Yunnan Baiyao Group Chinese Medicinal Resources Co., Ltd.（云南白药集团中药资源有限公司）is a key subsidiary of Yunnan Baiyao Group, a renowned pharmaceutical giant in China. Based in Kunming, Yunnan Province, this division plays a pivotal role in the conservation, cultivation, research, and industrial-scale supply of traditional Chinese medicinal (TCM) raw materials and extracts. The division is integral to Yunnan Baiyao’s vertically integrated supply chain, supporting pharmaceutical, healthcare, and wellness sectors with standardized, traceable herbal ingredients.
Core Business and Offerings
The Chinese Medicinal Resources Division specializes in the development and supply of authentic, high-quality Chinese medicinal materials. Its core offerings include:
- Sanqi Series (Panax notoginseng products):
- Root slices, powder, granules, and processed supplements made from Sanqi, a core ingredient in Yunnan Baiyao formulations.
- Branded Medicinal Herbs:
- Cultivated and wild-sourced Chinese medicinal herbs such as Dendrobium, Gastrodia, Angelica sinensis, and Rhizoma Chuanxiong.
- Natural Plant Extracts:
- High-purity extracts including flavonoids, polysaccharides, and saponins used in health foods, cosmetics, and functional beverages.
- Traditional Chinese Medicine Pieces (中药饮片):
- Ready-to-decoct, processed TCM ingredients meeting pharmacopoeial standards.
- Health Supplements:
- Proprietary herbal capsules, tablets, and granules developed using clinically validated TCM ingredients.
These products are supplied for internal use by Yunnan Baiyao's pharmaceutical manufacturing arms and external institutional clients.
Specialization and USP
The division's unique advantages include:
- GAP-Certified Medicinal Herb Plantations: Over 10,000 mu (approx. 1,650 acres) of cultivated land across Yunnan for sourcing premium raw materials under Good Agricultural Practices.
- Standardization of Traditional Herbs: Implementation of modern analytical tools to standardize bioactive components in herbal products.
- Sustainable Sourcing Model: Cooperative contracts with local farmers and ethnic communities to ensure ecological protection and economic benefit.
- Integration with Pharmaceutical R&D: Close collaboration with Yunnan Baiyao’s research centers to ensure clinical efficacy and safety of sourced materials.
Financials
While divisional financials are not disclosed independently, Yunnan Baiyao Group reported:
- Total revenue of RMB 37.8 billion (approx. USD 5.3 billion) in 2022
- The Chinese Medicinal Resources Division is a strategic upstream contributor supporting over 30% of group raw material needs
- Investments exceeding RMB 500 million into herbal base construction and modern processing infrastructure since 2018
Shipment and Trade Data
This division contributes to both domestic pharmaceutical supply chains and exports of raw Chinese medicinal ingredients:
- Export of bulk herbs and plant extracts to Southeast Asia, North America, and Europe
- Notable export products include Sanqi powder, Dendrobium extracts, and flavonoid-rich plant derivatives
- According to industry trade platforms, the division supports approximately USD 8–10 million in international shipments annually, often under the Yunnan Baiyao or white-label agreements
Target Market
The Chinese Medicinal Resources Division serves:
- Pharmaceutical manufacturers
- TCM hospitals and health clinics
- Nutraceutical and dietary supplement brands
- Functional food and beverage producers
- Cosmetic and skincare product formulators
Its products are integral to applications targeting:
- Hemostasis and cardiovascular health (Sanqi)
- Anti-fatigue, immunity, and stress relief
- Menstrual and hormonal balance
- Brain health and aging support
Capabilities
- GAP-certified herbal cultivation bases in Yunnan, Guangxi, and Guizhou
- Modern extraction and processing facilities certified to GMP standards
- Advanced quality control laboratories using HPLC, GC-MS, and DNA barcoding
- Extensive herbal raw material traceability systems
- Annual output includes:
- 1,000+ tons of Sanqi raw and processed products
- 500+ tons of standardized herbal extracts
- Millions of individual herbal supplement units
Certifications and Compliance
The division operates under strict compliance frameworks and holds:
- GAP (Good Agricultural Practice) Certification
- GMP (Good Manufacturing Practice) Certification
- ISO 9001:2015 Quality Management System
- ISO 22000 Food Safety Management
- Pharmacopoeia of the People’s Republic of China (ChP) Compliance
- Internal pharmacognosy teams ensure that herbal quality aligns with clinical-grade standards
Customer Testimonials
Though direct testimonials are not publicly available, the division has received accolades from:
- TCM hospitals and national herbal procurement programs
- Large nutraceutical manufacturers relying on standardized extracts
- Recognized in domestic pharmaceutical evaluations for:
- “Unparalleled consistency in active compound concentrations”
- “Reliable seasonal availability and long-term contract fulfillment”
Major Achievements
- National recognition as a Key TCM Resource Enterprise by China’s Ministry of Agriculture
- Played a foundational role in building China’s first full-traceability herbal supply system
- Developed and launched over 30 proprietary herbal ingredient standards used across the Yunnan Baiyao product lines
- Ongoing cooperation with universities and research institutes for TCM genetic resource preservation
- Serves as a training base for agricultural and ethnobotanical education in Southwest China
Yunnan Baiyao Group Chinese Medicinal Resources Co., Ltd. continues to lead in the modernization, sustainability, and internationalization of Chinese medicinal resources, ensuring a reliable and scientifically validated supply of herbal ingredients for global health and wellness applications.