Home First China Authentic Medicinal Materials Industry Conference Held; Sichuan-Chongqing Region Launches 'Origin Warehouses' Across 11 Key Production Areas

First China Authentic Medicinal Materials Industry Conference Held; Sichuan-Chongqing Region Launches 'Origin Warehouses' Across 11 Key Production Areas

May 31, 2023 15:50 CST Updated 15:50

From May 29 to 31, the “First China Daodi Herbs Industry Conference and National Chinese Herbal Medicine Rural Revitalization Conference,” co-hosted by the China Association of Traditional Chinese Medicine and the China Rural Development Association, was held in Chengdu. More than 2,000 attendees from national regulatory authorities, industry associations, local governments of Daodi herb-producing regions, traditional Chinese medicine (TCM) enterprises, TCM hospitals, and TCM clinics gathered for the event. Centered on the theme “Developing Daodi Herbs to Promote Rural Revitalization,” participants engaged in specialized discussions on improving quality and ensuring stable supply of Daodi herbs, ecological development, industrial growth, clinical applications, and the promotion and implementation of the new Good Agricultural Practice (GAP) standards. Multiple industrial cooperation projects were finalized, fostering deep integration among industry, academia, research, and clinical practice.


Traditional Chinese medicine (TCM) is a vital strategic resource for China. As a major TCM province, Sichuan has long enjoyed the reputation that “no prescription is complete without herbs from Sichuan.” It ranks first nationwide in both the number of commonly used TCM herbal varieties (312) and the number of geo-authentic herbs (86). At this conference, focusing on the development goals of the entire industrial chain for TCM herbs, Sichuan and Chongqing promoted the introduction of Bianque’s digital “origin warehouses” into 11 key production areas for geo-authentic herbs. This initiative aims to establish standardized, industrialized, and branded operations, as well as integrated production and marketing systems for geo-authentic herbs, thereby driving the upgrading of the TCM industry and the industrialization of characteristic agriculture.


图片2.png

(Figure | 11 authentic medicinal herb production areas in Sichuan and Chongqing sign agreements for Bianque “Origin Warehouses”)

 

Eleven Authentic Medicinal Herb Production Areas in Sichuan and Chongqing Sign Agreement for “Origin Warehouse” Development


Eleven authentic medicinal herb production areas—Suining City, Dongxing District of Neijiang City, Yanbian County, Qu County, Yuechi County, Muchuan County, Jiajiang County, Pengzhou City, Emeishan City, and Santai County in Sichuan Province, as well as Shizhu County in Chongqing Municipality—have signed cooperation agreements with Sichuan Pharmaceutical Investment Traditional Chinese Medicine Herbs Co., Ltd. The parties will jointly advance the construction of “Quality-Assured Warehouses for Origin-Based Storage of Traditional Chinese Medicinal Herbs” (hereinafter referred to as “Origin Warehouses”), thereby promoting the establishment of an integrated direct-supply system for authentic medicinal herbs from Sichuan and Chongqing. This system will encompass standardized cultivation, on-site harvesting, on-site processing, on-site warehousing, and direct shipment from the place of origin, achieving integration of production, processing, and sales.


Sichuan Pharmaceutical Investment Traditional Chinese Medicinal Materials Co., Ltd. was jointly established by Sichuan Provincial Traditional Chinese Medicine and Big Health Industry Investment Group and Bianque Traditional Chinese Medicine and Big Health Industry Group. By introducing Bianque’s innovative “Origin Warehouse” digital model, the company is committed to promoting the high-quality development of Sichuan’s authentic traditional Chinese medicinal (TCM) materials industry. It aims to foster the healthy and sustainable growth of this sector by building a full-process quality management system that integrates standardized cultivation, primary processing at the place of origin, high-standard decoction piece production, and digital management services, as well as by establishing a centralized procurement and supply platform for raw materials of Sichuan’s authentic TCM materials.


As an effective innovative model for establishing a high-quality production and supply system for Chinese herbal medicines in China that ensures quality, upgrades standards, and stabilizes supply, the Bianque Digital “Origin Warehouse” empowers authentic medicinal herbs with digital technology. It achieves full-process quality control and traceability from the place of origin to patients, addressing pain points such as non-standardized cultivation, inconsistent processing at the source, and inefficient sales channels.


Jiang Qincheng, Deputy Secretary of the Party Committee and General Manager of Sichuan Provincial Traditional Chinese Medicine (TCM) Big Health Industry Investment Group, delivered a keynote report on the branding development of Sichuan-produced authentic medicinal materials at the conference. He emphasized that high-quality development of authentic medicinal materials requires concerted efforts by aggregating resources from government bodies, platforms, research institutes, authentic medicinal material bases, and enterprises. The current initiative to promote the construction of “origin warehouses” aims to gradually establish a full-process traceability system for various authentic medicinal materials—covering planting, processing, warehousing, and sales—thereby building a truly comprehensive digital TCM information platform for Sichuan Province.

At the conference, the Sichuan Province Traditional Chinese Medicine (TCM) Traceability Platform was released, the Alliance of Authentic Sichuan-Produced Medicinal Herb Growing Regions was established, and the “Thousands of Townships and Cooperatives TCM Science and Technology for Agricultural Revitalization Initiative” was launched, thereby forming a comprehensive support mechanism for the development of the Sichuan TCM industry. The “Thousands of Townships and Cooperatives TCM Science and Technology for Agricultural Revitalization Initiative” will focus on addressing issues such as insufficient talent and technological support in TCM-growing areas, fully leverage the leading role of science and technology, and better advance the construction of digital “origin warehouses” for TCM materials.


Integration of Production and Sales Drives the Development of the Entire “Sichuan Medicine” Industry Chain


In recent years, the Sichuan Provincial Committee of the Communist Party of China and the Sichuan Provincial People’s Government have attached great importance to the development of the traditional Chinese medicine (TCM) industry. As one of the seven priority industries designated by Sichuan Province to reach a scale of RMB 100 billion, the TCM herbal materials sector has seen continuous improvement in its industrial development mechanisms. The Bianque Digital “Origin Warehouse,” an innovative model for integrated production and sales established through government-enterprise collaboration, was first piloted in Santai County, Sichuan, known as the “Hometown of Ophiopogon Japonicus (Mai Dong).”


Santai County is the primary production area for Chuan Maidong (Ophiopogon japonicus), a geo-authentic Chinese medicinal herb, with its output accounting for over 90% of the national market. However, due to a long-standing lack of precise sales channels, high sales costs, and limited bargaining power for planting enterprises, high-quality Chuan Maidong produced locally has struggled to command premium prices despite its superior quality. Bianque Group has partnered with enterprises in Santai County to establish “origin warehouses,” leveraging digital platforms to precisely match production with sales and facilitate direct supply from the source. This initiative ensures that “high-quality goods receive fair prices,” reduces intermediate circulation links, and allows a greater share of profits to remain with planting enterprises and farmers.


“Origin Warehouses” have helped continuously improve the quality and profitability of local Ophiopogon japonicus (Mai Dong). Through scientific cultivation practices and strict, unified management, the ruscosgenin content (the primary active chemical constituent in Mai Dong) in the produced herb exceeds 0.36%, more than three times the standard stipulated in the Chinese Pharmacopoeia. The output value per mu has risen from no more than RMB 10,000 previously to over RMB 30,000 on a regular basis, with this year’s figure surpassing RMB 40,000 per mu.


Pengzhou, the “Hometown of Chuanxiong,” is the second authentic medicinal herb production area to implement the “origin warehouse” model. Following the adoption of this management model, the content of active constituents in Chuanxiong has increased, the proportion of first-grade products has risen by more than 10%, yield has increased by over 20%, and the net profit for growers has increased by more than RMB 1,000 per mu. Currently, income from Chuanxiong cultivation accounts for approximately 80% of local farmers’ annual income, making it their primary source of economic revenue.


It is understood that, following the signing of agreements for the construction of “origin warehouses” in 11 authentic medicinal herb production areas at this conference, a robust development pattern for major Sichuan-Chongqing medicinal herb brands will be further consolidated. The “origin warehouse” model will fully leverage scientific research resource advantages by collaborating with national, provincial, and municipal research institutes in these authentic medicinal herb production areas to conduct whole-industry-chain research on authentic medicinal herbs. This initiative aims to promote a comprehensive service system encompassing technological innovation, new product development, talent training, digital and smart empowerment, and multi-party order integration.