Benxi, a city in Northeast China's Liaoning province, has long been known for its heavy industry. Now city officials are laying plans for a new economic engine: traditional Chinese medicine (TCM).

TCM draws upon a 2,000-year history of refining the use of herbs, minerals, vegetables, fruits, and other ingredients to address myriad ailments. The efficiency and low cost of many TCM treatments make these methods increasingly popular across China.

Researchers in Benxi are now working in partnership with research centers in Beijing and Shenyang, the nearby capital of Liaoning province, to refine methods for treating high blood pressure, blood disorders, diabetes, fatigue, and other conditions.

Meanwhile city officials are expanding Benxi's infrastructure for gathering raw materials, manufacturing TCM products and distributing new healthcare goods, according to Mayor Gang Rui.

"Our efforts to develop this new industry will be a turning point in Benxi's economic development," says Gang.

These plans have drawn attention and support from the provincial government, which aims to help Benxi become a pillar of the region's expanding healthcare industry.

To realize these goals, the city has invested heavily in new technology and equipment, drawing upon international standards for modern manufacturing practices.

Benxi's production capacity for TCM products has risen significantly. For example, manufacturing capacity for TCM capsules has risen 67.5 percent between 2006 and 2007.

Benxi's TCM industry has become one of the top performers in Liaoning. Last year, total sales of TCM products totaled 1.51 billion yuan ($220 million), with a net profit of 738 million yuan ($107.6 million).

The area has rich natural resources to provide raw materials for TCM, with the highest amount of forest coverage in Liaoning province.

Benxi's government also plans to make the city a regional hub for TCM plantations, pharmacology, research and related services.

A State-level TCM research center and a provincial TCM industrial park have been established in the city's economic and technological development zone. Sixteen pharmaceutical companies have moved into the region, due to preferential government policies.

Research and development is another priority for healthcare companies. Such companies have expanded their cooperation with TCM research institutions and schools since 2002, with at least one new TCM research center opening each year in Benxi.

(China Daily)