Abstract: By analyzing the background and advantages for the TCM industry development in Fuzhou, this paper highlights a certain foreseeable bottlenecks, presents some market-oriented ideas and the 5-factor developmental principle, and proposes a plan of establishing 8 bases in the city, a marketing system combining production, distribution and wholesale operations, an industry with demonstration, vertically integration and new technology development capabilities, a support system encompassing RD and training, as well as, the financial and investment policies and mechanisms for the years to come.