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KPC debuted at the 8th South China Expo to show the world the unique charm of Panax notoginseng preparations

Recently, the 8th China-South Asia Expo and the 28th China Kunming Import and Export Fair was held in Kunming, Yunnan Dianchi International Convention and Exhibition Center, the expo is co-sponsored by the Ministry of Commerce and the People's Government of Yunnan Province, with the theme of "unity and cooperation, and common development", focusing on the "three furthers", and constantly expanding the mode of "comprehensive exhibition and professional office", improving the quality and efficiency of the exhibition, providing a high-quality platform for economic and trade exchanges and cooperation between China and South Asia, and promoting the high-quality development of the "Belt and Road".

At the South China Expo, KPC (600422. SH) brought a variety of special botanicals with Panax notoginseng saponins as the main ingredient at the exhibition, and the excellent effect of the products in invigorating blood circulation and removing blood stasis and activating the veins and veins attracted the attention of many domestic and foreign visitors, reflecting the company's profound traditional Chinese medicine culture and advanced scientific research strength, and showing the world the unique charm of Panax notoginseng preparations in the therapeutic effect of blood circulation. It is understood that since the acquisition of KPC by China Resources Sanjiu, KPC and Shenghuo have continuously promoted the integration of the Sanqi industry chain, deepened cooperation in resource integration, R&D and innovation, industrial chain layout, enhancement of the "777" brand influence and strategic goals, and jointly promoted the high-quality development of the Sanqi industry.

It is ushering in the window period of silver economy

The "Opinions on Developing the Silver Economy and Improving the Well-being of the Elderly" points out that the "silver economy" is the sum of a series of economic activities such as providing products or services to the elderly and preparing for the aging stage. With the intensification of aging and the growth of demand for healthy consumption, the scale of the silver economy industry continues to expand, the people's demand for services and varieties will be more diversified and personalized, and the industrial clusters related to the silver economy will also grow day by day.

It is understood that in 2024, Kantar and Fuxi Laboratory, a domestic silver health research platform, will jointly launch a series of reports on the "Research on China's Silver Population", which will subdivide the domestic silver consumer group into three generations: silver youth (55-64 years old), silver middle-aged (65-74 years old), and silver elderly (75-89 years old). The report points out that silver-haired youth, as a new force in the middle-aged and elderly population, are increasingly concerned about health, and this group of people has a certain amount of spending power.

Industry insiders pointed out that silver health, as an important part of the development of the silver economy, has a very broad market demand. With the continuous improvement of social living standards and the acceleration of work rhythm in mainland China, cardiovascular and cerebrovascular diseases have become one of the main diseases that endanger the health and life expectancy of middle-aged and elderly groups. According to the China Cardiovascular Health and Disease Report 2022, the prevalence of cardiovascular and cerebrovascular diseases in China is on the rise, and it is estimated that there are about 330 million patients with cardiovascular and cerebrovascular diseases in mainland China, including 245 million patients with hypertension and 13 million patients with stroke.

On the other hand, the application of traditional Chinese medicine in cardiovascular and cerebrovascular diseases is becoming more and more extensive, according to the data of Zhongkang CMH, the current retail market of traditional Chinese medicine cerebrovascular diseases has exceeded 10 billion, and has maintained continuous growth, and Xuesaitong with Panax notoginseng as the core ingredient has become the second largest category. As a basic drug for the prevention and treatment of cardiovascular diseases in mainland China, Panax notoginseng has played an important role in the prevention of three highs and the treatment of cerebral arteriosclerosis, ischemic brain injury, cerebral infarction, cerebral hemorrhage and other diseases.

Deepen the layout of the Sanqi industrial chain

Recently, KPC has accelerated the pace of integration in the Sanqi industry chain, after the company has hosted/co-organized important meetings of the Panax notoginseng industry, established the Sanqi Research Institute, established the 777 business department, established the "777" brand, etc., on this basis, KPC disclosed the announcement of the acquisition of China Resources Flame in June this year. KPC said that this transaction is an important measure for the company to realize the integration of Panax notoginseng business, which will help the company realize the strategic and professional integration of the company's Panax notoginseng business through the integration and layout optimization of the Panax notoginseng business chain, help the company build a benchmark enterprise in the Panax notoginseng industry chain, become the leading force in the standardized development of the "Panax notoginseng industry", and promote the high-quality development of the traditional Chinese medicine industry chain represented by "Panax notoginseng".

According to public information, China Resources Shenghuo was established in 1995 and acquired by China Resources Sanjiu in 2016, mainly producing, developing and selling "Lixun Wang" Xuesaitong soft capsules and other chronic disease general medicine products. It is understood that CR Shenghuo and Professor Sun Xiaobo, a researcher at the Institute of Medicinal Plant of the Chinese Academy of Medical Sciences, jointly excavated the value of the combination of Chinese and Western medicines, and continuously carried out academic evidence-based exploration and creation of Chinese patent medicine from basic research to clinical research. It is worth mentioning that China Resources Shenghuo "Lixun Wang" and KPC "Luotai" Xuesaitong Soft Capsules are both national single champion products, which is a milestone event for the product in the pharmaceutical industry and provides the possibility for the product to become bigger and stronger in the future.

From KPC's own point of view, the acquisition of CR Flame is an important strategic move to integrate the Sanqi industry chain. It is reported that the two sides have formed a win-win trend of coordinated development, the integration of the business level continues to advance, and the market strategy has also begun to be coordinated and planned. In the first quarter of this year, the company officially released the "777" brand, built the brand awareness of "Panax notoginseng is 777", strengthened consumers' awareness of the active ingredient of Panax notoginseng saponins, let consumers know that Xuesaitong soft capsules are a single-ingredient preparation of Panax notoginseng, and closely linked "777" with cardiovascular and cerebrovascular prevention and treatment products to form a unique brand memory point.

According to reports, in the future, KPC and China Resources Shenghuo will take the "777" brand as an opportunity to build the company's core products "777 Luotai" and "777 Lixunwang" into the core products of cardiovascular and cerebrovascular prevention and treatment. At the same time, we will continue to improve the product layout in the cardiovascular and cerebrovascular fields, expand and enrich the product pipeline, build a product matrix of "prevention, treatment and maintenance", improve the product portfolio of chronic diseases, meet the health needs of the whole cycle of prevention, health care, treatment and rehabilitation, and create a full-cycle service system for chronic disease management.

With the profound accumulation of KPC and CR Shenghuo Panax notoginseng industry, the two parties have achieved coordinated development in terms of products, channels, brands and supply chains, jointly promoted the standardized development of the "notoginseng industry", and helped the company to become a benchmark enterprise in the notoginseng industry chain.

Through the wonderful appearance of the South China Expo, KPC not only demonstrated its profound accumulation and innovative achievements in the field of notoginseng preparations, but also made important contributions to promoting the international exchange of traditional Chinese medicine culture and promoting international cooperation in the health industry. KPC said that in the future, the company will continue to take "the leader of the silver health industry" as its strategic goal, continuously promote the innovation and development of Panax notoginseng preparations, and contribute more "KPC wisdom and strength" to the cause of human health.

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