AS Shanghai's large discount pharmacies report booming business, 10 drug retailing companies expressed their intentions to do similarly to the local drug authority yesterday.

　　Currently, there are three discount drug stores in Shanghai: Kaixinren Pharmacy, Guoda Pharmacy's Community Central Store in Yangpu District and Leiyunshang Fuji Pharmacy in Zhabei District.

　　All are very popular among residents for their cheaper drugs. Their presence has made a strong impact on the city's drug retailing market.

　　Kaixinren drugstore, the first discount store opened locally two months ago, is working on new plans to further promote its business.

　　"Some people took buses for one or two hours to get to our store. We plan to open more branches in the city," said Liu Junjie, board director of the Jiangxi-based chain store.

　　The first branch will be in Fengxian District and more new branches in Changning, Minhang and Pudong are under consideration, Liu added.

　　Medicines in Kaixinren are 10 to 15 percent cheaper than the same products in other stores on average.

　　Local people have hailed the advent of such stores, preferring to buy their drugs at the discount outlets rather than at hospitals.

　　In addition, their presence has even posed a threat to the profits of small-sized medical facilities.

　　"The government encourages and supports companies to set up big discounting stores to favor citizens, especially in the regions and new residential areas with big population but few drugstores," said Wang Longxing, director of Shanghai Food and Drug Administration.

　　But they must provide qualified services, meet the nation's require-ments in drug quality, transportation, storage and sales, he added.

　　"Also, we request big discounting stores to locate outside the Inner Ring Road where there is no drug-store within 300 meters," Wang said.

　　Other pharmacies have said they are willing to compete in the discount market and have made preparations.

　　Zhu Huijiang, general manager of Shanghai Huashi Pharmacy Co, said price should not be the only index of judging a drugstore.

　　He said his company planned to open a discount store but had yet to decide on a location.

　　"To be frank, there is no big space for local pharmacies to cut drug prices," the general manager added.