Shaanxi Pharmaceutical Group Pai Ang Pharmaceutical Co., Ltd.
A major subsidiary of Shaanxi Pharmaceutical Group, Pai Ang Pharmaceutical Co., Ltd. is currently the biggest pharmaceutical distribution enterprise in Shaanxi Province by business scope and coverage and sales volume. It is also the first pharmaceutical logistics enterprise in Northwest China to meet the national AAAA-level standard and the national pharmaceutical cold-chain logistics operation standard. Since its establishment, it has maintained high-speed development, growing its operating revenue at an average annual rate of 26 percent since 2009. In 2017, its sales revenue was 6.85 billion yuan, ranking 28th in the national pharmaceutical distribution industry.
At present, the company, with 10 second- and third-level subsidiaries, more than 2,160 employees, a storage area of 40,000 square meters, and 106 distribution vehicles, has total assets of about 4.1 billion yuan. It sells drugs of up to 34,000 varieties and specifications and has more than 4,880 suppliers and more than 41,000 customers including the top 100 enterprises in China's pharmaceutical (sales) industry. It mainly operates pharmaceutical chain retail on a "three unifications" distribution basis, carries out medical institution drug distribution, and has OTC sales in 31 provinces, municipalities and autonomous regions. In addition, its newly developed emerging businesses, including pharmaceutical logistics extension services and e-commerce also lead in Shaanxi Province.
The Northwest Modern Pharmaceutical Logistics Center (Phase I), which it invested with 540 million yuan, was put into operation in February 2014. The Northwest Modern Pharmaceutical Logistics Center (Phase I), with 99,400 designed goods locations, an inventory of more than 500,000 boxes, an annual processing capacity of 5 million boxes, circulating product specifications of more than 20,000, and a shipping capacity of more than 12,000 boxes per hour, lead the nation in construction scale, hardware equipment and software informatization level. The second phase of the logistics center with an investment of 340 million yuan and a planned construction area of 59,000 square meters and an inventory of 650,000 pieces of goods was started in August 2016 and is expected to be completed in July 2018. After completion, the logistics center will support annual sales of more than 20 billion yuan.
Design sketch of Northwest Modern Pharmaceutical Logistics Center. [Photo/itl.gov.cn]
According to the National Development Plan on the Drug Distribution Industry and the development plan proposed in Shaanxi Province's Implementation Opinions on Deepening the Reform of the Distribution System and Accelerating the Development of the Distribution Industry, and based on the Northwest Modern Pharmaceutical Logistics Center, Pai Ang Pharmaceutical aims to achieve sales of over 10 billion yuan by 2020, and become the leader of the pharmaceutical distribution industry in the northwest and possibly across China.