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China Pharma and Biotech Weekly Market Update - Jan 12, 2011

The United Laboratories International (TUL) announced receipt of SFDA approval last week for the company's regular and mixed (50R and 30R) recombinant insulin products. The company joins a still fairly exclusive club of manufacturers making products for China's lucrative premixed insulin market. Management has indicated that TUL plans to invest RMB 400 - 500 million to expand its insulin market share in China and that it will price its insulin products at 10% to 15% below competing offerings.


Click on this week's SOURCE Snapshot to see other recent insulin/analogue approvals.
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Sihuan Pharmaceutical, one of the largest players in China's cardio - and cerebrovascular space, has pledged upwards of RMB 13 billion in future collaboration commitments to the prefectural city of Tonghua in Jilin province. Included in the deal is a plan to locate the company's North China regional headquarters in the city. Tonghua officials may have to make sure the company is happy - Sihuan showed it is not afraid to pull up stakes and seek greener pastures when it delisted from Singapore to IPO anew in Hong Kong earlier this year. (For more on selected vascular therapeutic areas in China, see Volumes 42 and 43 of the China Pharmaceutical & Biotechnology Review - GBI SOURCE users will find the articles in the Special Reports section .)
 
Meanwhile, in news that is not news to anyone, the Chinese Medical Association (NYSE:CMA) has suggested that over-prescription of antibiotics – with usage levels estimated to be 10x as high as those in the US – is becoming an increasing problem in China. Even more sobering is the CMA estimate that 40% of China's annual fatalities due to adverse drug reactions and their sequelae are attributable to inappropriate use of antibiotics. GBI SOURCE users ADRs listed by drug for each product in the Products section or in list form in the ADRs section .)
 
Also last week, as cold and flu season drove increasing numbers of patients, especially children, to seek medical care, Beijing health authorities began posting current hospital wait-times and available bed information online in an attempt to even demand across the city's facilities; Mingyuan Medicare commenced a one-year clinical validation study for the company's C12A tumor marker microarray; Shandong Province released its regional drug price list which includes 329 western pharmaceuticals; Anhui inaugurated a quality control center to standardize diagnosis and treatment of malignant diseases in the province as well as create a new tumor registry; and China's State Council announced its intention to double the budget allocated for the bio-pharmaceutical industry in China to RMB 40 billion under the Twelfth Five-Year Plan. Visit us at gbipharma.com, where bringing you detailed information about China healthcare and pharma is part of our plan, everyday.