China Mouth Ulcer Therapeutics Market Analysis

China Mouth Ulcer Therapeutics Market Executive Summary

The China Mouth Ulcer Therapeutics Market is at around $122.2 Mn in 2023 and is projected to reach $176.6 Mn in 2030, exhibiting a CAGR of 5.4% during the forecast period 2023-2030.

Mouth ulcers are painful sores that develop inside the mouth, characterized by small, round or oval lesions with a white, yellow, or gray center surrounded by a red border. These sores can cause significant discomfort, especially when eating or drinking. Various factors contribute to their development, including minor mouth injuries, stress, hormonal changes, nutritional deficiencies, certain medical conditions, allergic reactions, and genetic predisposition. Treatment options range from over-the-counter solutions like antimicrobial mouthwashes and topical anaesthetics to home remedies such as salt-water rinses and avoiding irritating foods. In severe cases, medical interventions may include prescription mouthwashes, gels, or corticosteroids. Addressing underlying causes through stress management, improved nutrition, and treatment of related medical conditions can also be beneficial. While most mouth ulcers heal independently within 1-2 weeks, persistent, large, or frequent ulcers warrant professional medical attention to rule out more serious conditions and ensure appropriate treatment.

The prevalence of oral submucous fibrosis in China was found to be 1.81%. The market therefore is driven by significant factors like surge in prevalence of risk factors, health consciousness among consumers and rising disposable income, however, factors such as regulatory challenges, limited awareness, and preference for traditional medicines limit market growth.

Major key players in the market include Bristol-Myers Squibb Company, GlaxoSmithKline PLC, Allergan, AstraZeneca, Hikma Pharmaceuticals PLC among others.

Market Dynamics

Market Growth Drivers

Surge in Prevalence of Risk Factors: In 2022, an estimated 291 Mn people (279.2 Mn males and 11.6 Mn females) aged 15 years and older were tobacco product users in China The country has a vast population, which translates into a large patient pool for mouth ulcers which increasing the demand for therapeutics. This large market size drives the demand for effective treatment options and contributes to the growth of the market.

Rising Awareness and Health Consciousness: With increasing urbanization and exposure to information, there is a growing awareness and health consciousness among the Chinese population regarding oral health and the importance of seeking treatment for conditions like mouth ulcers. This awareness drives the demand for effective remedies.

Increasing Disposable Income: As the disposable income of the Chinese population continues to rise, individuals are more willing and able to spend on healthcare services and treatments, including those for mouth ulcers. This increased spending power contributes to market growth.

Market Restraints

Traditional Medicine Preferences: In some regions of China, there is be a strong cultural preference for traditional Chinese medicine and remedies over modern pharmaceutical treatments. This preference can pose competition to mainstream mouth ulcer treatments and constrain market growth.

Regulatory Challenges: The regulatory landscape in China can be complex, and obtaining approvals for new pharmaceutical products or treatments can be a lengthy and challenging process. This slows down the introduction of innovative mouth ulcer treatments to the market.

Lack of Awareness in Certain Segments: Despite overall awareness efforts, there may still be segments of the population, particularly in rural or less developed areas, with limited knowledge about mouth ulcers and the importance of seeking proper treatment. This lack of awareness hinders market growth in those specific segments.

Regulatory Landscape and Reimbursement Scenario

China's reimbursement mechanism significantly impacts the pricing of pharmaceutical products. The National Reimbursable Drug List (NRDL) is a key component, as it determines which drugs are eligible for reimbursement by the Basic Medical Insurance (BMI) scheme. Once a drug is included on the NRDL, the National Healthcare Security Administration (NHSA) negotiates with pharmaceutical companies to set a price for the drug, using methods such as benchmarking against prices in other countries, assessing clinical value, and considering production costs.

The NHSA also leads volume-based procurement (VBPs) for drugs with a well-established clinical profile, aiming to reduce prices through economies of scale. Additionally, the two-invoice system, introduced in 2016, improves transparency and reduces prices by requiring pharmaceutical manufacturers to issue invoices to distributors and distributors to issue invoices to medical institutions. As a result, the average percentage of price reduction for drugs included in the NRDL has been around 50% since 2016, putting pressure on pharmaceutical companies to maintain profitability while remaining competitive in the market.

The mechanism also encourages market competition and value-based pricing, with the government considering value-based pricing for off-patent originators. Overall, China's reimbursement mechanism plays a crucial role in shaping the pricing of pharmaceutical products, ensuring that prices are reasonable and fair while balancing accessibility and affordability.

Competitive Landscape

Key Players

Here are some of the major key players in the China Mouth Ulcers Therapeutics Market:

• Allergen
• AstraZeneca
• Hikma Pharmaceuticals PLC
• Bayer AG
• Taro Pharmaceutical Industries Ltd.
• Bristol-Myers Squibb Company
• Mylan N.V
• Sanofi
• GlaxoSmithKline PLC
• Novartis