CHINA LEX PHARMA LAW NEWSLETTER
Vol. 3 , No.2 - January 29, 2002
TOPICS THIS ISSUE:
- Hefei Constructs New R & D Center
- Use of China-made Beauty Cream Hospitalizes 5 Women
- Head of Taiwanese Formosa Group Plans to Build Hospitals in Mainland
- Psychiatric Health Services to be Improved
- Almost 1 Million Beijing Public Servants to Lose Medicare
- Construction of China's Largest Cardiovascular Hospital Underway
- List of China GMP Facilities (Continued)
Hefei Constructs New R & D Center
A pharmaceutical research and development industrial park using bioengineering technology has recently been set up in the capital city Hefei of the eastern China Anhui province.
Already 30 companies specializing in biological and pharmaceutical technology have situated in the Hefei High-Tech Industrial Development Park, which cost RMB 380 million (US$ 46 million) to construct. It is hoped that the park will become one of the country's leading drug research, development and production centers through the use of bioengineering technology.
It is planned that over 80 companies, with a total annual production value or RMB 5 billion (US$ 609 million) will locate in the park by 2006. Already the 30 companies present in the park have developed 32 new drugs that are in various stages of approval by the State Drug Administration.
(Source: Xinhua News Agency)
Use of China-made Beauty Cream Hospitalizes 5 Women
After using a skin cream manufactured in mainland China, five Hong Kong women have been hospitalized with suspected mercury poisoning.
Health official Dr. Thomas Tsang said that the five women are in stable condition, a sixth was already discharged from the hospital and that 180 others are expected to be screened.
The women had used "Youdi" beauty cream that was found to have excessive levels of mercury. The beauty cream had levels ranging from 7, 000 parts per million to 21, 000 parts per million.
The first case of mercury poisoning, which can cause hand tremors, visual or hearing loss, loss of memory, irritability, sleeping disorders, kidney damage and even brain damage to the foetus of a pregnant mother, was detected in early August of 2001.
(Source: Agence France Presse)
Head of Taiwanese Formosa Group Plans to Build Hospitals in Mainland
Taiwan billionaire and chairman of the Formosa Group, Wang Yungching, has just completed a low-key business trip to mainland China.
It is reported that as soon as next month, Wang Yungching will begin construction of branches of the Taiwanese Chang Gung Memorial Hospital in Beijing and Fujian province. The Chang Gung Memorial Hospital belongs to Formosa Plastics Group and has branches in many large Taiwanese cities. According to the Chinese-language Economic Daily News, Wang's plan was to be the sole investor in the hospitals.
However, currently Beijing does not permit wholly-owned foreign enterprises to own hospitals, as the medical service sector is still a tightly controlled industry. It is almost certain that the Taiwanese billionaire will have to change his plan or incorporate another party into his strategy.
Current regulations permit foreign investors to own a maximum of 70 percent of total shares. The other 30 percent must be owned by a Chinese party. Wang Yungching has hopes that the Beijing authorities and the Chinese Ministry of Health will make an exception, but the chances of such special approval are very slim.
After visiting Beijing, Wang Yungching went to Kunshan city in the province of Jiangsu, where the Formosa Group plans to build a factory for the production of auto-parts, and invest in a car manufacturing zone.
(Source: Deutsche Presse-Agentur, Asia Pulse)
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Psychiatric Health Services to be Improved
Recent World Health Organization's statistics show that psychological diseases have replaced respiratory, cardiovascular and cerebrovascular diseases and cancer to be the biggest threat to the health of Chinese people.
The Chinese Ministry of Public Health has responded to the information by setting up a plan to train more qualified psychology therapists and set up more professional psychology clinics in the country's major hospitals.
In 1998, it was estimated that 5 percent of Chinese were sufferers of various psychological and psychiatric disturbances, 13 of 1000 people suffered from neurotic illnesses and 20-30 percent of high school and university students had psychological problems.
A professor with the Institute of the Psychological Research of Chinese Academy of Sciences, Li Xintian, said that Chinese sufferers are usually diagnosed with anxiety, depression and phobias.
Five years ago, Chinese people realized the importance of treatment and started to seek help at the too-few and under-prepared psychology clinics.
Zhao Xudong, the head of China's first professional psychological clinic, which opened in 1994, says that they treat over 20,000 patients each year.
Recent statistics also show that China has less than 300 professional psychological therapists. However, despite the obvious lack of a qualified labor pool, the Ministry of Health has demanded that all major hospitals set up a psychological division.
To make up for the lack of qualified practitioners, the Ministry of Personnel and the Ministry of Labor and Social Security has empowered a group of experts that will prepare examination and registration regulations to develop and standardize China's psychotherapy practices.
(Source: BBC)
Almost 1 Million Beijing Public Servants to Lose Medicare
Approximately 990,000 Beijingers will no longer have free medical services after July 1, 2002.
The Ministry of Finance and the Ministry of Labor and Social Security are currently determining how exactly a system of medical insurance and fixed subsidies will replace the government funded medicare that began under the leadership of Chairman Mao.
Acquiring a job as a public servant in China is often referred to as an "iron rice bowl", due to the longevity of such a position and such benefits as free housing and medicare. However, since the elimination of the welfare housing allocations in 1998, the medicare system has also been undergoing fundamental changes.
In the Chinese medicare plan, public employees pay for only 10 percent of any medicine needed and only RMB 1 (US$ 0.12) for a doctor's consultation.
However, now the Chinese government has decided to set up medical insurance plans for public workers. Zhang Dafa, an official in charge of medicare, said that his bureau is working hard to make sure that all employees and retired workers of Beijing government offices are fully covered by a new system of medical insurance.
The new system will require employees to pay a percentage of their salary to a medical insurance plan that will only fully cover serious sicknesses and grant a fixed amount of subsidy for minor sicknesses.
By the end of last year, roughly 2.16 million people in Beijing had acquired medical insurance. It is expected that almost 4 million will have medical insurance by the end of 2002 and 6 million by the end of 2003.
(Source: Xinhua News Agency)
Construction of China's Largest Cardiovascular Hospital Underway
The largest cardiovascular hospital in China is being built in Tianjin.
The Tianjin Taida International Hospital, when completed in spring 2003, will cover almost 11 hectares and house 800 beds. It will specialize in heart surgery, cardiovascular interference treatment, rehabilitation and have facilities for teaching and research.
The total floor space will amount to roughly 90, 000 square meters and have 80 intensive care beds, 46 cardiac catheter and cardiac emergency beds and 16 surgery theaters. The total cost is expected to be RMB 650 million (US$ 78.5 million).
(Source: Asia Pulse)
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List of China GMP Facilities (Continued)
Name of Enterprise | Certified Scope |
601. Schering (Guangzhou) pharmaceutical Co., Ltd. | Injection |
602. Guangdong Yantang Bio-chemical Pharma Co., Ltd. | Low dose injection, freeze-dried powder-injection |
603. Shenyang Yamanouchi Pharma Co., Ltd. | Tablet, capsule |
604. Henan Lingguang Pharmaceutical Co. Ltd. | Tablet, capsule, granule |
605. Chongqing GSK Pharma Co., Ltd. | Inhalant |
606. Guangzhou Nanxin Pharma Co., Ltd. | Powder-injection, high dose injection |
607. Beijing Novartis Pharma Co., Ltd. | Tablet |
608. Xian Janssen Pharma Co., Ltd. | Tablet, capsule, cream, lotion, suppository |
609. Suzhou Lida Pharma Co.Ltd. | Tablet, capsule |
610. Guangzhou Green Cross Pharma Co., Ltd. | High dose injection |
611. Shanghai Schering-plough Pharma Co., Ltd. | Tablet, plaster, injection |
612. Pfizer Pharma Co., Ltd. | Bulk, powder-injection, tablet, capsule |
613. Shanghai Roche Pharma Co., Ltd. | Tablet, capsule |
614. Jiangxi Apotec Bio-pharma Co., Ltd. | Blood product |
615. Guangzhou Qixing Pharma Co., Ltd. | Tablet |
616. Kunming Baker Norton Pharma Co., Ltd. | Capsule, suspension (penicillin) |
617. Guangzhou Jingxiutang (Pharma) Co., Ltd. by Shares | Capsule |
618. Shanghai Janssen and Janssen Pharma Co., Ltd. | Oral liquid |
619. Tianjin Tanabe Pharma Co., Ltd. | Tablet |
620. China Otsuka Pharma Co., Ltd. | Tablet, high dose injection, eye-drops |
621. Suzhou Sinochem Pharma Industry Co., Ltd. | Tablet, capsule, granule, powder-injection |
622. Suzhou Jinsili Pharma Co., Ltd. | Recombinant human interleukin-2 |
623. Shijiazhuang Shenwei Pharma Co., Ltd. by Shares | Capsule |
624. Fujian Shunshun Pharma Union Company | Tablet, capsule |
625. Shenzhen Haiwang Pharma Co., Ltd. | Tablet, capsule, granule |
626. Tianjin takeda Pharma Co., Ltd. | Tablet, capsule |
627. Tianjin SK&F Labs Ltd. | Tablet, capsule |
628. Shanghai Squibb Pharma Co., Ltd. | Powder-injection, tablet, capsule |
629. SASS Pharma Co., Ltd. | High dose injection, freeze-dried powder-injection, low dose injection |
630. Nanjing Jinlong Pharma Factory | Low dose injection, tablet, capsule |
631. Shenzhen Pharma Factory | Powder-injection |
632. Lonhquan Chenlong Pharma Co., Ltd. | High dose injection |
633. North China Pharma Group Beiyan Co., Ltd. | Powder-injection |
634. Shanghai Sanwei Pharma Co., Ltd. | Tablet, capsule |
635. Nanjing Zhenzhong Bio-engineering Co., Ltd. | Bulk, freeze-dried powder-injection |
636. Suzhou Puqiang Pharma Co., Ltd. | Powder-injection, low dose injection |
637. Hangzhou Hangkang Bio-pharma Co., Ltd. | Freeze-dried powder-injection |
638. Shanghai Hualian Pharma Co., Ltd. | Powder-injection |
639. Hainan Tianwang International Pharma Co., Ltd. | Powder-injection, high dose injection |
640. Shanghai Xinya Pharma Co., Ltd. | Powder-injection |
641. Shenyang jiqi Pharma Co., Ltd. | Freeze-dried powder-injection |
642. Shenyang Xinggang Pharma Co., Ltd. | Powder-injection |
643. Hengyang Nanyue Pharma Factory | Freeze-dried powder-injection |
644. Hubei Guangji Pharma Co., Ltd. | High dose injection |
645. Wuhan Aimin Pharma Factory | Freeze-dried powder-injection |
646. Wuhan Pusheng Pharma Factory | Freeze-dried powder-injection |
647. Shanxi Bokang Pharma Co., Ltd. | Powder-injection |
648. Livzon Pharma Factory | Powder-injection |
649. Shangtou Jinshi Pharma Factory | Powder-injection |
650. Harbin Jiabin Pharma Co., Ltd. | Freeze-dried powder-injection |
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The China Lex Pharma Law Newsletter is intended to be used for news purposes only. It should not be taken as comprehensive legal advice, and Lehman, Lee & Xu will not be held responsible for any such reliance on its contents.
