Prospect and suggestions of China Africa Medical Cooperation

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Prospect and suggestions of China Africa Medical Cooperation

Current situation, prospect and suggestions of China Africa Medical Cooperation in the new epidemic period

02.12.2020 16:51

In recent years, with the steady progress of cooperation in various fields between China and Africa, China Africa pharmaceutical cooperation has gradually become one of the hot spots of China Africa cooperation, and the African market has also become one of the key regions for Chinese pharmaceutical enterprises to carry out international business. The sudden outbreak of the new crown makes the cooperation between China and Africa encounter many difficulties in the short term, but further highlights the importance of medical cooperation, which is still optimistic in the medium and long term. As the main force of Sino African pharmaceutical cooperation, pharmaceutical enterprises should formulate appropriate market strategy and turn “danger” into “opportunity” to promote the better development of Sino African pharmaceutical cooperation.
Cooperation status: aid leading, trade leading and investment guiding
1、 It has played a leading role in non medical and health assistance.

It is through the aid to Africa that Chinese pharmaceutical products have gradually entered the African market, and with their good quality and low price, they have gradually been recognized by the ordinary people of Africa, and their brand image has also been gradually established.
First, it provides the most direct channel for ordinary African people to contact Chinese pharmaceutical products. China Africa medical cooperation can be traced back to 1963, when it first supported the non-medical group. According to public information statistics, China’s medical aid workers to Africa cover more than 50 countries and regions in Africa, treating about 270 million African patients. Many high-quality Chinese pharmaceutical products represented by artemisinin have played an important role in the treatment of many African patients through the medical aid teams in Africa, and they are also well known by the local people.

The second is to establish the brand image of “giving people fish is better than giving people fish” for Sino African medical cooperation. According to public data, China has assisted Africa in building nearly 30 hospitals and 30 malaria control centers, providing 800 million yuan of medical equipment and materials and antimalarial drugs, training more than 3000 medical staff, implementing the “African talent plan”, and sending 500 maternal and child experts to help African countries reduce maternal and infant mortality rates. China Africa medical cooperation has played an important role in improving the public health capacity of African countries.

Third, it provides more opportunities for China Africa medical cooperation to benefit African people. In order to help West African countries fight Ebola, in 2014, China provided a total of 750 million yuan of assistance to the epidemic areas, sent more than 1000 medical personnel and experts to the affected countries, and built biosafety laboratories and treatment centers in Sierra Leone and Liberia, respectively, which played an important role in fighting Ebola. Since the outbreak of the Xinguan epidemic, the Chinese government has provided many batches of anti epidemic material assistance to 53 countries with diplomatic relations and the African Union, dispatched five medical expert groups, and 46 medical teams stationed in Africa have also actively supported the local anti epidemic work, provided convenience for the African side to purchase medical materials in China, and actively implemented the G20 debt relief initiative. In addition, China’s enterprises in Africa actively fulfill their social responsibilities and actively donate anti epidemic materials and money to African countries.

2、 The pharmaceutical trade between China and Africa has played a leading role.

Comparatively speaking, the pharmaceutical trade between China and Africa has low difficulty and quick effect, involving the largest number of participating enterprises, and will still occupy a dominant position in the current and a long period of time in the future.

First, the importance of pharmaceutical trade in bilateral trade has been further highlighted. According to statistics, in 2019, the volume of Sino African pharmaceutical trade increased from about US $1.31 billion in 2010 to about US $2.931 billion, a year-on-year increase of 20.17%. In the past ten years, it has more than doubled, far higher than the 2.21% growth rate of China Africa trade in the same period. According to the latest statistics, from January to June 2020, under the overall decline of Sino African trade, the volume of Sino African pharmaceutical trade increased against the trend to 1.602 billion US dollars, with a year-on-year growth of 13.99%.

Second, pharmaceutical trade has become an important part of economic and trade cooperation between China and major African countries. For many years, Egypt, South Africa, Nigeria, Kenya, Algeria, Tanzania and other major African countries have been China’s major pharmaceutical trade partners in Africa, with annual total import and export of more than 100 million US dollars, and become one of the main source countries of imported drugs.

Third, pharmaceutical trade is the largest number of enterprises involved in the field of cooperation. Compared with the aid and investment in non medicine, the number of enterprises participating in pharmaceutical trade is the largest. According to statistics, the number of enterprises engaged in pharmaceutical trade with Africa increased from more than 5000 in 2010 to more than 10000 in 2019; in the first half of 2020, the number of enterprises increased to nearly 8000, with a year-on-year increase of 10.7%, and the completed export volume was about 1.6 billion US dollars, with a year-on-year increase of 14.34%.

3、 It has played a guiding role in non pharmaceutical investment.

Investment in African medicine reflects the main demand of African market and the willingness of African countries to develop their own pharmaceutical industry, which is the expected direction of China Africa pharmaceutical cooperation in the future.

First, it is close to the demand of African market products. As we all know, Africa has a high incidence of diseases, and there is a lack of medicine. Chinese pharmaceutical enterprises invest more in Africa, mainly in antimalarial drugs and other products with large demand. For example, Fosun Pharmaceutical and Kunming Pharmaceutical Group have actively established sales outlets and set up subsidiaries or offices in Africa, and their artemisinin antimalarial drugs have become the star products of anti malaria in Africa.

Second, it should be combined with the willingness of African countries to develop their own pharmaceutical industry. To carry out local drug production in Africa is not only one of the choices of Chinese pharmaceutical enterprises in international operation, but also the willingness of African countries to develop their own pharmaceutical industry. The organic combination of the two not only brings local employment and tax, but also reduces the burden of drug use of the people. For example, humanwell pharmaceutical Africa Pharmaceutical Co., Ltd. has a localization rate of more than 90%, which has reduced the local drug price by 30%; Shanghai Pharmaceutical Co., Ltd., a pharmaceutical company invested in Sudan, has produced anti-inflammatory drugs

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