Chong Kun Dang’s new botanical drug release imminent

[Courtesy of Chong Kun Dang Pharmaceutical Corp.]

Chong Kun Dang Pharmaceutical Corp. is set to release its botanical drug, G-Tec, the first of its kind to secure approval from the national food and drug authority in 10 years.

According to sources from the pharmaceutical industry on Sunday, Chong Kun Dang is currently in negotiations with health authorities regarding pricing for G-Tec, which received approval from the Ministry of Food and Drug Safety in 2022.

Botanical drugs have garnered early attention in Korea due to their minimal side effects and potential synergistic effects when combined with other medications.

However, the Board of Audit and Inspection of Korea uncovered instances of excessive benefits for certain new botanical drug products, such as partial exemption from clinical trials, in 2015, leading to a cautious atmosphere surrounding these types of drugs thereafter.

Nevertheless, with the government announcing improvement measures for the drug pricing system at the end of last year, the likelihood of G-Tec being included in the list of drugs covered by health insurance is increasing.

Despite unfavorable conditions, SK chemicals Co.‘s Joins, Korea’s first herbal medicine, has maintained sales growth for more than two decades.

Last year, sales reached 37.9 billion won ($27.96 million), surpassing cumulative sales of 600 billion won. The company is continuing its efforts to improve by obtaining approval for a high-dose product that reduces the daily intake to twice a day.

Launched a year subsequent to Joins, Dong-A ST Co.‘s botanical drug, Stillen, is also targeting cumulative sales of 1 trillion won.

Dong-A ST has persistently worked on improving medication adherence by reducing weight, length, odor, and dosing frequency. Stillen served as a comparator in G-Tec’s clinical trials, hinting at future competitive dynamics.

“Unlike other new drug markets dominated by global pharmaceutical giants, the botanical new drug market in Korea is relatively active, making it a realistically competitive field,” said an industry insider.