With an extremely developed pharmaceutical industry, China is expected to become the largest pharmaceutical market in the world by the end of 2021. There are approximately 10,000 drug manufacturers representing 1.5% of the international market, and it is plenty of room for foreign investors looking to thrive and generate profits in this significant industry. Whether you would like to open a company that produces medicines or a pharmacy in China, we invite you to get in touch with our company incorporation agents in China. We can assist you in opening a WFOE (Wholly Foreign-Owned Enterprise) in China at any time.
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How can I register a drug store in China?
In respect to the framework set by CFDA (China Food and Drug Administration), your pharmacy can be registered under the rules of WFOEs in China, meaning that foreigners can open a drug store in China and have 100% ownership on the business. The central and regional drug administration departments in China are in charge of verifying the products before they are placed on the market, and there are often cases in which the licenses and permit approvals might prolong. The Articles of Association and the main documents of the firm which comprise information about the owners, the activities of the company, the liabilities in the firm and the management of the company. The incorporation certificate is issued by the Chinese Trade Register as soon as the above-mentioned documents are approved, in compliance with the Companies Act in China.
Are you thinking of starting a company in China? We recommend the support offered by our local agents with experience regarding the required formalities. Thus, you will ensure that the documents, such as the Articles of Association, are submitted correctly. Moreover, we will take care of opening a bank account for the future financial operations of the company, not before registering the respective company for the payment of taxes.
What types of products and medicines can I sell at my drugstore in China?
The pharmaceutical industry in China is diverse and relies on traditional Chinese and western medicine. A drug store in China can sell the following:
- prescription medicines and over-the-counter drugs as accepted by the controlling authorities;
- personal products and sexual healthcare medicines under certain regulations;
- medicinal herbs and products seen as traditional Chinese supplements;
- cosmetic products based on natural and artificial ingredients;
- pharmaceutical equipment that can serve clinics and hospitals in China.
If you decide on selling medicines on the internet, it is mandatory to observe the general and local rules in this direction and to respect the obligations of how medicine retail is done in China. Feel free to talk to our specialists in company formation in China for complete support.
If you want to benefit from the services of our accountants in China, our team will be at your disposal. Payroll and bookkeeping are among the most important accounting aspects, but you will also need audits and support for the preparation of annual financial statements. We can also manage human resources-related tasks and offer personalized financial consultancy services. You can contact us online or by phone to find out all the details about the accounting services offered.
Operating a pharmaceutical company in China
Deciding on a pharmaceutical company with activities linked to the production of medicines might be challenging in China, as the country has strict regulations in this sense. Even if it is tough competition, foreigners can generate solid profits in the pharmaceutical industry in China, considering a few important elements like dealing contracts with hospitals and clinics in terms of drug supply or establishing varied connections with existing pharmacies in order to introduce the medicines you manufacture. Even if large pharmaceutical companies are leaders in terms of business and market coverage on an international scale, foreign investors don’t need to be disheartened, as the Chinese business environment welcomes this type of operations in a competitive market.
The distribution of drugs in China can be made through the national and regional traders not only in the People’s Republic of China but worldwide to serve hospitals, pharmacies and of course patients. You might want to consider the expansion of e-pharmacy commerce and the high trade volume that has been registered in recent years, thanks to the big interest of users in the online purchase.
We invite you to contact our company formation agents in China and ask about how you can open a pharmaceutical company in China.