Statistics from the State Forestry Administration show that the number of licensed bear farms has been reduced to 68, breeding about 7,000 bears nationwide by the end of 2006.

Moreover, in a bid to better regulate the industry, the government has not issued any new licenses to bear farms since 2006.

Zhang estimated there are currently about 10,000 bile bears in captivity.

Another pharmaceutical company that produces drugs using bear bile, Kaibao Pharma Co Ltd in Shanghai, was listed in early January 2010. The news was released on the company's website on Jan 8, 2010.

"Currently, there is no law in China to ban these kinds of companies issuing stocks as long as they get the bear bile from legal suppliers (registered bear farms)," said Chang Jiwen, a professor at the Institute of Law under the Chinese Academy of Social Sciences.

"We have seen the government make great efforts to gradually end this industry although this cannot be achieved in a short time," said Chang, who has been active in promoting legislation on animal welfare in China.

Research to find alternative herbs should be speeded up as both the government and the public have realized that it is important to achieve economic growth without harming animals, Chang stressed.