Hunan Medicine Management Bureau
Deepen the reform, quicken the development

　　In the 20 years, holding the chance, deepen the reform and quicken the development is the main melody of the medicine industry in Hunan. Four-group company has been reorganized; they are Hunan Guhan, Changsha Jiuzhitang, Yueyang Kangshen, and Hunan zhengqing. Another 17 middle scale key enterprises have reconstructed in the form of annex, cooperation, stock controlling, and participating in the stock with Sanjiu group in Guangzhou, Lizhu group in Zhuhai, Baiyun group in Guangzhou and other strenght enterprises in the province. The medicine or Herb Company in Yiyang, Jinshi, Xiangyin and other counties reconstructed by stock system or rebuild for bankrupt, or run in chain, and retail exclusively. They lead a new road for the reform of medicine business.
　　 In 1998, after Hengyang medicine factory joining the Guhan group, enlarging stock number and collecting the capital, Changsha Jiuzhitang group company, provincial medical company and other enterprises combine to build Hunan Jiuzhitang stock limited company, and put on in the stock market as A stock. Adding the two stocks of Zhuzhou Qianjin medicine stock limited company and Hunan Zhengqing group, Hunan medicine enterprise is hoping to become the hot industry of collecting the capital from the society.
　　 For many years, the weak base, bad foundation and few investment of Hunan medicine industry restrict the development of medicine economy. In the middle of 1980’s, the provincial medicine industry adjusts the planning of the industry according to the policy of “ planning for whole and perfecting the system”, and sets the strategy of “ pay attention to the big one, loose the small one, support the good one and developing the strong one”. It makes the advantages of the industry and forms the pillar of the industry. It makes a solid base for the development of the provincial medicine industry by loosing the small enterprises, motivating the capital storage, and perfecting the medicine economy structure.
　　 In 1998, the original volume and net volume of the fixed capital of medical enterprises of Hunan exceed 2,900,000,000 Yuan and 2,000,000,000 Yuan for each, and increase over 18 times and 28 times of that of 1978. There are 3 enterprises whose annual producing volume is over a 100,000,000 Yuan, and 65 ones over 10,000,000 Yuan. There are 68 drug making enterprises which can produce over 500 kinds of medicines, and 35 Chinese herb factory which can produce over 1200 breeds of 25 styles. 12,000,000,000 tablets and 900,000,000 injections can be produced in the province annually. Some of the products are at the beginning and hold a basic scale, such as medicine making machine, medical apparatus and instruments, health material, medicine package and so on. Over 4000 medical spot for wholesale and retail are all over the province.
　　 Recently, Changsha, Yueyang, Hengyang, Zhuzhou and the region for Xiangbei and Xiangzhong keep the leading position in medicine industry with good basic. The leading enterprises are all gathered in these areas, such as drug with raw chemical material, Chinese herb, medical apparatus and instruments. In 1998, the producing volume of these four medicine enterprises takes 70% of that of the whole province. At the same time, the medicine industry in Changde, Huaihua, Yongzhou, Xiangxi and Xiangnan also increases investment and develop strongly. Chinese herb, as the key developing industry, makes much progress. In 1998, the output for Chinese herb increases 85%, and the profits takes 85% of that of the whole industry. Meanwhile, many good enterprises outstand in the center of Jiuzhitang and other 3 groups, and they support the medicine economy of the whole province. In 1998, the producing output for 16 key industries takes 70% of the whole, and the profit takes over 80% of the whole.
　　The product structure leads a new road of “ scale sale for major products, exclusive sale for minor products”. There are more than 80 raw material drugs fill the blanks of vitamin, anti-tuberculosis, anthelmintic, and hormone. Many medicines take large part of the market by the large scale, such as the erythromycin, by Yueyang Kangshen medicine group, and the caffeine and other raw material drugs by Hunan pharmaceutical factory. Some products open the market inside and outside the country. Some chinese herbs are welcomed by many consumers for it unique effect and sold to the southeast of China and Japan. Some new products are of great future in the market. The medical apparatus and instrument which is the combination of machinery and electricity, the once infusion instrument are developed usually and the selling volume is increasing. Some medicine making machine takes 85% of the market in the country.
Quicken the development, rousing for effort
Ｔhe deepening of the reform shines the vigor of enterprise, frees the producing force, and promotes the development of Hunan medicine economy.
--- The medicine economy increases rapidly. The value of producing in 1998 is 16 times of that in 1978 and it doubles 4 times with the annual increasing of 16%. The total selling value for the medicine business increases 6.5 times of that of 1978.
--- The profit of the enterprise is keeping increasing. In 1998, apart from the balance part of the profit and loss for 40 medicine enterprises approved by the provincial government, the profit increases 22000000 Yuan than that of the last year, and it increases 136% of that of the last year at the same period. In it, the enterprises, which make profit, increase profit of 23.2% of that of last year within the same period. The volume of loss enterprises decreases 10.7% of that of last year.
--- Medicine technology changes a lot. The developing of new product and the controlling ability of the quality is strengthening. In the 20 years, there are 350 new products studied of the whole industry with 76 advanced rewards of nation, department and province, 8 national golden models, sliver models, such as the caffeine of Hunan pharmaceutical factory wins the national golden model.There are 147 products win the advanced product of province and department, and 17 products win the title of provincial advanced products and the quality reward.
　The quality of the products increase steadily and the increasing rate gets up to 86%, and the rate for supervising qualified is 96%.
--- The checking up of the medicine market is with effect. In order to pure the medicine market, Hunan rectifies the medicine market according to the document [1994] 53 by the State Council. It closes 22 illegal medicine markets, clear over 1000 illegal runner in the market, check false medicine with the value of over thousands of Yuan, and take in over 20 illegal persons. The phenomenon of selling the medicine illegally has been stopped basically.
--- The medicine support is strong. With the development of the health career and the increasing of the living standard, the need for the medicine is increasing, too. The activity of three promises with quality, price and service is held in the medicine industry in the province. There are over 130 drugstores rewarded the title of relievable store. In 1997, the province carries out the decision of reforming the storage system of medicine by the State Council, fulfil the medicine storage capital, perfect a series of management regulation, and fulfil the storage breed. In the super flood in 1998, it supplied the medicine and instrument in time, and guaranteed the supply for the disaster area.
---The medicine studying industry develops flourishing. In the 20 years, the provincial medicine-studying institute develops 40 new medicines with 7 kinds. There are 174 students and 1972 polytechnic school students are trained in province medical school and medical technique school. There are 110000 workers or crabs that take part in the training of culture, technology and business, and there is 12000 persons take part in the education over the polytechnic level. All these improve the quality of the staff, perfect the culture and technology structure of the staff, and make the base for the development of the medicine industry.
--- The building of spirit civilization gets great effect. The series projects for building the spirit civilization are carried on in the industry, such as “four career”(career desire, career moral, career discipline, and career technology), “six excellent”(high quality products, good service, good group, high quality management, high quality staff and beautiful surroundings), and “three study” (study the theory, study the science, and study the law). It promotes the building of the spirit civilization of the medicine industry. Yueyang Kangshen medicine group, Hunan pharaeutical factory, Hengyang pharaeutical factory and other units are named “two civilization” advanced units by provincial committee and the provincial government. 5 units are assessed as the advanced units in the national medical system. More than 20 staff is titles model of the province and department level. Chenjiaqiu, Yukejian and Wufeishi are rewarded national “Wuyi” medal.
Facing a new year, facing the dawn of a new century, the staff in Hunan medicine industry will open the thinking, change the idea, deepen the reform, and adjust the medicine economy reform. According to the development of 3 key kinds of Chinese herbs, hormone, and biology medicine, it carries out four strategies, fulfil 5 methods, and make the provincial medicine industry develop rapidly and guarantee the health of the people.