Mitsubishi Corporation and Sinopharm Group Establish Medical Supplies Joint Venture in Shanghai Tokyo, Nov 14, 2013 - (JCN Newswire) - Mitsubishi Corporation (MC) and Sinopharm Group Co., Ltd. (Sinopharm Group), China's largest pharmaceutical distributor and wholesaler, are pleased to announce the establishment of Sinopharm MC Hospital Services Co., Ltd., a Joint Venture Company set up in Shanghai for the distribution of medical supplies to the Chinese market. Deal marks the third investment partnership between MC and Sinopharm Group MC and Sinopharm Group signed a comprehensive strategic alliance in 2009, following which the alliance acquired two pharmaceutical wholesalers in Beijing. The combination of MC's expertise in medical supplies distribution in Japan with Sinopharm Group's well-established foundation in China lays a strong foundation for taking advantage of the rapidly growing Chinese healthcare market. Further rapid growth expected in the Chinese medical supplies market Medical supplies have seen remarkable growth within the Chinese healthcare market in recent years. As medical technology continues to advance and as the number of patients continues to increase, so will the consumption of medical supplies, leading to the further expansion of China's medical supplies sector. However, a complex distribution network of second and third-tier pharmaceutical distributors, said to be 100 times more than Japan's, coupled with inefficient management systems for the distribution of medical supplies, has led to increases in the cost of medical treatment. Recognizing the need to address these and other issues, the Chinese government has begun undertaking a number of reforms in an effort to improve China's rapidly advancing health care system. Japan's largest medical supplies company MC Healthcare Co., Ltd (MCH), an MC subsidiary, is the largest medical supplies company in Japan. MCH provides management services related to supply, purchase, delivery and ordering (Supply Processing and Distribution: SPD), and leverages its know-how in cost reduction to service approximately 200 client hospitals across Japan. Drawing on the expertise gained from its Japan operations over the years to install SPD solutions in China, MC aims to make a contribution to the provision of safer and more efficient hospital services. More effective distribution services, the provision of cost-effective medical equipment and improved effectiveness in hospital management are all expected to make a positive contribution to overall healthcare reform in China. Targeting comprehensive expansion in the healthcare business in China MC has been partnering with Sinopharm Group and Medipal Holdings Corporation (MEDIPAL), Japan's largest pharmaceutical wholesaler, for several years with the aim of becoming a well-positioned pharmaceutical wholesaler in Beijing and a reputable medical supplies distributor in Shanghai through the provision of top class SPD services. Establishing a presence in the market through the development, sales, and export of medical supplies and equipment in these regions will ultimately allow MC to achieve further expansion in the health care business across China as a whole. Contact: Hitachi Ltd Corporate Communications Tel: +81-3-3258-1111 Copyright 2013 JCN Newswire. All rights reserved. www.japancorp.net Provider ID: 00028013
Mitsubishi Corporation and Sinopharm Group Establish Medical Sup
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