Ayurvedic Industry in India

Ayurveda is an officially recognized system of medicine. The World Health Organization (WHO) recognizes it as ‘Traditional Medicine’ (TRM). The market size of ayurveda is estimated to be around 8000 crores and has a growth rate of 10-15 percent year on year.

Categories of medicines

Branded Medicine
Traditional Medicine

There are more than 30,000 branded and 1500 traditional products available in the market. Around 1500 crores worth ayurvedic medicine are exported every year.

60% of this is crude herbs to be manufactured into products outside India.

30% finished product shipped abroad for direct sales.

10% partially prepared products are finished in foreign countries.

Manufacturing units using herbal material for various purposes.

Pharmaceuticals 

Cosmetics and food supplements. 

Extracts and distilling oils for use by other industries and for exports.

There are 9,493 Ayurvedic manufacturing units.

Out of this 8000 units are small scale industries having an annual turnover of less than one Crore.

There are also some companies having an annual turnover of 50 Crores. Though the number of manufacturing units with higher turnover is less, still they are the ones which consume about 35% of the total raw material.

Ayurveda drug manufacturing units are mostly family owned business. The origin of most of these companies can be traced back to a “vaidya” (Ayurvedic Practioner).