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The Impact of the New Administrative Measures on the China Consumer Health Market

February 17th, 2017

The latest Administrative Measures of Health Food Registration and Filing, issued by the CFDA to accord with the newly revised Food Safety Law in China, were enforced from 1 July 2016, to replace the interim version enforced since July 2005. The new Administrative Measures regulate that only the CFDA accepts the registration applications for new health foods, whilst provincial branches of the CFDA no longer accepted such applications from 1 July 2016.

The new Measures have adjusted the management modes for health food in the market, and optimised the registration process. Meanwhile, they have also strengthened the management of health food filing, strictly regulating the labelling of health food. From a practical perspective, the Measures have shortened the registration and review process for health food, safeguarding the standardised operation of the market.

Outlook

Thanks to the implementation of the new Measures and the simplified registration process, more new health-centric food products are likely to be registered and filed under the health food category in China over the forecast period, to further enrich the product offerings in the market. On the other hand, the competition is likely to intensify, leading to market share concentrating towards the leading players with established brands, quality products and effective distribution. By contrast, small and local players, with a lack of competitive edge over rivals are expected to be wiped out of the market over the forecast period.

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