On September 5th，2007，the National Development and Reform Commission of the People’s Republic of China（NDRC） published 〈the Guiding intentions in the 11th Five-year Plan for the Development of Medicine Industry〉，and looked forward to fundamentally changing the situation of 〈Raises the medicine by the drug〉 within five years. The NDRC believed that the reform of 〈Raises the medicine by the drug〉 could completely solve the problem of drug prices. But，we hoped that The NDRC should carry out self-criticism firstly. The ostensible issue of health reform was that the hospital reform was lagging behind，but the internal reasons lied in finance and price system reform.This article then reviewed that how China Pharmaceutical Enterprises Management Association referred a letter to the State Council，why pharmaceutical enterprises collectively mass-criticized 〈Raises the medicine by the drug〉，how the Ministry of Health wanted to abolish the policy of Hospital drugs addition rate question，and how the circle of health and medical care discussed Warmly the reform of 〈Raises the medicine by the drug〉.