The Shanghai Health and Family Planning Commission has issued licenses to 48 TCM pharmacies to open clinics and take the pressure off public hospitals.
Patients can use medical insurance at the clinics of five Traditional Chinese Medicine pharmacies, said Zhang Xiong, deputy director of the commission.
"The TCM pharmacies have over 400 kinds of medicines, especially those chain pharmacies. They are being encouraged to set up clinics and hire TCM doctors," Zhang told the Shanghai People's Congress, or the legislative body.
The doctors will only be able to prescribe TCM pills or herbal medicines that have to be made at home, Zhang said. The purpose was to stop doctors from selling healthcare products to patients in the clinics.
The district health authority will keep an eye on the clinics, Zhang said.
Among the first batch of pharmacies to win licenses are the century-old Tonghanchuntang, Leiyunshang and Tongrentang. Some 14 other pharmacies have applied for clinic licenses.
TCM doctors essentially listen and talk to patients and take pulse readings for a diagnosis.
"TCM doctors in pharmacies can attract patients and take some of the pressure off public hospitals," said Bai Wanqing, a local lawmaker.