Prices Continued To Rise Speculation That Chinese Herbal Medicines And Non

Prices Continued To Rise Speculation That Chinese Herbal Medicines And Non

Along with the Medicine Prices continued to run high, the domestic Traditional Chinese medicine Material flow into the excited state of the market once again. At the same time, for the operation of the hot money in the market and the roasted seeds and nuts were questioned, accused of also increasing, it seems that this round of medicine prices is speculation all to blame.

Recently, a renowned Web site a "trillion fear of hot money speculation Pepper Southwest drought breaking 70 yuan / kg," the article by number of media outlets. This paper is directed at the hot money speculation, that these capital funds often flow through the information flow and the entrance are two frequent speculation, and ultimately the whole industry chain, middle and lower reaches of the control, and complete control of the price.

Medicinal value of the cyclical return of overreaction

For other industries, the author limited due to lack of power to the professional evaluation, but for Chinese herbal medicine industry, I believe that roasted the value of cyclical factors but on the return of Chinese herbal medicine as a radical response, modernization of Chinese herbal medicines in circulation in the Lack of means under the premise of a reflection of the market economy. Main reasons are:

1. The old circulation system to break the market and create the conditions to compete. The three stations planned economy era circulation system of Chinese herbal medicines has disappeared, replaced by Chinese herbal medicines for the spread in the national market. After several rounds of consolidation, with domestic medicine market of professional business qualification, there are 17 home business and business enterprise involving nearly 80 000. The major producing areas of widely distributed herbs operators, enterprises also are countless. Plans to break monopoly in the same time, these new operators also carry the original state-owned medicine company, part of the "reservoir" or strategic reserve and other functions, but as individual market operation, pursuit of profit must be their first choice.

2. Chinese herbal medicines the primitive means of production and store goods for the futures business possible. Although the road to modernization of Chinese medicine for several decades passed, but failed to get rid of the original medicinal production spread, the original and the limitations of relying on the weather, weak industrial base, the very limited capacity to resist risks; and herbal medicines produced by regional and periodic law is a direct result of the frequent price fluctuations medicine. From the reform and opening up Chinese markets fully liberalized since domestic prices are often seen in Chinese medicine market, cyclical fluctuations, so that origin, the terminal market to the needs of Chinese herbal medicines are fully aware of the expected price concept. "Dips Jincang rallies out" has become a common means of industry management.

3. The lack of modern Chinese medicine circulation system will inevitably lead to a disorderly competition. Existing circulation system in the market to ensure sufficient competition in the same time, simple to use economic leverage to control the market means the scattered, disorganized drawbacks are often emergent, especially with the social progress and rapid development of information technology, the demand increasingly close contact terminal and origin the market by means of conventional operating profit is expected to have less and less, making money more difficult. In this background, the "store goods", the "speculation" to the money seems to have become one of the fastest means. Some large enterprises, or hot money after the success of the operation of a huge variety of benefit more to stimulate the enthusiasm of the participants inside and outside the industry. Reflected in the market, good information is being amplified, the participants at bankrupt, loan debt to keep stocks; hot money began to invade the original medicinal industry, the results tend to make the real market demand, the supply-demand gap is covered, some species no obvious supply and demand gap eventually become a victim of hype.

4. Internal and external factors join forces to promote the market heats up in recent phase of roasted seeds and nuts. Early this view has been discussed many times, external factors including changes in domestic and international economic environment, trade policies to promote consumption continues to increase in a decade low drug market return, Epidemic Stimulate more disaster emergencies; internal factors is the Chinese herbal medicine industry has long been home-grown herbs make ends meet, wild herbs living beyond the overall price level caused by lower than its value. Therefore, continued from 2009 to the current price rise is definitely not a single tidal factors, but rather a combination of forces. Speculation is reflected in the appearance of the objective situation, or even only to help coal.

Speculation is non-

For Chinese herbal medicine industry, market speculation as the consequences of applied science approach to be judged.

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