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Three Biopharm Outsourcing Companies Granted Express Customs Clearance Privilege in Shanghai

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On June 22,Shanghai Pudong Customs, Pudong International Airport Customs and ZhangjiangGroup Co. held a ceremony in the Zhangjiang Hi-Tech Park to initiate the ExpressCustoms Clearance for 3 biopharmaceutical R&D outsourcing (CRO) companies. Theselected CRO companies are Sundia MediTech, Huiyuan Biotechnology, andFrontage Laboratories from Zhangjiang Hi-Tech Park. This event marked theformal start of the trial operation of a new customs clearance model for CROcompanies in Zhangjiang.

Sundia's Chairman and CEO Dr. Xiaochuan Wang and Executive VP Dr. XiongweiShi attended the ceremony with representatives from many biopharmaceuticalcompanies. Ms. Liu Zhengyi, Deputy Director of the Pudong District Governmentwas at the ceremony to extend her congratulations. Mr. Ma Yan, Director ofPudong Customs, Mr. Shi Wenyan, Director of Pudong International AirportCustoms, and Mr. Liu Xiaolong, Executive VP of Zhangjiang Group Co. signed aLetter of Intention for Customs' Cooperation to Support Development ofZhangjiang Pharma Valley.

Earlier this year, China Central Government adopted a policy to "encourageservice outsourcing industry". High level officials, including Premier WenJiabao called on strong support to this industry. As a key part of serviceoutsourcing, CRO companies in Zhangjiang get more and more attention. Withgrowing innovative capability and national influence, the reputation andstrength of Zhangjiang Pharma Valley has become more prominent as it turnsinto the most developed CRO base in China.

With the rapid growth of the CRO industry, customs clearance efficiencybecomes a significant bottleneck for CRO companies due to high import/exportvolume, numerous categories, new products, strict storage requirements, etc.Fast customs clearance has become the most pressing need of CRO companies.Therefore, Shanghai Pudong Customs and Pudong International Airport Customsjointly proposed selecting some CRO companies in the Zhangjiang High-Tech Parkfor trial operation of express clearance, which implements various measuresincluding "declaration in advance and clearance upon goods arrival","archiving system of classification and price review", "assured clearance" and"24-hour appointed clearance", to establish a new customs clearance model forCRO companies and achieve a balance between strict supervision and efficientoperation.

The first 3 CRO companies were recommended by Zhangjiang Park to governingcustoms after considering various factors such as company reputation, trackrecord, size, and status. Then they were selected by customs after strictreview and screening regarding the companies' credibility, internal managementsystem, laboratory qualification and customs clearance record.At present, customs is gradually putting more effort into the trialoperation. The next step will be expanding the operation within ZhangjiangPark on the basis of previous experience so that more companies can benefitfrom the new measures, and better service can be provided to help the growthof CRO industry.

"This is really a big step by Chinese customs to support the growth ofSundia and other CRO companies. We are encouraged by this and many othermeasures the Chinese Government put together to help the development of CROindustry," commented by Dr. Xiaochuan Wang, Sundia's Chairman and CEO.

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