The Red Sea is even redder! —After the implementation of the centralized Procurement policy of biochemical reagents.

On August 4, 2022, the Office of the Joint Conference on Centralized Procurement of Medicines and Medical Consumables in Jiangxi Province, China issued the Notice on Carrying out the Information Declaration of Biochemical Testing Reagents for Liver Function, officially kicking off the prelude to the biochemical reagents centralized procurement. 

biochemical reagents.

As soon as this article came out, it caused a lot of shock in the in-vitro diagnostic industry, not only because Jiangxi Province took the lead in this centralized procurement, many provinces (autonomous regions) participating, mainly including Jiangxi Province, Hebei Province, Shanxi Province, Inner Mongolia Autonomous Region, Liaoning Province Province, Jilin Province, Heilongjiang Province, Fujian Province, Henan Province, Hubei Province, Hunan Province, Guangdong Province, Guangxi Zhuang Autonomous Region, Hainan Province, Chongqing City, Guizhou Province, Shaanxi Province, Gansu Province, Qinghai Province, Ningxia Hui Autonomous Region, Xinjiang Uygur Autonomous Region, Xinjiang Production and Construction Corps Medical Insurance Bureau, etc. It is also because although it is called centralized procurement of liver function testing items, it covers blood lipids and other items, which can be said to include all important routine biochemical testing items into the catalog of this centralized procurement.

The previous liver function biochemical testing items mainly include albumin, total protein, total bilirubin, direct bilirubin, alanine aminotransferase, aspartate aminotransferase, cholinesterase, total bile acid, 5′-nucleotidase, Alkaline phosphatase, prealbumin, adenosine deaminase, glycocholic acid, monoamine oxidase, etc… Blood lipid items such as total cholesterol, triglycerides, high-density lipoprotein cholesterol, and low-density lipoprotein cholesterol were added to this centralized collection project.

Catalog of Biochemical Reagents for Centralized Procurement in Jiangxi Province

It can be seen from this centralized procurement catalog that it is only a matter of time before all biochemical items, especially the blood glucose and renal function testing items, which are closely related to chronic disease management and social security expenditure, are included in the centralized procurement catalog. It is very clear to see the significance and urgency of centralized procurement. In other words, the comprehensive and centralized procurement of biochemical projects has entered the countdown.

Liver function biochemical detection reagent

Note: The reagents declared this time are liquid , excluding dry reagents and test strips, and does not include combined diagnostic reagents that can detect multiple substances.

So the question is, in the area of biochemical testing, which is already known as the Red Sea Market, does it still make sense to centralize procurement? We believes that the implementation of centralized procurement of biochemical detection reagents will become a milestone event in China’s biochemical reagent production industry. This is not only a test and opportunity for small and medium-sized biochemical reagent manufacturers, but also a challenge to the refined production capacity of leading biochemical reagent manufacturers.

For small and medium-sized enterprises, their opportunities and challenges lie in whether they can make good use of their advantages of light fixed asset burden and simple and flexible production management process under the general trend of centralized procurement, and at the same time , expand the scale to reduce the cost of raw materials, winning a place in the first echelon of centralized procurement.

 

For the leading biochemical production enterprises, they will face unavoidable problems in the process of biochemical centralized procurement, such as how to fully make the best use of the scale effect and fine production management; whether to dare to face “tough” price competition in centralized procurement; how to manage the supply chain, control procurement costs, control market channels, etc. In the Red Sea, if you don’t advance, you will retreat, and the pressure faced by leading companies should not be underestimated.

Similarly, there is another business model that will be impacted, that is, companies that focus on OEM business. Since they have higher requirements for production cost control, if they simply export products in an OEM manner, this will inevitably put pressure on their production enterprise customers. Enterprises with OEM as their main business will face a new direction choice.

 

For any of the above types of biochemical enterprises, the centralized procurement of biochemical reagents has made the competition in the Red Sea market more intense, but it also breeds new opportunities and challenges. As long as the enterprise has a solid foundation, orderly management, and standardized supply chain, it will always have its own place in this transformation process.

As an upstream raw material enterprise, Hzymes Biotech has been working on the core raw materials of biochemical reagents for many years, in the face of such “turbulent waves”, we will firmly be the strong backing of every biochemical reagent production enterprise. Whether participating in supply chain management or as a alternative for core raw materials, Hzymes Biotech is always ready to provide every customer with high-quality products and considerate services.

For detecting items related to centralized procurement, Hzymes Biotech can provides core raw materials and solutions.

3α-hydroxysteroid Dehydrogenase (3α-HSD)

Product advantages:

The small difference between batches, stable performance

  • Excellent cost performance
  • High vitality, low feed
3α-hydroxysteroid Dehydrogenase (3α-HSD)

Thionicotinamide-Adenine Dinucleotide(Thio-NAD)

Product advantages:

  • Short production cycle and in stock
  • High purity, less impurities
  • Good water solubility, not easy to precipitate
  • Can effectively reduce the amount of feed
Thionicotinamide-Adenine Dinucleotide(Thio-NAD)

2-Chloro-4-notrophenyl α-L-fucosidase (CNP-AFU)

Product advantages:

  • High purity, less impurities introduced, reducing the difficulty of reagent development.
  • Single batch production can reach ten kilograms, with small batch-to-batch variation and batch-to-batch CV of less than 5%.
  • Good water solubility, no precipitation of reagents at low temperature
2-Chloro-4-notrophenyl α-L-fucosidase (CNP-AFU)

L-γ-glutamyl-3-carboxy-4-nitroanilide(Glupa-C)

Product advantages:

  • Short production cycle and in stock
  • Large single batch production capacity, controllable batch difference
  • High purity, less impurities, purity ≥99% (HPLC)
  • Verified in the GGT system, seamless switching
L-γ-glutamyl-3-carboxy-4-nitroanilide (Glupa-C)

Cholesterol Esterase ( CE)

Product advantages:

  • After molecular modification, we can provide esterases with different substrates to meet the needs of different customers,
  • Provide technical solutions for HDL-C\LDL-C reagents that benchmark R brand, S brand, and other manufacturers
  • HDL-C\LDL-C reagents prepared with this product are comparable to Landox, and the quality control is more accurate.

cholesterol oxidase (COD)

Product advantages:

  • Compatible with cholesterol esterases from multiple manufacturers
  • The specific activity and thermal stability are comparable to those of Roche, Asahi Kasei and other manufacturers

The above products have been verified in the relevant reagent system. Hzymes biotech not only provides high-quality products for large-scale preparation, but also provides technical solutions for finished reagents, saving the cost of raw materials and time for each customer’s rapid replacement and new product launch!

We are looking forward to turning “danger” into “opportunity” together with every customer in this era of change, and will always be the trend!

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