Hong Kong Drug Licence Applications and Acquisitions · RGYS|Global Licensing and Compliance Service Provider
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HONG KONG DRUG LICENSING

Hong Kong Drug Licence FAQs

Search 500 Hong Kong drug licence FAQs on applications, personnel, premises, quality systems, ongoing regulation, renewals and acquisitions.

Information status: The original FAQ material dates from 2025 and is provided for topic-based reference; it does not represent an individual verification of all 500 FAQs against current rules. For application, fee, renewal, change, product or prescription requirements, please refer to the current official forms and guidance.

Official information from the Drug Office Official information from the Chinese Medicines Board

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Q141 · 一家公司是否可以同时持有多种类型的药品牌照,例如同时持有批发商和制造商牌照?独立链接
Yes. A company may apply for and hold more than one pharmaceutical licence, depending on its business needs. For example, a company that manufactures medicines and also sells them to other wholesalers, hospitals or pharmacies must hold both a manufacturer’s licence and a wholesaler’s licence. Similarly, a company may hold licences for both wholesale of proprietary Chinese medicines and wholesale of Western medicines. The key is that the company must meet the relevant statutory requirements for every licensed activity. This means that if it holds two types of licence, its facilities, personnel, Quality Management System and operating procedures must meet the regulatory standards for both licences, and it must be able to clearly demonstrate compliant operations under each licence during inspections.

📘 Regulatory basis

The Pharmacy and Poisons Ordinance regulates by “activity”. Each regulated activity (such as manufacture, wholesale or retail) requires a separate licence. The law does not prohibit the same legal entity from holding multiple licences, provided it can meet the conditions of each licence.

📗 Drew Tang's recommendations

For clients planning to diversify their business, we recommend identifying all the licensed activities involved at the outset of business planning. We can assist with a comprehensive compliance gap analysis to ensure that your premises layout, staffing and SOP documents meet the requirements for all applications together, enabling the most efficient application process.

📕 Risk notice

Holding multiple licences entails multiple compliance responsibilities. The company must ensure that different business activities are clearly separated and managed; for example, materials in the production area must not be confused with finished goods in the wholesale area. A serious violation under any one licence may affect the standing and validity of the company’s other licences.

Q164 · 如果我的业务同时涉及西药和中成药,是否可以在同一个仓库内储存?独立链接
It is permissible to store Western medicines and proprietary Chinese medicines in the same warehouse, but strict physical segregation and operational separation are required to prevent cross-contamination and mix-ups. First, the warehouse must have clearly defined, physically separated areas for Western medicines and proprietary Chinese medicines. Ideally, use separate rooms or separate them with solid walls. If this is not feasible, at least store them in different areas of the warehouse using a racking system and provide very clear labels. The handling processes for the two product categories (receipt, inspection, put-away, picking and checking) should be separated as far as possible, and they should not be handled at the same workstation or at the same time. In particular, some Chinese herbal medicines may have a strong odour or generate dust, so they must be strictly segregated from Western medicines to prevent odour or physical cross-contamination.

📘 Regulatory basis

Both the GDP guidelines for Western medicines and the Chinese Medicine Council of Hong Kong's Code of Practice for Retailers of Chinese Herbal Medicines emphasise the importance of preventing cross-contamination. Although no regulation expressly prohibits storage in the same warehouse, the regulatory focus is on risk management: you must demonstrate that adequate measures are in place to manage this risk.

📗 Drew Tang's recommendations

If your business is large-scale, we strongly recommend setting up completely separate warehouses for Western medicines and proprietary Chinese medicines. If they must be stored in the same warehouse, consider separate ventilation systems in addition to physical segregation, particularly if the Chinese herbal medicines area emits odours. The Warehouse Management System (WMS) should also use different location codes for the two product categories to distinguish them at system level.

📕 Risk notice

Storing western medicines and proprietary Chinese medicines together, or on adjacent shelves without effective segregation, is wholly unacceptable. If discovered during an inspection, this will be regarded as a serious breach. In particular, if western medicines, such as tablets, are contaminated by dust or odours from Chinese herbal medicines, they may be deemed contaminated and could all have to be destroyed, resulting in substantial financial loss.

Q211 · 申请中药材零售商牌照和申请西药批发商牌照在流程上有什么主要区别?独立链接
Although both Chinese herbal medicine retail licences and Wholesale Dealer Licences are administered by the Department of Health, they fall under different departments, with significantly different approval processes and areas of focus. First, the regulatory authorities differ: Chinese medicine licences are handled by the Chinese Medicine Regulatory Office (CMRO), while Western medicine licences are handled by the Drug Office (DPO). Second, personnel requirements differ: Chinese medicine retailers must employ a sufficient number of qualified Chinese medicine practitioners according to the shop’s size, such as Chinese herbal medicine dispensers or Chinese medicine dispensers, whereas Western medicine wholesalers must appoint an RP. Third, premises requirements differ: Chinese herbal medicine retail shops need designated areas for displaying, storing and dispensing Chinese herbal medicines, and must comply with the storage guidance in the Hong Kong Chinese Materia Medica Standards; Western medicine wholesale warehouses place greater emphasis on temperature and humidity control, security and logistics management. Finally, the governing legislation differs: the former is mainly governed by the Chinese Medicine Ordinance (Cap. 549), while the latter is governed by the Pharmacy and Poisons Ordinance (Cap. 138).

📘 Regulatory basis

The Chinese Medicine Ordinance (Cap. 549) and its subsidiary legislation provide the main legal framework for licensing Chinese medicine traders. The Pharmacy and Poisons Ordinance (Cap. 138) and its subsidiary legislation provide the legal basis for regulating Western medicine distributors.

📗 Drew Tang's recommendations

We recommend that clients clearly define their business model before deciding which application to pursue. Rengangyongsheng (Hong Kong) Limited has extensive experience handling both types of licence application and can tailor an application strategy to your specific business (retail or wholesale, Chinese medicine or Western medicine), helping you avoid going down the wrong path by confusing the requirements of the two systems.

📕 Risk notice

The greatest risk is “mixing things up” by preparing a Chinese medicine licence application using the approach for a Western medicine licence, or vice versa. For example, equipping a Chinese medicine shop with an expensive, comprehensive air-conditioning system while overlooking the requirement to store products according to the characteristics of Chinese medicines. This mismatch in understanding can result in numerous non-compliances during the on-site inspection and lead to application failure.

Q213 · 从递交申请到最终获批,申请一个西药批发商牌照通常需要多长时间?独立链接
This is a question of great concern to all applicants. According to the service pledge published by the Drug Office, Department of Health, it aims to complete the processing of wholesale dealer licence applications within 5 months of receiving all the required documents and fees. However, this is only an ideal timeframe. In our practical experience, the duration of the entire process depends on several factors. If your application documents are impeccable, the premises pass inspection first time, and the Person-in-Charge performs well, approval within 5 to 6 months is entirely possible. However, if there are any setbacks along the way—for example, further documents are required, the premises need rectification, the Person-in-Charge changes, or a committee interview is needed—the process may take 9 months or even more than 12 months. A more realistic expectation is therefore 6 to 9 months.

📘 Regulatory basis

The “performance pledges” published on the Department of Health website are internal management targets intended to give the public a general indication of timescales. They are not legally guaranteed, and actual processing times vary according to the complexity of each case and the volume of applications.

📗 Drew Tang's recommendations

Time is money. To reduce the approval timeframe as much as possible, we follow a “zero-defect” application principle. Before formal submission, we conduct several rounds of internal review to ensure that everything is in order. We will prepare a detailed project schedule for you, setting out the objectives and milestones for each stage so that you have a clear overview of the entire process. Choose us for the most efficient route to approval.

📕 Risk notice

The greatest time risk is underestimating the complexity of the preparation work and trying to handle the application yourself. Many applicants unfamiliar with the process and standards spend a great deal of time at the initial preparation stage and submit low-quality materials, leading to repeated requests for further information and remedial work. The overall timeframe ultimately far exceeds expectations, substantially affecting the business plan.

Q254 · 我计划申请中药材零售商牌照,其政府收费与西药牌照有何不同?独立链接
Government fees for an application to retail Chinese herbal medicines differ from those for Western medicine licences. Applications are handled by the Chinese Medicines Board under the Chinese Medicine Council of Hong Kong (CMCHK). Specifically, the application fee for a Chinese herbal medicine retailer licence is HK$770, and the issue fee upon successful approval is HK$1,160. By comparison, the application and issue fees for a Wholesale Dealer Licence are HK$1,030 and HK$2,150 respectively. Although government fees alone make Chinese medicine licences appear slightly less expensive, this does not mean the overall start-up costs are lower; other investments remain the main expenses.

📘 Regulatory basis

The relevant fees are prescribed in the subsidiary legislation, the Chinese Medicines Regulations, under the Chinese Medicine Ordinance (Cap. 549 of the Laws of Hong Kong). The Regulations list the statutory fees for applications, renewals and other matters relating to the different Chinese medicine business licences, including retail, wholesale and manufacture.

📗 Drew Tang's recommendations

Although government fees vary, when preparing your budget you should focus on common major expenses such as shop rent, storage facilities that comply with the Hong Kong Chinese Materia Medica Standards, including protection against damp and insect infestation, staff training and the cost of engaging Chinese medicine professionals. These are the key factors determining your total investment.

📕 Risk notice

Do not underestimate the complexity and funding requirements of starting a Chinese herbal medicine retail business because government licence fees are low. Quality control, traceability management and storage conditions for Chinese herbal medicines are subject to stringent requirements. Insufficient investment in these areas may not only result in the licence application being rejected, but could also lead to severe legal penalties for selling substandard herbal medicines.

Q255 · 牌照续期是否需要付费?西药和中药牌照的续期费用分别是多少?独立链接
Yes, all pharmaceutical and Chinese medicine licences are non-permanent and must be renewed periodically, with the applicable fees paid. For western medicine licences, such as a pharmaceutical product wholesaler licence, the annual renewal fee is 2,150 units, the same as the initial issue fee. An annual fee must also be paid each year for an Authorised Seller of Poisons (ASP) (pharmacy) licence. For Chinese medicine licences, such as a retail licence for Chinese herbal medicines, the annual renewal fee is 1,160 units. These renewal fees are necessary ongoing expenses for maintaining your lawful right to operate and must be paid on time.

📘 Regulatory basis

Renewal fees for Western medicine licences are specified in the Third Schedule to the Pharmacy and Poisons Regulations (Cap. 138A). Renewal fees for Chinese medicine licences are specified in the Chinese Medicine Regulation (subsidiary legislation under Cap. 549). The regulatory authorities review these fees periodically and may adjust them.

📗 Drew Tang's recommendations

We strongly recommend setting up a “compliance calendar” that clearly marks important dates, such as licence renewal dates and payment deadlines. The Drug Office or Chinese Medicines Board usually sends renewal notices in advance, but as the licence holder, you remain ultimately responsible for ensuring timely renewal. Include this annual expense as a fixed item in your annual financial budget.

📕 Risk notice

Failure to pay the renewal fee on time will cause the licence to expire automatically. Once the licence has expired, you must immediately stop all related pharmaceutical business activities; otherwise, your operations will be illegal. Reapplying for a licence is time-consuming and demanding, and may involve more stringent scrutiny. Any delay could therefore have a disastrous impact on your business.

Q261 · 总体来看,从零开始设立一家符合标准的西药批发商,我应该准备多少启动资金?独立链接
Establishing a compliant wholesaler of Western medicines is a substantial capital investment. In our experience, a comprehensive start-up budget should cover the following core areas. First, premises costs, including at least 3 months’ rental deposit and rent in advance, as well as basic fitting-out costs. Second, compliance system establishment, including a complete set of pharmaceutical manufacturing quality management (QMS) documents, temperature and humidity monitoring and recording equipment, and installation of security systems. Third, professional service fees payable to consultancy firms such as ours. Finally, and most importantly, working capital: you need to reserve at least 6–9 months of operating funds to pay staff salaries, rent, utilities and purchases of the initial stock of medicines. Overall, we recommend preparing at least HKD 1,500,000 to HKD 3,000,000 in start-up capital for a small or medium-sized wholesaler of Western medicines.

📘 Regulatory basis

The Department of Health’s Guide to the Licensing of Wholesale Dealers of Pharmaceutical Products sets out in detail the requirements for premises, storage, the Quality Management System and personnel. Your start-up capital budget must be based on fully meeting these statutory requirements.

📗 Drew Tang's recommendations

We strongly recommend completing a detailed business plan and financial projections before committing any funds. These are not only a basis for internal decision-making, but also indispensable documents when seeking bank loans or investors in future. Do not “muddle through”; every step should be carefully planned.

📕 Risk notice

A severely inadequate start-up budget is a leading cause of new business failure. Compliance costs are particularly high in the medicine industry. If working capital runs out before the business is established, all the initial investment will be at risk. Overly optimistic sales forecasts are a common cause of budget shortfalls.

Q288 · 我计划同时经营西药批发和中成药批发,是否需要为这两个业务设立独立的财务账目?独立链接
Although the law does not require separate legal entities or bank accounts for different business lines within the same company, from a management and compliance perspective we strongly recommend setting up separate “cost centres” or “profit centres” in your accounting system for wholesale of western medicines and wholesale of proprietary Chinese medicines. This means you should be able to track and distinguish clearly the sales revenue, procurement costs, inventory value and related operating expenses for each. This gives you a more detailed management perspective and allows you to assess the profitability of each business area accurately.

📘 Regulatory basis

Western medicines and Chinese medicines are regulated by the Drug Office, Department of Health and the Chinese Medicine Council of Hong Kong respectively, under different regulatory frameworks (Cap. 138 vs Cap. 549). Providing clear, separate business records during inspections by the respective regulatory authorities is an important part of demonstrating compliant operations.

📗 Drew Tang's recommendations

Clear separation of accounts can help you make better-informed business decisions. For example, if you find that the profit margin for your proprietary Chinese medicine business is far higher than that for your Western medicine business, you may decide to allocate more resources to the former, or vice versa. Without separate accounting, all your financial data is a muddle and cannot be analysed effectively.

📕 Risk notice

If accounts are unclear or mixed together, a serious compliance issue in one business segment (for example, the discovery of illegally imported Western medicines) may affect your company’s entire licensing eligibility, including its otherwise compliant Chinese medicine business. Financial segregation can provide a firewall to some extent and reduce the likelihood of risk spreading.

Q370 · 作为持牌中药材批发商,我们是否需要遵守“良好分销规范”(GDP)?独立链接
Although the “Good Distribution Practice” (GDP) currently required by Hong Kong legislation primarily concerns the Code of Practice for Pharmaceutical Wholesalers for western medicine wholesalers, its core principles are equally important in protecting the quality of Chinese herbal medicines during storage and distribution, and are regarded by regulators as best practice. Chinese herbal medicines are also exposed to risks from changes in temperature and humidity, insect infestation, mould and cross-contamination. Accordingly, as a responsible Chinese herbal medicine wholesaler, you should voluntarily adopt and implement core GDP principles. These include establishing a quality management system; ensuring staff are appropriately qualified and trained; maintaining compliant storage facilities, such as adequate ventilation and protection against damp and pests; applying effective inventory management, such as first in, first out; keeping complete purchase and sales records for traceability; and establishing procedures for handling complaints and returns.

📘 Regulatory basis

The Chinese Medicine Ordinance (Cap. 549) does not currently require wholesalers of Chinese herbal medicines to obtain GDP certification. However, the Practice Guidelines for Retailers and Wholesalers of Chinese Herbal Medicines issued by the Chinese Medicine Council of Hong Kong contain many requirements consistent with GDP principles.

📗 Drew Tang's recommendations

We strongly recommend that Chinese herbal medicine wholesalers proactively adopt GDP. This can significantly improve the quality of your herbal medicines and operational efficiency, reduce risks, and give you an important competitive advantage by demonstrating your professionalism and reliability to upstream suppliers and downstream customers. You can use the GDP guidelines for Western medicines as a model, adapting them as appropriate to the characteristics of Chinese herbal medicines to establish a QMS suited to your business. Rengangyongsheng (Hong Kong) Limited can provide related consultancy and system development services.

📕 Risk notice

Although it is not mandatory, you may still be legally and commercially liable if Chinese herbal medicines you distribute develop quality problems, such as mould or contamination, due to improper storage or transport. As industry standards continue to rise, extending GDP requirements to Chinese herbal medicines is an increasingly likely trend. Responding only after the change takes effect will be much more costly and difficult.

Q401 · 我的西药批发商牌照即将到期,具体的续期流程是怎样的?独立链接
An application to renew a Wholesale Dealer Licence should be submitted within the 3 months before the licence expires, but no later than the expiry date. You must submit the designated renewal application form to the Drug Office, Department of Health, together with relevant documents, such as a copy of the company’s Business Registration Certificate, the company’s annual return and payment of the renewal fee. The Drug Office will review your application and may arrange an on-site inspection to ensure that your business operations, premises and facilities, and Quality Management System still meet licensing requirements. The renewal process usually takes several weeks. We recommend preparing early to avoid disruption to your business if the licence expires.

📘 Regulatory basis

Under section 18 of the Pharmacy and Poisons Regulations (Cap. 138A), licence holders must apply for renewal in the prescribed manner before the licence expires.

📗 Drew Tang's recommendations

RGYS may assist with document preparation and project coordination within the written scope of services; the respective responsible parties must verify personnel qualifications and statutory roles and take responsibility for professional judgements, while approval is determined independently by the competent authority. Experience tells us that all documents must be prepared in advance, particularly records of updates to the quality management system (QMS). The Drug Office has extremely stringent requirements for document completeness and compliance, and any omission may delay approval.

📕 Risk notice

If your licence is not successfully renewed before its expiry date, it will lapse. Continuing to operate a wholesale business in Western medicines will constitute unlicensed operation, which is a criminal offence and may result in a substantial fine or even imprisonment.

Q409 · 在什么情况下,违规经营药品会从行政处罚上升到刑事检控?独立链接
Whether a breach in the course of dealing in medicines will lead to criminal prosecution depends mainly on its nature and seriousness. Serious offences involving public health and safety, or conduct with an obvious fraudulent intent, are highly likely to result in criminal prosecution. Examples include operating any type of medicine business without a licence; selling or possessing unregistered pharmaceutical products (“counterfeit medicines”); selling proprietary Chinese medicines containing undeclared Western medicine ingredients; illegally selling antibiotics or dangerous drugs; and adulterating medicines with harmful substances. Such cases are usually investigated jointly by the Department of Health and the Commercial Crime Bureau of the Hong Kong Police Force, with the Department of Justice deciding whether to prosecute.

📘 Regulatory basis

The Pharmacy and Poisons Ordinance (Cap. 138), the Chinese Medicine Ordinance (Cap. 549) and the Undesirable Medical Advertisements Ordinance (Cap. 231) all contain provisions on serious offences that may lead to criminal prosecution.

📗 Drew Tang's recommendations

The distinction between an administrative breach and a criminal offence is sometimes blurred. Our principle is to never cross the red lines involving “fake” (unregistered products), “poisons” (dangerous drugs) or “deception” (false claims). Compliant operations are the only safeguard.

📕 Risk notice

The consequences of a criminal conviction go far beyond a fine. The person-in-charge may face imprisonment and acquire a permanent criminal record. The company’s reputation will be completely destroyed, making it virtually impossible to establish itself again in the pharmaceutical industry.

Q411 · 申请牌照续期的费用是多少?如果迟交会有罚款吗?独立链接
Renewal fees differ between licence types. For example, the current renewal and issue fee for a Western medicine Wholesale Dealer Licence is HK$2,150, while the renewal fee for a Listed Seller of Poisons is lower. The key point is that the legislation does not provide for “late filing fines”. If you miss the deadline for submitting a renewal application before the licence expires, the consequence is not a fine; the licence simply becomes invalid. This means you must stop business immediately and submit a completely new licence application. The overall process and cost are far greater than those of timely renewal. Renewal must therefore be treated as a top priority.

📘 Regulatory basis

Fees for each licence are prescribed by the relevant subsidiary legislation and may be adjusted from time to time. Mandatory licence renewal deadlines are set out in core legislation such as the Pharmacy and Poisons Regulations.

📗 Drew Tang's recommendations

The fee itself is a minor matter, but the deadlines behind it are critical. Rengangyongsheng’s client management system sends multiple advance renewal reminders to clients who have signed up and helps prepare documents, to avoid the disastrous consequences of business interruption caused by a moment’s oversight.

📕 Risk notice

Do not mistake renewal failure for a fine-related issue. Continuing to operate after a licence has lapsed constitutes the criminal offence of operating without a licence and may lead to prosecution, with serious consequences.

Q422 · 我持有西药批发商牌照,可以偶尔向最终消费者少量销售药品吗?独立链接
Absolutely not. The type of licence strictly defines the scope of your business. A Wholesale Dealer Licence authorises you to supply medicines to specified parties, such as other licensed wholesalers, licensed manufacturers, registered pharmacies, hospitals and registered doctors. It is, by nature, a B2B (business-to-business) activity. You must not sell medicines directly to end consumers, regardless of the quantity. Direct sales of regulated medicines to the public are the exclusive right of an Authorised Seller of Poisons (ASP) (pharmacy) or a Listed Seller of Poisons (LSP).

📘 Regulatory basis

The Pharmacy and Poisons Regulations (Cap. 138A) clearly define the scope of authorisation for different licence types. Operating outside that scope is an explicit breach.

📗 Drew Tang's recommendations

Please provide rigorous training to your sales team to ensure they clearly understand the types and qualifications of customers. Establishing a customer qualification review procedure to verify a customer's licence or registration status before opening an account is an effective way to prevent non-compliant sales.

📕 Risk notice

Selling medicines to the public as a wholesaler not only breaches your licence conditions and may result in disciplinary action, but may also be regarded in law as unlicensed retailing, exposing you to the risk of criminal prosecution.

Q426 · 作为持牌西药批发商,我需要保存哪些交易记录?需要保存多久?独立链接
Under the Good Distribution Practice (GDP) requirements for wholesale dealers in medicines, you must keep detailed records of the receipt and supply of all medicines to ensure complete traceability. Records should include, at a minimum: the name of the medicine, dosage form, strength, batch number, expiry date, transaction date, name and address of the supplier or recipient, and quantity involved. All records must be properly kept and made available for inspection by Department of Health inspectors at any time. The law requires these records to be retained for at least two years from the transaction date.

📘 Regulatory basis

The Pharmacy and Poisons (Manufacturers and Wholesale Dealers) Regulations and GDP guidelines set out clear statutory requirements on the types of records to be kept and their retention periods.

📗 Drew Tang's recommendations

We strongly recommend that clients use an electronic inventory and sales management system (ERP). This not only efficiently and accurately generates and retains all statutory records, but also enables you to quickly identify affected batches and customers when a medicine needs to be recalled, greatly enhancing your responsiveness.

📕 Risk notice

Incomplete or inaccurate record-keeping is one of the most common breaches identified during Department of Health inspections. This may lead not only to a warning or disciplinary action, but, more importantly, leave you unable to trace the distribution of products effectively in the event of a medicine safety incident, exposing you to substantial legal and compensation risks.

Q437 · 我是否可以将药品存放在持牌地址以外的地方,例如迷你仓?独立链接
Absolutely not. Under Hong Kong law, all regulated medicines, whether Western medicines or proprietary Chinese medicines, must be stored at licensed premises specified on the licence and approved by the regulatory authority. The facilities at these premises, including temperature and humidity controls, security systems and fire prevention measures, are subject to rigorous scrutiny to ensure the quality and safety of the medicines. Unapproved external storage locations, such as offices, homes or mini-storage units, do not meet statutory storage requirements. Storing medicines at these locations is a serious breach.

📘 Regulatory basis

Both the Good Distribution Practice (GDP) for Wholesale Dealers in Medicines and guidance such as the GMP for proprietary Chinese medicines strictly require medicines to be stored at qualified premises.

📗 Drew Tang's recommendations

If your licensed warehouse does not have sufficient capacity, the only lawful solution is to apply to expand the area of the existing licensed premises or apply for a new, suitably qualified licensed warehouse. Rengangyongsheng (Hong Kong) Limited can assist you in finding suitable storage space and completing the licence application or change procedure.

📕 Risk notice

Storing medicines at an unapproved location not only puts their quality at risk; more seriously, if this is discovered, the regulatory authorities may consider that you are attempting to conceal or distribute medicines of unknown origin, triggering a serious loss of trust and disciplinary action.

Q439 · 针对中成药的监管,和西药相比,在违规处罚方面有什么主要不同?独立链接
Although proprietary Chinese medicines and Western medicines are regulated by different bodies (the Chinese Medicine Council of Hong Kong and the Pharmacy and Poisons Board), their regulatory philosophies and penalty principles are similar, with the protection of public health as the primary objective. The main differences lie in the specific legal bases and certain types of non-compliance unique to each. For example, regulation of proprietary Chinese medicines focuses particularly on quality standards for “heavy metals and toxic elements”, “pesticide residues” and “microbial limits”. Breaches of these standards are serious forms of non-compliance specific to proprietary Chinese medicines. Proprietary Chinese medicines are also subject to the issue of “unregistered proprietary Chinese medicines”, similar to “unregistered pharmaceutical products” in the case of Western medicines. In general, penalties for serious offences such as unlicensed operations and the sale of counterfeit or substandard products are severe for both, including substantial fines and imprisonment.

📘 Regulatory basis

The Chinese Medicine Ordinance (Cap. 549) is the main legal framework for regulating proprietary Chinese medicines, while Western medicines are primarily regulated under the Pharmacy and Poisons Ordinance (Cap. 138).

📗 Drew Tang's recommendations

Whether you deal in Chinese or Western medicines, the core principles of compliance are the same: ensure that products are safe, effective and of controlled quality, and that their sources and destinations are clear and traceable. Our compliance consultancy is tailored to each client's specific business type.

📕 Risk notice

Do not assume that Chinese medicines are subject to more lenient regulation than Western medicines. In recent years, Hong Kong has continued to tighten safety standards and enforcement for proprietary Chinese medicines, particularly in tackling products containing undeclared Western medicine ingredients or excessive levels of heavy metals.

Q441 · 我的西药批发商牌照续期申请被拒绝了,主要可能是什么原因?独立链接
Refusal of a renewal application is uncommon but has serious consequences, and usually stems from fundamental compliance issues. The most common reasons include serious breaches during the previous licence period, such as repeated warnings or disciplinary action; major deficiencies identified during the renewal inspection that were not corrected promptly, particularly in the Quality Management System (QMS), medicine traceability or storage conditions; the company or one of its key personnel being convicted of a criminal offence, leading the regulator to consider it no longer a ‘fit and proper’ licence holder; or failure to provide key documents required for the renewal review, such as a valid Business Registration Certificate or SOP documents meeting GDP requirements.

📘 Regulatory basis

When assessing renewal applications, the regulatory authority comprehensively evaluates the licence holder’s compliance throughout the licence period to determine whether it remains suitable to hold the licence.

📗 Drew Tang's recommendations

The best way to avoid renewal refusal is to maintain ongoing compliance in day-to-day operations. Our annual compliance consultancy service for clients is intended to keep their operations inspection-ready through regular reviews and follow-up, and to eliminate renewal risks at source.

📕 Risk notice

If a renewal application is refused, it is equivalent to revocation of the licence and your business must cease immediately. This is not only a major commercial setback; it also means that the compliance credibility you have built up is gone.

Q443 · 我是否可以在同一个持牌处所内,同时经营西药批发和中成药批发业务?独立链接
Yes, but you must apply for and hold two different licences for the premises: a Wholesale Dealer Licence issued by the Department of Health and a wholesaler’s licence for proprietary Chinese medicines issued by the Chinese Medicine Council of Hong Kong. In addition, you must establish clearly segregated physical areas within the premises for storing Western medicines and proprietary Chinese medicines separately, to prevent cross-contamination and confusion. Two separate Quality Management Systems and record-keeping systems are also essential, each meeting the GDP requirements for Western medicines and the relevant requirements for proprietary Chinese medicines. During inspections, the regulatory authorities will independently inspect each area and system.

📘 Regulatory basis

Western medicines and proprietary Chinese medicines are regulated under different legislation and by different regulatory authorities. They therefore require separate licences and compliance systems, even when operated at the same physical address.

📗 Drew Tang's recommendations

RGYS may assist with document preparation and project coordination within the written scope of services; the respective responsible parties must verify personnel qualifications and statutory roles and take responsibility for professional judgements, while approval is determined independently by the competent authority. The key is careful planning at an early stage to ensure that the warehouse layout, workflows and document systems are clearly separated and independently compliant from the outset, avoiding confusion in subsequent operations.

📕 Risk notice

If Western medicines and proprietary Chinese medicines are treated as one in management, for example by sharing stock areas or combining records, this will constitute a serious non-compliance in the assessment of both licences and may put both licences at risk.

YOUR NEXT STEP

Plan Your Hong Kong Pharmaceutical Licensing Project with Drew Tang

Business Manager Tang Shangyong (Drew Tang) will review your products, operating model, licence type and preparation requirements with you one-to-one. The precise service scope is confirmed in writing; pharmaceutical duties are carried out by legally qualified personnel, and approvals are determined by the competent authorities.

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