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[China Pharmaceutical Network Industry News] my country is one of the world's largest API producers. After decades of development, a relatively complete industrial system has been formed. The characteristics of the chemical raw material medicine industry include large scale, low cost, and high output, which are an important driving force for the upgrading of the pharmaceutical industry.

As an important part of my country's pharmaceutical industry, chemical raw materials are developing rapidly, and the industry's sales revenue and total profit continue to maintain an upward channel, with an unabated growth trend. Through continuous upgrading of the chemical raw material medicine industry, the products have shifted from low-end to mid-to-high end, the level of research and development has been greatly improved, and the prospects continue to improve.

Chemical raw materials refer to the raw materials used in the production of various preparations, that is, substances that are used to obtain medicinal powders, crystals, extracts and other effective ingredients through specific preparation methods, and patients cannot directly take them. The preparation methods generally include chemical synthesis, plant extraction or biotechnology.

According to the classification of efficacy and purpose, chemical raw materials can be divided into anti-infectives, vitamins, respiratory system drugs, etc.; according to product value and characteristics, chemical raw materials can be divided into bulk raw materials and characteristic raw materials.

Bulk raw materials refer to traditional chemical raw materials that are in high demand, mature technology, and do not involve patent disputes, such as antibiotics and vitamins, and are closely related to basic medical insurance. Featured APIs refer to APIs that have just expired patents. Generally speaking, specialty APIs have relatively high profits.

At present, most of my country's chemical raw material pharmaceutical companies are simple raw material suppliers, relying on scale and low cost to win the market, and their competitiveness in specialty raw materials is relatively weak. With rising labor costs and increasing pressure on environmental protection, it is difficult for chemical APIs to maintain their price advantages, and it is the future development trend to move closer to mid-to-high-end APIs.

In the production process of chemical raw materials, there are many kinds of pollutants, high toxicity, corrosiveness, and it is difficult to make harmless treatment and disposal, which is a key area of ??environmental protection remediation. Therefore, in the context of increasing investment in environmental protection, chemical raw materials are facing tremendous pressure, and transformation and upgrading are inevitable.

According to the "China Chemical API Industry Production and Sales Demand and Investment Forecast Analysis Report" data provided by the Qianzhan Industry Research Institute, the size of the chemical API market in 2014 was 424.035 billion yuan, a year-on-year increase of 11.35%; the compound annual growth rate is expected to increase over the next 5 years. The rate is 9.5%, and the market size will exceed 700 billion yuan by 2020.

In general, the prospects for chemical raw materials are promising, and after adjustment and upgrading, it is expected to maintain a relatively rapid growth rate. In the future, the chemical raw material medicine industry needs to further increase the effective utilization of production capacity, expand the scale of the industry, and expand the export of preparations to achieve transformation and upgrading.

(Source: Qianzhan.com, original title: The growth of chemical raw materials will not decrease in 2020, the market size will exceed 700 billion)