The Current Status And Development Trends For International Industry Of Veterinary Drugs

Veterinary drugs play an important rolc in prcventing and curing animal diseases, guaranteeing animal husbandry, enhancing the living standard of people and promoting human health. Veterinary drug industry occupies a very important position in the national economy, and can promote social development significantly. However Chinese veterinary drug industry has many problems in each stage of R&D, production, marketing, using and administration. There is a wide gap between Chinese and developed countries in veterinary drug industry. Tariff on medicine was reduced gradually in China after China entering World Trade Organization. Multinational enterprises will shock and threaten Chinese veterinary drug industry and a great deal of overseas veterinary drugs will inrush. China suffers heavy losses in foreign trade, because developed countries aggravate technical barriers on Chinese animal food, taking veterinary drug residues as an excuse. Nowadays Chinese veterinary drug industry is facing a major issue, what we need do is to grasp the situation, solve the various problems timely in development, achieve further development on existing basis in the increasingly intense international competition and constantly changing international market. So it is very necessary and urgent to have a systematic overall investigation for current veterinary drug industry. In this paper, a systematic investigation is made on the current status and development trends for international industry of veterinary drugs. The purpose is to understand the similarities and differences of veterinary drug industry between Chinese and developed countries, identify the gap, discover the problems, and propose workable and pertinent suggestions. These can be used as reliable bases and decision references for government and relevant enterprises in making policies and measures.In this paper, author introduces basic concepts of veterinary drug industry at first, then investigates the veterinary drug industry of world, America, Europe and China, then does a research on the development trends of veterinary drug industry starting with each stage of R&D, production, marketing, using and administration, at last analyzes the macro-environment of Chinese veterinary drug industry from four aspects of political, economic, social and technical. The paper makes a investigation on the current status and development trends for international industry of veterinary drugs under the guidance of the theories of industrial organization, industrial development and industrial policy, adopting quantitative and qualitative analysis, static and dynamic analysis and structuralism methods. There are four parts in the paper: summary of veterinary drug industry, present situation of veterinary drug industry, development trends of veterinary drug industry, environment analysis of veterinary drug industry.The following conclusions were obtained from the study of the current status of veterinary drug industry: the development speed of world veterinary drug industry is rapid, world veterinary drug industry have a good momentum of development, European veterinary drug industry is of high output value, high profits and high R&D, Chinese veterinary drug enterprises are of large quantity, small scale and weak competitiveness, Chinese veterinary drug industry is of low output value, low profits and low R&D. The followed conclusions were obtained from the study of the development trends of veterinary drug industry: there are some similarities in the development trends of international industry of veterinary drugs in each stage of R&D, production, marketing, using and administration. Because of late beginning, there is still a big gap between Chinese veterinary drug industry and developed countries. The similarities are: speed of R&D becomes slow, R&D becomes regular, CRO develops rapidly, directions of R&D become diversified, generic drugs have good momentum, enterprises pay attention to marketing, governments strengthen residue monitoring. The differences and gaps are: differences in animal species, differences in GMP, differences in industrial phases, GSP is not implemented in China, different national management frameworks of veterinary services, sorting administration system of OTC is not implemented in China, use norm is not established in China, using AGP is not forbided in China, different management modes of veterinary drugs, gaps in legal degree, different pressure on governments, different function of trade associations. It is detected that at present the political, economic, social and technological environments are beneficial to sustainable health development of Chinese veterinary drug industry, through analyzing the environment of veterinary drug industry.It is detected that in developed countries the market structure is reasonable, the market conduct is active and effective, the market performance is good, in China the market structure is unreasonable, the market conduct is passive and ineffective, the market performance is poor, through comparing industrial organization of international industry of veterinary drugs. Research shows that at present the development level of Chinese veterinary drug industry is low. Chinese veterinary drug industry is in the period of transition from growth stage to maturity stage. The existing problems include weak R&D, weak production enterprises and management enterprises. bad quality of products and unreasonable product structure, weak administration and quality supervision, weakness of legislation. Eventually, the concrete suggestions to enterprises are as followings: merger and reorganize for scale development, specialize for market segmentation, pay attention to R&D, forge brand and adjust product structure. The concrete suggestions to government are as followings: quicken and promote the process of legislation, perfect the managerial system and elevate the management capability, strengthen law enforcement and purify the market, macro-control and accelerate the industry concentration, further reform and fully exert the role of trade association.It is the first time to study on the current status and development trends for international industry of veterinary drugs under the guidance of industrial economics theories. This study lays a foundation for colleagues making further studies on veterinary drug industry under the guidance of industrial economics theories, through improving the research on the basic theory of veterinary drug industry, constructing the analysis pattern and frame under the guidance of theories. This study provides basis for enterprises making accurate and clear cognition on development and direction of veterinary industry, through analyzing the current status and development trends of veterinary drug industry at home and abroad. These results provide reliable basis and decision references for government and enterprises in making policies and measures, through comparing the similarities and differences of veterinary drug industry between Chinese and developed countries, discovering the existing problems in Chinese veterinary drug industry, analyzing the environment of Chinese veterinary drug industry, forecasting the development prospect of Chinese veterinary drug industry.