Consumers are spending more and more every year on Alternative Medicines. In a recent study conducted by the World Health Organization, 80% of the world’s population uses some form of Herbal Medicine. Global Sentiment towards Herbal Medicine seems to be increasing as well. The biggest problem faced by the company is the marketing complexities associated with the promotion of traditional medicine systems.
The company has solved this problem by focusing on one type of Herbal Medicine, Dahurian Angelica Root or DAR. It is known to cure many ailments including pain, high blood pressure and a number of diseases. This eliminates the complexities of multi herb marketing and focuses the company’s efforts in one unified direction. The one drug focus has a proven record of accomplishment as demonstrated by Ayurvedic. Intelligent marketing and the one drug focus paid off and it now represents a $1billion dollar industry in India alone. China Health Resources is employing this strategy to DAR.
Smart Investors will identify the excellent opportunity here as public awareness for DAR continues to grow. The company sees International markets as representing a $27 billion dollar market and growing. They currently own 40% of the Chinese market share and seek to double the market share through Brand-Building and increasing public awareness. Recently they also received GAP approval equivalent to FDA approval. This allows Global export of DAR, greatly increasing the Market potential as the EU uses GAP standards in agriculture. It is very easy to see the promise of DAR and the excellent opportunity here.
China Health Resources Inc. and its subsidiaries focus on developing and commercializing Dahurian Angelica Root. They are located in the Suining, Sichuan province of China where 70% of China’s DAR output comes from. The company intends to build a total value chain at every step of the DAR Industry, from production to research. The company currently has 11,000-mu DAR field and has built a GAP research basement of 2,000 mu, planting field of 11,000 mu. They also have a number of research agreements with Chinese universities and professors providing a strong platform for R&D. It is traded on the Over-The-Counter exchange under the symbol (CHRI).
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