2013 CNIC provides an opportunity for participants to view the herbal extract industry from the perspective of end users. Dr. Li Chenyue from R&D department of PERFECT (China) described the extracts' application in health products and then gave advice.

PERFECT is expected to see sales of more than 17 billion yuan in 2013, which is primarily contributed by several products based on herbal extracts. Its Aloe Gel, featured by aloes extract, soothes dry, irritated, slightly damaged skin. The annual sale of this product exceeds 500 million yuan in 2010 to 2013. The firm has applied for a patent for this product. PERFECT also launched health products which are featured by sea buckthorn and corn extracts. The company is the first one in China to transform scientific achievements on corn oligopeptide into health products with assistant curative effect on chemical liver injury. Its Corn Peptide has gained nearly 1500 million yuan since Sep 2009, when the product was launched.

Terminal users want stable and easily stocked herbal extracts with definite efficiency, and require the level of metal and pesticide residue to conform to standards.

Advice
Cooperation model: New product is designed during the development of raw materials, so product can be launched as soon as raw materials gain mature technology and stable quality. Players can seize market share quickly in this way.

The development of terminal products should be in step with scientific research on herbal extracts, including safety, efficiency and quality control. Market survey and technology survey should be done simultaneously. Formula development should be operated along with research on home and abroad polices. Safety should be guaranteed with efficiency and quality controllability. Industrialized production should go hand in hand with development of packaging and preservation.

Manufacturers of herbal extracts should consider cooperating with terminal players on strategy.

Copyright：Herbridge Media