The “12th Five-Year” Plan for Tibetan Medicine Released; Leading Stocks Surge at the Opening Session

　　With over 2,400 years of history, Tibetan medicine is poised to break through its development bottlenecks now that it has benefited from various favorable national policies. The “12th Five-Year” Development Plan for Tibetan Medicine was released last Friday. According to the plan, over the next five years, Tibet’s Tibetan medicine industry aims to double its output value. Following today’s opening, two Tibetan medicine stocks surged dramatically, with Qizheng Tibetan Medicine hitting the daily limit up.

　　Market Update: Qizheng Tibetan Medicine Opens at the Daily Upper Limit.

　　Affected by the release of the plan, two Tibetan medicine stocks surged at the opening: Qizheng Tibetan Medicine hit the daily limit up, trading at 21.43 yuan, and Tibet Pharmaceutical also briefly reached its daily limit up.

　　Last Friday, the “12th Five-Year” Development Plan for Tibetan Medicine was released. The plan points out that, with improvements in policy advantages, resource endowments, and foundational conditions, during the 12th Five-Year period, the Tibetan medicine industry in Tibet will aim to double the total output value of the region’s pharmaceutical manufacturing sector—primarily driven by Tibetan medicine enterprises—within five years, thus ushering in a new era of leapfrog development for the Tibetan medicine industry. Currently, among Tibetan medicine companies, only two are publicly listed: Tibet Pharmaceutical (600211) and Qizheng Tibetan Medicine (002287).

　　The 12th Five-Year Plan for Tibetan Medicine has been released, aiming to cultivate 2-3 enterprises with annual revenues exceeding 300 million yuan.

　　With over 2,400 years of history, Tibetan medicine is poised to break through its development bottlenecks now that it is benefiting from various favorable national policies. On the 4th, the "12th Five-Year Plan for the Development of the Tibetan Medicine Industry in the Tibet Autonomous Region" was approved and issued. According to the plan, over the next five years, Tibet’s Tibetan medicine industry aims to double its output value.

　　The “Plan” points out that, with improvements in policy advantages, resource endowments, and foundational conditions, during the 12th Five-Year Plan period, the Tibetan medicine industry in Tibet will strive to double the total output value of the region’s pharmaceutical manufacturing sector—primarily driven by Tibetan medicine enterprises—within five years, thus ushering in a new era of leapfrog development for the Tibetan medicine industry.

　　The “Plan” sets forth several specific goals: By the end of the 12th Five-Year Plan period, Tibet will establish a Tibetan medicine industrial park centered on the Tibetan pharmaceutical industry, fostering a comprehensive industrial ecosystem; set up 3 to 5 research bases for cultivating scarce medicinal varieties; develop 3 to 5 high-tech Tibetan medicine products with independent intellectual property rights; cultivate 2 to 3 leading Tibetan medicine enterprises with annual sales revenues exceeding 300 million RMB; and train 220 mid-level and 50 senior Tibetan medicine researchers.

　　According to the Plan, in its future development, the Tibetan medicine industry will continue to prioritize energy conservation, emission reduction, and environmental protection, while promoting a circular economy and clean production. At the same time, in terms of supporting measures, efforts will be made to break through existing constraints in 10 key areas—policy, industry regulation, resources, funding, talent, science and technology, law, and information—to ensure the healthy, rapid, and sustainable development of the Tibetan medicine industry.

　　According to reports, although Tibetan medicine is “popular,” its output value has consistently remained low. As one of the six major ethnic medical systems, Tibetan medicine generated an output value of only 700 million yuan in 2009, whereas Miao medicine achieved an output value of nearly 6 billion yuan during the same period. The Tibet Autonomous Region Tibetan Medicine Factory boasts nearly 400 products, yet its annual output value stands at just 140 million yuan—less than that of a single product from Guizhou Bailings (002424), a Miao medicine enterprise. In 2010, the entire Tibet region’s Tibetan medicine industry, primarily focused on Tibetan medicine production, had an output value of 650 million yuan.

　　According to Gongga Luobu, director of the Tibetan Medicine Factory in the Tibet Autonomous Region, due to constraints such as resources, technology, management, funding, and talent, major Tibetan medicine products have failed to achieve synergy across production, research, sales, and management. As a result, the Tibetan medicine industry has not yet fully realized its potential to contribute to Tibet’s economic and social development. However, with the release of the “Plan,” Tibetan medicine is set to seize new opportunities for development over the next five years.

　　A pharmaceutical industry researcher at Hongyuan Securities (000562) stated that the supportive policies outlined in the “Plan” will benefit the development of leading Tibetan medicine companies. According to the researcher, currently there are two listed Tibetan medicine companies: Tibet Pharmaceutical (600211) and Qizheng Tibetan Medicine (002287).

　　Tibetan Medicine Development “Roadmap” Released

　　The newly approved “Tibet Autonomous Region ‘12th Five-Year’ Plan for the Development of Tibetan Medicine Industry” serves as a roadmap for the development of Tibet’s Tibetan medicine industry over the next five years. According to the plan, during the next five years, Tibet’s Tibetan medicine industry aims to double its output value.

　　Tibetan medicine holds an important position in traditional Chinese medicine, with a history spanning over 2,300 years. The newly approved plan calls for, during the upcoming five-year period—the “12th Five-Year Plan”—a concerted effort to enhance the overall strength and core competitiveness of Tibetan medicine manufacturers. The plan outlines key construction projects and development areas in such fields as industrial layout, supply of Tibetan medicinal materials, basic research, scientific and technological innovation, industrial scaling, and talent development, with the aim of achieving the set targets.

　　According to official plans, with improvements in policy advantages, resource endowments, and foundational conditions, during the 12th Five-Year Plan period, the Tibetan medicine industry in Tibet will strive to double the total output value of the region’s pharmaceutical manufacturing sector—primarily driven by Tibetan medicine enterprises—within five years, thus ushering in a new era of leapfrog development for the Tibetan medicine industry.

　　The current plan sets forth several specific goals: By the end of the 12th Five-Year Plan period, Tibet will establish a Tibetan medicine industrial park centered on the Tibetan pharmaceutical industry, fostering a comprehensive industrial ecosystem; set up 3 to 5 research bases for cultivating scarce medicinal plant varieties; develop 3 to 5 high-tech Tibetan medicine products with independent intellectual property rights; cultivate 2 to 3 leading Tibetan medicine enterprises with annual sales revenues exceeding 300 million RMB; and train 220 mid-level and 50 senior Tibetan medicine researchers.

　　According to the plan, in its future development, the Tibetan medicine industry will continue to prioritize energy conservation, emission reduction, and environmental protection, while promoting a circular economy and clean production. At the same time, in terms of supporting measures, efforts will be made to overcome constraints in 10 key areas—policy, industry regulation, resources, funding, talent, technology, law, and information—to ensure the healthy, rapid, and sustainable development of the Tibetan medicine industry.

　　Previous statistics show that during the 11th Five-Year Plan period, the Tibetan medicine industry developed steadily. In 2010, the output value of the Tibetan medicine industry—primarily focused on Tibetan medicine production—across Tibet reached 650 million RMB. However, constrained by factors such as resources, technology, management, funding, and human resources, the Tibetan medicine industry has yet to fully realize its potential in driving Tibet’s economic and social development.

　　Source of information: Securities Star