The "Notice" mentioned that Hebei Province plans to organize the centralized procurement of 20 types of medical consumables such as artificial bone filling materials in the near future, and now organizes the reporting of relevant product information.

This time, Hebei Province will include OK mirrors with the same consumption attributes in the centralized procurement. Does this mean that it will be promoted based on the price reduction plan for dental implants?

In this regard, Guo Xiaoping, chief physician of ophthalmology at Beijing Hospital, said in a telephone interview with a reporter from "Daily Economic News" that OK mirrors will sooner or later be promoted based on the dental implant price reduction plan, "because (their) nature is similar."

In her opinion, in the past, the price of dental implants was too high and consumer acceptance was low. OK mirrors are the same, and centralized procurement is more beneficial to consumers.

"The cost of tens of thousands per year is indeed difficult for ordinary families to bear. I think its cost should not be much higher than that of artificial lenses. Intraocular lenses and dental implants are usually implanted for life for one lifetime, but the OK lenses have to be replaced every year, so the burden on patients is still quite heavy." Guo Xiaoping said.

Wei Zining, editor-in-chief of "Medical Reform World" and director of the Management and Development Research Institute of Beijing Third Medical Zhiku Hospital, said in a telephone interview with a reporter from "Daily Economic News" that there is actually no fundamental difference between it either dental implants or OK mirrors and previous drug procurement. "No matter which type of centralized procurement it is, it is due to the high price, which is seriously detached from the cost and actual value of the product." Wei Zining emphasized. What is the gross profit margin of

OK mirror exceeding 80% of

OK mirror? We can see from the data released by listed companies.

Opcom 2021 annual report shows that corneal resizing mirror revenue was approximately 670 million yuan, with a gross profit margin of 89.66%. Aibo Medical's corneal resizing lens revenue in 2021 was approximately RMB 107 million, with a gross profit margin of 83.95%.

. According to a previous report by " Securities Times ", the terminal retail price of OPCS Davy's corneal resizing lens is nearly 31 times the cost of its product.

"After the procurement of OK mirrors, there is a high possibility of a significant price reduction." Wei Zining said that there may be an 80% drop.

Chen Hongyan, Secretary-General of the Medical Materials and Medical Cooperation Branch of China International Travel Health Care Association, said in a telephone interview with a reporter from the Daily Economic News that, normally, the decline will be between 50% and 60%.

However, a long-term practitioner in the glasses industry suggested in a telephone interview with a reporter from the Daily Economic News that if we combine the price reduction results of previous high-value medical consumables procurement, it is actually difficult to judge whether the OK mirror will have a large drop in the same amount as heart stent and spinal consumables.

In recent years, the incidence of myopia among children and adolescents (primary and middle school students) in my country has been above 50%. Myopia prevention and control products and means are becoming more and more popular, and the OK mirror market is also rising.

According to Zhuoshi Consulting, the market size of China's ophthalmic medical services will reach 252.15 billion yuan in 2025, with broad market prospects.

In terms of corneal resizing lenses, the Tianfeng Securities research report pointed out that as of the end of 2021, there have been 19 corneal resizing lens product registration certificates issued by National Drug Administration (a total of 21 were found, 2 have expired), including 4 in China and 15 imported ones.

Among the local manufacturers, the more well-known ones are Opcom and Aibo Medical.

According to the research report of Dongguan Securities , in 2019, Opcom's market share in domestic corneal resizing lenses reached 30.8%, far exceeding other companies and ranking first in the industry. Aibo Medical's corneal resizing mirror was only launched in 2019, and its domestic market share was close to 1%. What impact will

centralized procurement have on the domestic OK mirror market? In this regard, Chen Hongyan said that if the centralized procurement supply is responded to normal production capacity, it may be a good thing for domestic companies. "Small factories may become large factories."

She further pointed out that those views that centralized procurement will dilute corporate profits are actually not understanding of market circulation. "Because the products are not expensive when they leave the factory, but various expenses are added to the circulation link, the final product price becomes very high."

Wei Zining believes that from a policy perspective, my country tends to support domestic enterprises, which is very conducive to the development of domestic enterprises. However, in combination with the consumer side, consumers tend to choose products with good quality and cost-effectiveness. It is not enough to rely on the price advantage alone. "But in the long run, it should be beneficial to domestic companies."

From the perspective of consumers, Chang Libin, director of the ophthalmology department of Jingmei Group General Hospital, said in a telephone interview with a reporter from the Daily Economic News that from his treatment situation, there are many parents who are sensitive to the price of OK lenses. He believes that after the centralized procurement, the acceptance of OK lenses and the penetration rate of will be increased.

The aforementioned glasses industry practitioner told the "Daily Economic News" reporter that in the glasses industry, most consumers choose imported brands, accounting for about 60%. She further said that imported brands may participate in the OK mirror procurement. "Because OK mirrors are changed every year, some children even change twice a year, so under the huge amount of use, centralized procurement is very attractive to imported brands." The bidding details of

are still to be determined

in the capital market, and Hebei centralized procurement has caused a lot of shock. On the 27th, Opcom (SZ300595, stock price 33.49 yuan, market value of 29.968 billion yuan) fell 20%, and Aier Eye Hospital (SZ300015, stock price 25.65 yuan, market value of 184.1 billion yuan) and others also fell to varying degrees.

According to China Securities Journal, Wu Shijun, secretary of the board of directors of Aier Eye Hospital, responded that at present, the optometry business accounts for about one-fifth of the company, and OK mirrors are just one of them. The "Notice" is only the first step in the application stage, and the bidding and investment details and whether they can be promoted are unclear.

Relevant persons from Opcom also responded that the "Notice" currently allows enterprises to fill in information, and whether to implement centralized procurement with volume and bidding details are to be determined.

An ophthalmologist told the Daily Economic News reporter that the "impact of centralized procurement on enterprises" is a very macro issue, but he believes that it is not beneficial to all manufacturers.

In the field of ophthalmology, OK lenses are not the first product to be purchased. Intraocular lenses have previously carried out related work at the inter-provincial level.

In this regard, Guo Xiaoping told the reporter of "Daily Economic News" that after artificial lens manufacturers participated in the centralized procurement, they were used in dispersed manner in the end, and the price also dropped, so they were not "affordable" as imagined.

Regarding the product price after centralized procurement, Chen Hongyan believes that it is necessary to note that centralized procurement prices are only lower than the market price, not lower than the ex-factory price, and what is squeezed out is the dealer link. “After the centralized procurement, the orders are concentrated in several companies, and the volume of products can be several times higher.”

In her opinion, some companies "say" or sell out the factory at a loss on some occasions, which is likely to be to balance different sales channels, "to protect its reputation. ”

Daily Economic News