The Kangmei Chinese medicinal material price index, a barometer of the traditional Chinese medicine (TCM) material market, dropped 0.02 percent to 1,245.48 points on Jan 1.

Covering more than 500 TCM materials including herbs and minerals from six major markets nationwide, the closely-watched index reflects the overall price trend in the country's TCM material market. It is released daily by Kangmei Pharmaceutical Co., Ltd, one of China's major TCM companies.

The index was approved by the National Development and Reform Commission of China in 2012 to offer more timely and accurate reference for TCM material growers, traders and pharmaceutical companies.

Traditional Chinese medicines, often given as oral liquid, granule and pills, typically use the combination of a number of medicinal materials, mostly herbs, to address health problems.