On September 19th, the 10th China (Taicang) International New Drug Development Frontier Technology and Industrialization Development Summit and Project Cooperation Fair was held in Taicang, Jiangsu Province. Vice Chairman of the Standing Committee of the National People's Congress, National Special Expert of New Drug Science and Technology, and Sang Guowei, Academician of the Chinese Academy of Engineering, attended the conference and gave a keynote speech titled "Development Strategy of China's Biopharmaceutical Industry and Innovative Drugs."

Opportunities and Challenges

Sang Guowei pointed out that through the deployment of the first and second batch of projects, China has basically completed the "Eleventh Five-Year Plan" mission for the major special projects for the creation of new drugs. Under the guidance and leadership of special leadership organizations at all levels, they actively explored the organization and implementation of the new nationwide system. The scientific and technical personnel worked hard to innovate and worked hard to tackle the issues successfully. They successfully completed the “Eleventh Five-Year Plan” task, achieved the desired goals, and achieved a number of signs. Sexual results. Such as a batch of innovative drugs such as icotinib hydrochloride, a large batch of drugs such as butyroquinone, the quality or industrialization level has been improved, and a number of international platforms have been established.

It is reported that during the "12th Five-Year Plan" period, major new drug creation projects will also focus on supporting innovation drug research and development, technological transformation of major drug varieties, innovation drug research and technology platform, and innovative drug incubation bases.

Sang Guowei pointed out that there are still some problems in domestic innovation and R&D: Although the government's research funding has increased substantially, the support and support phase is limited, and many medical R&D lack follow-up financial support; many companies rely excessively on government research funding and are busy There is a lack of market-based screening mechanisms for applying for scientific research funds; in recent years, with the vigorous development of domestic private equity funds, venture capital funds for early innovation and R&D have almost disappeared, and some government research support has also shifted to mature private equity investors, which has reduced the Investment in early research and development; The domestic market for innovative drugs is in its infancy and lacks successful cases. It urgently needs to be integrated with international drug development. Early innovation and R&D personnel have insufficient entrepreneurial experience and are in urgent need of industrialization and corporate operations management support and guidance.

Sang Guowei said: "We urgently need to establish a market-based driving mechanism for realizing the transformation of innovation results." He suggested that the government adopts the dual model of research funding and market-oriented early stage venture capital funds to increase investment in early research and innovation and give consideration to the government. Guidance and market mechanisms; build a complete biomedical industry investment value chain, link upstream and downstream industry investment teams, and establish investment chains supported by angel/government early investment and research funding, innovative drug venture capital funds, late private equity funds, and industrial giants to support each other To achieve sustainable financial support and industrialization promotion.

The specific approach is: Firstly, it is committed to realizing the phased expression of innovation value, realizing company value-added and early investment withdrawal in the early important stages of drug development, creating successful business model cases, thereby creating an investment climate for early innovation projects, and strengthening domestic and foreign innovations. The close cooperation between R&D companies and production and marketing companies helps innovation R&D companies establish or seek suitable industrialization platforms through various resources, promote their success from R&D to win market success, and comply with the globalization trend of pharmaceutical R&D to encourage participation in transnational pharmaceuticals. The Group's cooperation brings international cutting-edge technology and innovation capabilities to China's bio-pharmaceutical industry, making up for weak links in R&D, promptly grasping the information and trends of international new drug R&D, accelerating the internationalization of domestic innovation, and pushing China's creation to the international level. stage.

Technology and Products

Statistics show that: In recent years, China's pharmaceutical market has grown rapidly. In 2011, its industrial output value exceeded 1.5 trillion yuan, and it grew at a double-digit rate each year. At the same time, benefits grew faster than output value.

In the future, the sustained and stable development of the Chinese economy, the increase in national income and consumption, the rapid formation of the middle class, the aging of the population, the process of urbanization, the country’s investment in the health of the people’s livelihood and new drug research and development, and the deepening of medical reform will all promote the pharmaceutical industry in China. The rapid expansion of scale.

According to Sang Guowei's analysis, the golden decade that has just begun is the process of reconstitution and convergence of the pharmaceutical industry. The result must be the improvement of the degree of concentration and the multi-polarization of the industry. Mergers and acquisitions are the fastest and most mainstream route for industrial restructuring and convergence. This has also opened up the third round of mergers and acquisitions in China's pharmaceutical industry, which is the age of mergers and acquisitions (the 3.0 era of mergers and acquisitions).

“In the new round of merger and reorganization of pharmaceutical companies, the technology transfer model for the purpose of product (technology) mergers and acquisitions has spawned a number of rapidly growing new-type pharmaceutical companies.” Sang Guowei said.

According to reports, Xianshen Pharmaceutical has rapidly gained market share in cancer, cerebrovascular, and other disease areas through mergers and acquisitions of products such as “Endo” and “Edarabong” in recent years; through mergers and acquisitions of vaccines, monoclonal antibodies, and other categories. , Quickly took a break in the biotech drug market.

Sang Guowei believes that at present, China has formed a number of representative ethnic pharmaceutical enterprises, but many enterprises still have dominant products in their own development. The market has little competitive advantage, and management system mechanisms urgently need to further deepen reforms, and corporate structures need to be optimized and internationalized. Low issues.

“The large ethnic pharmaceutical companies need a clear strategic positioning.” Sang Guowei said that in the future, China's pharmaceutical industry needs to achieve four changes: First, from pharmaceutical companies to pharmaceutical-based health companies; Second, from the general medicine-based companies The transformation of innovative companies focusing on generic drugs and innovative drugs; the third is the transformation from regional enterprises to multinational enterprises; and the fourth is the transition from traditional state-owned enterprises to market-oriented modern enterprises.

The golden decade that has just begun is the process of reconstitution and concentration of the pharmaceutical industry. The result must be the increase in concentration and the multi-polarity of the industry. Mergers and acquisitions are the quickest and most mainstream route for industrial restructuring and convergence, and this has also started the third round of mergers and acquisitions in China's pharmaceutical industry.