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China Pharma and Biotech Weekly Market Update - Nov 11, 2010

 

China is out for blood. A main theme of the 5th National Transfusion Forum recently held in Chengdu was the nation's insufficient blood supply (despite a 10% increase in donations over 2008). MOH authorities are calling from support from multiple sectors, including healthcare, media, and city officials to recruit and retain blood donors. News from Beijing city also echoed this heme theme, with an announcement that blood supplies have fallen 50% below usual reserves, and that government employees will be strongly encouraged to donate - giving new meaning to being told to "roll up your sleeves and get to work."

Click on this week's SOURCE Snapshot to see recent batch release information for Human Coagulation Factor VIII.

 

 

In big pharma news, Lilly announced plans to establish a Shanghai diabetes research center in 2011 which employ in the neighborhood of 100 scientists and will focus on novel compounds/mechanisms of action for diabetes treatment in Asian populations. Lilly, which markets Humulin/Humalog brands in China, also continues to keep its academic/government relations sweet with a recent RMB 16.6 million donation to collaborative efforts between the China Diabetes Society and the European Foundation for the Study of Diabetes. (Note to SOURCE users- insulin products have been reorganized in the Product Section .) Also, BMS and Simcere have signed an agreement to co-develop a preclinical small molecule MET/VEGFR-2 inhibitor as an anti-cancer treatment. Simcere will have exclusive domestic development/commercial rights while BMS takes ex-China.

Market access maneuvering: In an interesting example of bottom-up market access lobbying, NeoStem received local reimbursement, as well as local pricing, for its orthopedic stem cell treatment from Weihai city health authorities - the company is piloting the first treatments in China at a local hospital. Meanwhile, the Chongqing Medicine Exchange (NASDAQ:CME) held a mobilization meeting last week announcing the mandatory participation of all higher level medical institutions and the inclusion of non-essential drugs as well as medical supplies and equipment by 2011. Is the CME the future of drug procurement in China? See Volume 36 of the China Pharmaceutical & Biotechnology Review for more on new central drug tendering programs. GBI SOURCE users will find the article in the Special Reports section.

Fixing crooked things in China: Align Technology announced that it has received SFDA approval and relevant device distribution licenses for its Invisalign system - used for treatment of malocclusion (misalignment of the teeth). Also, China's Supreme People's Procuratorate revealed that according to its statistics, 90% of reported medical corruption cases are related to drug/device procurement, and has suggested implementation of strict monitoring mechanisms to address the issue.


In other news, Microsoft signed a licensing arrangement with iSoftStone Information Technology to expand the HealthVault personal health record platform into China; Shanghai Pharmaceuticals Holding inked a deal to distribute Mingyuan Medicare's medical diagnostic biochips and other products; the Beijing Municipal Health Bureau called for all level two and above hospitals to implement uniform drug pricing of all chemical/biological drugs and preparations (a "same drug-same price" policy); and the China Securities Regulatory Commission announced that it will strengthen capital markets to support increased M&A activity as well as the restructuring of listed companies in China's key industries including the healthcare sector. Here's another capital idea- visit us at www.gbipharma.com.



Disclosure: no positions

Disclosure: no positions