"TCM has a long history and a loyal following among Chinese people, especially those suffering from chronic diseases," said Liu Guohua, vice director of the Shanghai Health Bureau. "The key is how to standardize the research and service to keep the industry on a sound growth track."

Officials said the government will give extra aid, such as subsidies, to support research and reform of hospitals that provide TCM.

Starting this year, the hospitals will be required to regulate their service price, drug rates and purchase practices. An open bidding system will also be set up to ensure that patients get the best and efficacious drugs at reasonable prices.

Medical staff specializing in TCM will be given more access to professional scientific information; animals for experiments; and equipment for research on AIDS, cardiac disease and hepatitis, officials said.

To introduce TCM to the world and clear the "mystery" surrounding it, local medical facilities will establish links with their foreign counterparts.

(eastday.com March 22, 2003)