EU herbal rule to snuff out TCM sales

Source:Global Times Published: 2011-4-14 8:40:27

By Song Shengxia

In less than three weeks, a European ban on herbal medicinal products will drastically limit distribution and sales of traditional Chinese medicine (TCM) makers in the region, likely putting many retailers out of business.

According to the European directive on the subject, all herbal medicines sold in the EU have to be licensed as of April 30. Otherwise they can't be sold or used in the EU. The directive was issued in April 2004.

Officials introduced the directive in response to rising concern over potential adverse effects caused by untested herbal medicines.

Licensing medicines will require TCM distributors to prove that their products have been in use for at least 30 years, including at least 15 in the EU community.

"Although some TCM enterprises have submitted applications to the EU, none of them have passed the registration process so far," Liu Zhanglin, vice president of China Chamber of Commerce for Import & Export of Medicines & Health Products, said recently. 

The key hurdle to obtaining TCM licensing in the EU is being able to produce valid evidence that they have been sold in the EU as medicine for the specified duration, Liu said.  

Most TCM products sold in the EU are labeled and sold as alternative medicines.

"The implementation of the directives means that both Chinese TCM enterprises or practitioners will face the risk (of being fined if they continue in business) and TCM exports from China to the EU will likely be punished," he added.

Du Xin, a staff member at the foreign affairs office of Beijing Tongrentang Group, a premium TCM brand and the biggest producer of TCM products in China, told the Global Times that the group is still doing what it can to get their medicines licensed in the EU and they will adjust its long-term marketing plan.
 
China's exports of TCM products reached $1.94 billion last year, up 22.78 percent from the previous year, of which Chinese patented medicines amounted to $193 million, a rise of 18.05 percent. 

But growth in exports of Chinese patented medicines to the EU has slowed to 15 percent last year, compared with the 25 percent growth in previous years due to the upcoming implementation of EU directives.  

Jia Qian, head of the Strategic Research Group for National Traditional Chinese Medicine Development, told the Global Times that the upcoming EU ban is discrimination against TCM makers and part of their plan to protect Western medicine makers from competition. 



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