announced a price increase plan recently. From January 1, 2011, each Tsai Tzu raised its domestic sales price by 20 yuan and its export price by 3.5 dollars. At present, the sales price of Pien Tze Huang in the country is 218 yuan/grain, the increase of 20 yuan is equivalent to a price increase of 10%, the export sales of 20.5 dollars/grain, and the increase of 3.5 dollars is equivalent to a price increase of 17%. This is also the price of Pien Tze Huang's sixth increase in Puppetry since 2005.

Guo Fanli, a researcher in the pharmaceutical industry at China Investment Advisors, pointed out that since the main raw material of donkey-hide gelatin, donkey skin, is a scarce resource and Dong'e donkey-hide gelatin also monopolizes 90% of the country's donkey skin resources, Donga'e donkey-hide gelatin has once again significantly increased its price. The main raw materials for Pien Tze Huang include musk, bezoar and panax. Because musk and bezoar are valuable medicines, and Panax notoginseng also experienced last year's sustained price increase, so the price increase of Pien Tze Huang is also expected.

The “2010-2015 China Pharmaceutical Industry Investment Analysis and Prospect Forecast Report” issued by China Investment Advisors pointed out that during the Spring Festival period, Ejiao and Pien Tsz-Tsang are often used for gifts because of the rigid demand for gift-giving products and price sensitivity. Not high, so the price of Ejiao and Pien Tze Huang has no significant effect on its sales. Although prices of some Chinese herbal medicines have begun to decline, the prices of scarce resources and valuable Chinese herbal medicines still have room to rise.

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