Industry Concentration Is The Only Way For The Development Of China's Pharmaceutical Packaging Market

- Sep 16, 2019-

         On September 1, 2019, the "2019 Gusu Dialogue" was opened in Suzhou. He Wenjin, the general manager of Jiantou Investment Co., Ltd., attended the forum and delivered a speech on the theme of China's vision for global health and medical industry investment.

         In his speech, He Wenjin expounded the changing trend of the global health care industry pattern. He pointed out that in the environment of the global economic downturn, the health care industry continues to maintain strong growth. Its future growth opportunities will come from R&D investment and technology iteration, and on the other hand, from China, Brazil, India and other developments. China's catch-up growth. From the perspective of health care development in developed countries such as the United States and Japan, with the gradual progress of aging, the improvement of medical technology, the awareness of health promotion of the people, the improvement of industry standards and regulatory measures, the growth potential of China's medical health industry is huge. Among them, as the pharmaceutical packaging industry upstream of the pharmaceutical industry's industrial chain, the market scale has maintained a relatively high compound growth rate in the past five years. The Asia-Pacific market with China as the main driving force has already surpassed Europe and approached North America in scale. However, behind the rapid growth, China's pharmaceutical packaging industry is large but not strong, and the overall value-added of the industry is not high. The enterprises are generally small in scale, low in technology level, single in product structure, and compared with mature markets in Europe and America in terms of personnel, equipment and management. There is still a big gap.

          He Wenjin pointed out that the increase in industry concentration will be the only way for the development of China's pharmaceutical packaging market. The management concept and process system of “medicine” will inevitably guide the improvement of standards and norms of the pharmaceutical and pharmaceutical packaging industry. As downstream pharmaceutical companies have higher and higher requirements for the safety and reliability of packaging materials, enterprises that are small in scale, backward in technology, and incapable of management will inevitably disappear through elimination and integration. Enterprises in the industry will further move toward scale. Chemicalization, specialization, first strong, then bigger. In this process, capital will be an irreplaceable force, becoming a binder, catalyst and fusion agent for the integration and upgrading of pharmaceutical packaging in China.