The core data of this paper: the revenue scale of industrial enterprises above the scale of national pharmaceutical manufacturing industry; Revenue scale of industrial enterprises above designated size of pharmaceutical manufacturing industry in Jiangxi Province; The number of pharmaceutical patents in Jiangxi Province; Number of pharmaceutical industry enterprises in Jiangxi Province

Pharmaceutical industry development status and value chain distribution

-- Scale of development of the national pharmaceutical industry

The pharmaceutical industry is not only a major livelihood industry in China, but also an important area combining traditional and modern, in recent years, China's pharmaceutical manufacturing industry above the scale of industrial enterprises revenue declined year-on-year, 2023, the national pharmaceutical manufacturing industry above the scale of industrial enterprises revenue of 2.5 trillion yuan, down 13.4%, according to the data changes over the years can be seen, China's pharmaceutical manufacturing industry has a significant increase in 2021-2022, reflecting the national demand for drugs during the epidemic period, with the release of the epidemic, 2023 revenue decline is a normal phenomenon, with China's aging trend and people's attention to medical health, it is expected that the overall trend of China's pharmaceutical industry will continue to rise in the future.

-- Distribution of pharmaceutical industry value chain

The upstream of the pharmaceutical industry chain is the basis of pharmaceuticals, including pharmaceutical materials, pharmaceutical intermediates and raw materials required for medical devices, etc. The middle reaches are all kinds of drugs, health products production, and medical equipment manufacturing; Retail and wholesale of downstream drugs and medical devices and medical services. According to the gross profit rate of various industrial chain links in the pharmaceutical industry, the overall profit level of the middle reaches is relatively high at present, especially the production of biological drugs and chemical drugs, while the gross profit level of the production of medicinal biological materials and traditional Chinese medicine is relatively low.

Note: The above gross margin range is filled with the gross profit level of the industry index in 2023 or the gross profit margin of the relevant business of the industry representative listed companies

Policy environment of pharmaceutical industry in Jiangxi Province

-- Analysis of provincial policy of pharmaceutical industry in Jiangxi Province

The pharmaceutical industry in Jiangxi Province occupies an important position in the economy of the province. As an important part of the health industry, the pharmaceutical industry not only promotes the development of local economies, but also plays a key role in improving the level of public health. The number of relevant policies in 2019 and before is large, showing the importance and support for the pharmaceutical industry. After entering 2020, the number of policies has gradually decreased, indicating that the development of the industry has become stable, and the focus of policy support has shifted from the initial promotion to optimizing and consolidating the existing foundation. In the data from January to July of 2023 and 2024, the number of policy releases has decreased significantly, indicating that the government's focus has gradually shifted to the high-quality development and sustainability of the industry.

Note: The above policy statistics are up to August 1, 2024

Since 2017, the pharmaceutical industry policy of Jiangxi Province has undergone a transformation from extensive support to refined guidance. Initially, the policy focused on promoting the overall technological progress and industrial upgrading of the pharmaceutical industry, covering the whole chain development of traditional Chinese medicine, chemical drugs, biological drugs and other fields. However, since 2020, the number of policies has been significantly reduced, focusing instead on upgrading the core technologies and key links of the industry. Policies have gradually focused on supporting the update of intelligent equipment, promoting the application of new Chinese medicine technologies, strengthening the research and development of medical devices, and promoting the coordinated development of the upstream and downstream of the industrial chain. The shift reflects Jiangxi's strategic adjustment of the pharmaceutical industry, aiming to promote high-quality development of the industry through refined management and technological innovation.

-- Regional policy heat map of pharmaceutical industry in Jiangxi Province

In addition to provincial industrial policies, 11 prefecture-level cities under Jiangxi Province have also promoted the development of the regional pharmaceutical industry through the introduction of relevant industrial development policies. From the perspective of the number of pharmaceutical industry-related policies issued by 11 prefecture-level cities in Jiangxi Province since 2016, Nanchang has issued the largest number of pharmaceutical industry-related policies. Under the guidance of policy support, Nanchang has been built into a highland for the development of the pharmaceutical industry in Jiangxi Province, leading the province and even the country in terms of pharmaceutical manufacturing, industry chain construction and market application and promotion.

Note: ① The time range of the above-mentioned policy quantity statistics is from 2016 to August 1, 2024; (2) The number of urban policies is the total number of policies related to the pharmaceutical industry in the city within the statistical time range

Jiangxi Province pharmaceutical industry chain development status map

-- Map of pharmaceutical industry chain in Jiangxi Province

The two-wheel drive of the policy market continues to promote the construction and improvement of the pharmaceutical industry chain in Jiangxi Province. At present, the pharmaceutical industry in Jiangxi Province has formed a whole industrial chain covering the upstream pharmaceutical foundation of medicine, midstream pharmaceutical product manufacturing, and downstream pharmaceutical circulation application. According to the data from the company, as of August 1, 2024, the number of pharmaceutical industry chain enterprises in normal operation in Jiangxi Province exceeded 17,000, including about 4,000 raw material drug enterprises and more than 100,000 medical device-related enterprises, cultivating a number of leading pharmaceutical industry chain enterprises including Jiangzhong Pharmaceutical and Renhe Pharmaceutical.

-- Jiangxi pharmaceutical industry chain enterprise map

From the perspective of different cities, the number of pharmaceutical related enterprises in Yichun and Nanchang accounted for more than 65% of the number of pharmaceutical enterprises in the province, and the construction of the whole pharmaceutical industry chain was relatively perfect, becoming the core region to drive the development of the pharmaceutical industry chain in the province. Jiujiang City, Shangrao City and Ji 'an City combined their own industrial development foundation, centered on the development of the pharmaceutical industry chain in Nanchang city and Yichun City, accelerated the landing of pharmaceutical enterprises, and gradually formed a pharmaceutical industry gathering place with urban characteristics.

From the distribution of enterprises in the industrial chain, chemical pharmaceutical enterprises are mainly distributed in Yichun City and Nanchang City; Biological drug enterprises are mainly distributed in Yichun City, Nanchang City and Ji 'an City. Medical device enterprises are mainly distributed in Nanchang City; The distribution of other industrial chain links in many cities is relatively balanced.

———— Carrier map of pharmaceutical industry development in Jiangxi Province

The rapid development of pharmaceutical industry in Jiangxi Province has highlighted the effect of industrial agglomeration. At present, Jiangxi mainly focuses on the industrial layout of "one city, one capital and many parks", and the construction of industrial clusters such as Jinxian Medical Equipment (Nanchang), Zhangshu Medicine (Yichun), Yuanzhou Medicine (Yichun), Nanchang Xiaolan Medicine (Nanchang), Xiajiang Biomedicine (Ji 'an), Yongfeng Biomedicine Health (Ji 'an), and Ganzhou Zhanggong Biomedicine (Ganzhou) has been continuously promoted.

Development status of pharmaceutical industry in Jiangxi Province

-- The number of newly registered enterprises decreased significantly

The pharmaceutical industry in Jiangxi Province has a good foundation for development. From 2016 to 2019, the number of newly registered enterprises in the pharmaceutical industry in Jiangxi Province increased rapidly. In 2019, the number of newly registered enterprises in the pharmaceutical industry in Jiangxi Province reached 10,000 in the whole year, but then the number of newly registered enterprises in the pharmaceutical industry in Jiangxi Province declined significantly and showed a decreasing trend. The number of pharmaceutical industry enterprises in Jiangxi Province decreased by 41.6% year-on-year, and the development of the industry has entered a mature stage.

-- The scientific research capacity of the pharmaceutical industry needs to be strengthened

Jiangxi Province attaches great importance to medical technology innovation, but incoPat query data shows that since 2020, the number of patent applications in the pharmaceutical field in Jiangxi Province has begun to decline year by year. As of August 1, 2024, the total number of patent applications in the pharmaceutical field in Jiangxi Province exceeded 7,000, ranking 16th in the country. On the whole, the research and development capacity of the pharmaceutical industry in Jiangxi Province ranks the middle level in the country, and the innovation and development of the pharmaceutical industry needs more encouragement and support.

-- The pharmaceutical manufacturing industry has encountered obstacles in its recent development

From 2011 to 2017, the scale of revenue of pharmaceutical manufacturing industry in Jiangxi Province grew steadily, although the growth rate slowed down, but the overall remained at a high level, and the growth rate in this period decreased year by year, from 28.29% in 2012 to 5.60% in 2017, showing the gradual maturity of the market and intensifying competition. In 2018, the revenue of Jiangxi's pharmaceutical manufacturing industry showed a significant decline, decreasing by 19.74% year-on-year. This may be related to changes in market demand, policy adjustments or internal issues within the industry. Since then, revenue has recovered somewhat in 2019 and 2020, with growth rates of 13.31% and 10.75%, respectively. However, the growth in 2021 slowed down to only 1.86%, showing that the industry's growth momentum has weakened.

In 2022 and the first half of 2023, Jiangxi Province's pharmaceutical manufacturing industry income showed a downward trend again, down 10.99% in 2022 and 5.80% in the first half of 2023, while the national pharmaceutical manufacturing industry also declined, which may reflect changes in the economic environment, weakening market demand or challenges brought by industry adjustment.

Development prospect and planning of pharmaceutical industry in Jiangxi Province

-- Development prospect and planning of pharmaceutical industry in Jiangxi Province

According to the "1269" Action Plan (2023-2026) for the modernization of the key industrial chain of the Manufacturing Industry in Jiangxi Province, by 2026, Jiangxi Province will establish a pharmaceutical industry system with outstanding characteristics, optimized structure and driven by innovation, and form an industrial development pattern supported by high-quality Chinese medicine, chemical drugs, biological drugs and medical devices.

According to the "1269" action plan (2023-2026) for the modernization of the key industrial chain of Jiangxi Province's manufacturing industry, in order to improve the resilience, competitiveness and safety level of the industrial chain and supply chain, promote the upgrading of the industrial base and the modernization of the industrial chain, and promote the high-quality development of the pharmaceutical industry chain in the province, Jiangxi Province will follow the action plan for the modernization of the pharmaceutical industry chain (2023-2026), and the pharmaceutical industry will focus on the following directions:

-- Jiangxi Province pharmaceutical industry spatial layout planning

According to the "14th Five-Year Plan" of Jiangxi Province and the "Action Plan for the Modernization of the Pharmaceutical Industry Chain of Jiangxi Province (2023-2026)" deployment, the subordinate regions have issued their own development plans for the pharmaceutical industry, and the spatial layout plan for the development of the pharmaceutical industry in Jiangxi Province is as follows:

-- Development plan of pharmaceutical industry in Jiangxi Province

From the perspective of various provinces and cities, there are currently 11 cities under the jurisdiction of Jiangxi Province, mainly 6 cities as key regions for the development of the province's pharmaceutical industry, and the development planning of these cities' pharmaceutical industry is summarized as follows: