Market competition eases and market demand continues to grow

Boluohui Powder is a powder made from Boluohui extract. Its main ingredients are chelerythrine and sanguinarine. Boluohuisan has the advantages of “anti-inflammatory, intestinal regulation, and growth promotion”. In 2019, in accordance with the provisions of Announcements No. 194 and 246 of the Ministry of Agriculture and Rural Affairs, the approval number of Boluohuisan was changed from “Veterinary Drug Added Characters” to ” “Veterinary medicine”, which can be used in commercial feed and breeding processes. In May 2021, the European Commission passed Regulation 2021/758, stipulating that Boluohui and other related products can continue to be marketed, sold and used as feed additives.

In the context of antibiotic ban, livestock and poultry antibiotic reduction and substitution technology has become the development direction of the feed industry. In recent years, under the background of the development of the feed industry in the direction of “safety, efficiency, and green” and the implementation of the national policy of banning antibiotics and implementing “antibiotic-free” feeding, Boluohuisan, as a natural medicine extracted from plants, has seen a huge demand Year by year growth trend.

Judging from the competition in the biopharmaceutical market, at this stage, there are not many companies in the biopharmaceutical industry in China, such as Guangdong Vitaly Biotechnology Co., Ltd., Hunan Meida Bioresources Co., Ltd., and Hunan Huakang Biotechnology Co., Ltd. Co., Ltd., Hunan Hanqing Biotechnology Co., Ltd. and other companies occupy most of the market share, and competition among companies has eased.

According to the “Research Report on China’s Boluohui Dispersion Market Monitoring and Future Development Prospects from 2023 to 2027” released by the Industrial Research Center , with the rising costs of raw materials, environmental protection, labor, etc., the prices of my country’s Boluo bulk products are at a relatively high level, increasing the cost of use for downstream customers. Moreover, it is expected that the price of Boluohuisan products will not drop too much in the future.

The higher price level will also limit the growth of downstream market demand for Boluo Huisan, or accelerate the substitution of Boluo Huisan products by other similar products. It is expected that from 2023 to 2028, with the improvement of domestic production technology, the supply of China’s Boluo bulk products will increase. Coupled with the reduction in production costs caused by the decline in raw material prices, its product prices will show a trend of fluctuation and decline.

From the perspective of the global market, markets such as Europe have relatively developed economies and can afford the consumption of this product. In addition, their animal husbandry and agriculture are well developed, so their demand for Boluo Huisan products is relatively large. In this regard, domestic manufacturing companies can focus on overseas markets as a key investment direction. European countries such as New Zealand and the Netherlands have relatively developed animal husbandry industries. Boluohui production companies can focus on the markets of these countries and expand their international market competitiveness through international traders.

Industrial researchers believe that Boluo Huisan is mainly used as a feed additive, and its demand areas are distributed in the development of the feed additive industry in various regions. conditions are closely related. East China is one of the main feed production areas in my country and is the main domestic demand market for feed.