Ayurvedic Medicine Formulations

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Product Code 313201005
Quality and Standards As per Ayurvedic Shastra.
a) Capacity
1. Ashokarishta 3000 Bottles
2. Laxmibilas Ras (N) 200 Kgs.
3. Bhaskar Lavan 6000 Kgs.
Production Capacity: Qty 4. Sitopaladi Churna 3000 Kgs.
5. Chyavan Prash 3000 Kgs.
6. Mritasanjivani 3000 Lts.
7. Gandhkadi Malham 150 Kgs.
(b) Value: Rs 39,30,000
Uploaded on December 2006


Ayurvedic system of medicine is as old as the Vedic age. Now–a–days people give preference to the Ayurvedic medicines as the allopathic medicines are costlier and have side effects. Ayurvedic medicines are based on plants, animals extract and minerals both in single ingredient drugs and compound formulations, however, Ayurveda does not rule out any substances from being used as a potential source of medicine.

Ayurvedic compound formulations are mainly divided into two groups viz. (1) Kasthausadhi (predominantly plant drugs) and (2). Rasausadhi (predominantly metals and minerals).

There are several categories of Kasthausadhi formulations such as Asavaristra, Avleha, Grafa Churena, Taila etc. and of Rasausadhis such as Bhasma, Pisti, Lauha, Kapibadkva, Rasayana etc.

The Ayurvedic drugs are derived from vegetable sources from the various parts of the plant like root, leaf, flower, fruit extrude or plant as a whole.

There are about 21 varieties of compound formulations in which some of the single drugs of animal origin (52 Nos). Mineral origin (55 Nos.) and plant origin (351 Nos.) are used. There details of the single drugs and other particulars can be had from the Ayurvedic formulary of India, published by Govt. of India, Ministry of Health and Family Welfare.

Market Potential

There is more recognition for nonallopathic system of medicines in the country now than the past few decades. The concept of alternative system of treatment notably herbal and Ayurvedic medicines therapy is gaining ground and attracting attention worldwide. There is more and more scientific research being conducted in our country for treatment of various diseases by Ayurvedic and herbal therapy. A large number of diseases have Ayurvedic treatment much superior to the other system of medicines and this has been recognized world over.

Thus Ayurvedic medicines/drugs are becoming popular day-by-day and demand for its usage is increasing not only in the country but also worldwide the inherent quality of Ayurvedic treatment of having negligible side/after effects, has made great potential for its production. A large number of medicinal plants, herbs, shrubs etc. are available in our country in the hilly/forest regions. In order to boost the production of Ayurvedic/herbal drugs, Govt. of India has also set up a Board namely Indian system of Medicine and Homeoepathy to encourage production of Ayurvedic medicines specially in the regions where basic raw materials are available in plenty. Thus there is a great potential for Ayurvedic medicines not only in the country but for export purpose also.

Basis and Presumptions

  • The project is based on two shift basis and 300 working days in a year.
  • Cost of a machinery and equipment indicated in the profile refer to a particular make and prices are approximate to those prevailing at the time of preparation of project profile.
  • Depreciation on machinery and equipment has been taken @ 10% of the cost of machinery and equipment.
  • Break-even point has been calculated at the full capacity utilization.
  • The margin money has been taken 25% of the total capital investment.

Implementation Schedule

The following steps are involved in the implementation of the project

Selection of site 1 month
Preparation project profile 1 month
Registration of the unit form DI/DIC 15 Months
No objection certificate from Pollution Control Board, 15 days
Approach commercial bank 1 month
Installation and commissioning and of machinery and equipment 15 days
Recruitment of staff 1 month
Arrangement of raw materials 15 days

Keeping in view the overlaps of the activities, normally 6 to 8 months are required to implementation project.

Technical Aspects

Process of Manufacture

Ayurvedic medicines are available in the form of powder, tablets, pills, liquid and semi-solid which are classified into the following different categories

  • Aristha and Asavsa
  • Rasa Rasayan
  • Lauha
  • Bati
  • Churna
  • Avaleha
  • Ghrita
  • Parpati
  • Taila
  • Goggulu

Method of Preparation

Aristha and Asava

Asavas and Aristhas are made by soaking the herbs either in powder form or in the form of decoction (kasaya) in a solution of sugar or jugglery, as the case may be, for a specific period of time, during which it undergoes a process of fermentation generation alcohol and facilitates the extraction of the active ingredients contained in the herbs.

Rasa Rasayan

Ayurvedic medicines containing mineral drugs as main ingredients are called Rasa rasayan or Ras-yoga. They are in pill form or in powder form/ forest, minerals such as Anrala, Swarna, Rajata, Tamra etc. and sulphur impurified state are used to convert bhasma form, called kajuali then other drugs are added in small quantities, mixed well and grounded to form fine powder.


Lauha kalpas are preparation of Loha Bhasma as main ingredient with other drugs. The other active ingredients are made to fine powder and mixed with Loha Bhasma.

Vati or Gutika

Medicines prepared in the form of tablets or pills are kown as vati or gutika, these are made of one or more drugs of plant, animal or mineral origin.


Churna is a fine powder form of drugs. All these herbs and other active ingredients are cleaned, dried and powdered together by mechanical means to the fineness of at least 80 mesh.

Avaleha Madak Paak

Avaleha or lehya is a semi-solid preparation of drugs. These are prepared by the additon of jagger sugar or sugar dandy and boiled with prescribed drug juices decoction, Honey, if required, is added when the preparation is cold and mixed well.


Ghrita are preparations in which ghee is boiled with prescribed Kasayas (Decoction) and kalkas of drugs according to formulation as per Ayurvedic formulary.


First Kajjali is prepared with purified Mercury and sulphur. Then other drugs as per Ayurvedic Formulae are added and mixed well in grinder. The powder is then heated in iron vessel and melted. This melted material is purified as per Ayurvedic method, cooled and again flakes of medicines are powdered.


Tailas are prepared by boiling prescribed kasyas (decoction ) and kalkas of drugs in oils according to the formula prescribed in Ayurvedic formulary.


Ayurvedic medicines prepared by the exudates, and obtained from the plant commiphara mukul, are known as Goggulu. There are five different varieties of Goggulu in Ayurvedic Shastra but usually two varieties, mahiskasa and kanaka are preferred for medicinal preparation.

Exudates in small pieces are taken in a piece of cloth and boiled in gomutara or Dugdha or Triphala kasayua until the exudates pass into the fluid through the cloth to the maximum. The fluid after filtering is boiled till it forms a mass. After drying, the mass is formed into a paste by adding ghee till it becomes waxy.

Quality Control and Standards

At present there is no pharmacopial standard on each of the active ingredients of Ayurvedic medicine like allopathic medicine. For standardization and quality control of Ayurvedic drugs, various steps can be followed like physical description, physical tests, pharmacoginised techniques etc, to ascertain the species of plant and study their pharmacoginostic character for the purpose of identification detection and analyzing the crude drug.

Generally quality of Ayurvedic products is fully dependent on the quality of raw materials and process of manufacture. The quality control process of some Ayurvedic formulations can be contained from 'Pharmacopica Laboratory of India Medicine, near ALTC, Ghaziabad (U.P)'. The products are to be manufactured as per Indian system of medicines of Ministry of Health.

Production Capacity (per annum)


Ashkarishta 6000 Bottles
Laxmibilas Ras (N) 400 Kgs.
Bhaskar Lavan 12000 Kgs.
Sitopaladi Churan 6000 Kgs.
Chavan Prash 6000 Kgs.
Mritasanjivani 6000 Kgs.
Gandhkadi Malham 600 Kgs.
Value Rs. 2,64,36,000

Financial Aspects

Fixed Capital

(i) Land and Building


Amount (Rs.)

Land 1000 Sq. mt. @ Rs 4,000 40,00,000
Covered Area 600 Sq. Mtr @ Rs.10000 60,00,000
Total 1,00,00,000

(ii) Machinery and Equipments

Sl. No.


Rate (Rs.)

Qty. (Nos.)

Price (Rs.)

1. S.S.Vat, 1,500 Kg. Capacity 1,00,000 1 1,00,000
2 S.S.Vat, 750 Kg. Capacity 70,000 1 70,000
3 Fermenter 500 Iit Cap. 60,000 1 60,000
4 Sintered Glass Crucible 10,000 10 1,00,000
5 Disintegrator with 7.5 H.P. size 22" with sieves of different mesh sizes 2,00,000 1 2,00,000
6 Micro pulverizer with 5 H.P. and 2.5 H.P. Motor 1,50,000 1 1,50,000
7 Tablet making machine 1,00,000 1 1,00,000
8 Bottle filling machine 5,00,000 1 5,00,000
9 Bottle sealing machine 20,000 1 20,000
10 S.S Pastle and motor 20,000 1 20,000
11 S.S Mixing vessel with motor 200 Litre capacity 1,50,000 1 1,50,000
12 Distillation unit 500 Lt. Cap. Electrically heated fitted with pipeline made of stainless steel AISI 316.12 kW 5,00,000 1 5,00,000
13 Water treatment plant 100 liters cap 3,00,000 1 3,00,000
14 Filtering unit fitted with paper and cloth 50,000 1 50,000
15 Furnace 50,000 2 1,00,000
16 Weighing scale 100 Kg. cap. 40,000 1 40,000
17 Weighing scale 10 Kg. Cap 35,000 1 35,000
18 Glass jars with stopper 25 liters. Cap 1,000 20 20,000
19 Glass jars with lid 3 kg. Cap 500 20 10,000
20 Vessel covered 100 Litres 10,000 5 50,000
21 Air oven with 12 trays with 2.5 HP motor 50,000 1 50,000
22 Bottle washing machine 1,50,000 1 1,50,000
23 Bottle dryer 1,50,000 1 2,50,000
24 Aluminium container for storage of powder etc. 3,000 50 1,50,000
25 Testing equipments     8,50,000
26 Water, ETP, Clean room, generator   LS 15,00,000
27 Electrification and Installation @ 10%     6,42,000
28 Furniture and office equipment     5,00,000
29 Pre-operative expenses     5,00,000
Total 71,67,000

B. Working Capital (per month)

(i) Staff and Labour

Sl. No.



Salary (Rs.)

Total (Rs.)

1 Manager-Manufacturing Chemist 1 20,000 20,000
2 Analytical Chemist 2 12,000 24,000
3 Accountant-cum-typist 2 8,000 16,000
4 Clerk-cum-Typist 2 5,000 10,000
5 Skilled workers 10 4,000 40,000
6 Unskilled workers 12 3,500 42,000
7 Watchman 4 4,000 16,000
8 Sales representative 1 12,000 12,000
Perquisites @ 15% 40,000
Total 2,20,000

(ii) Raw Materials (per month)


Ind. Imp.


Rate (Rs.)

Value (Rs.)

Raw materials, different parts of plants drugs from animal origin, minerals, sugar, honey etc. are available indigenously and consumables including packing materials like glass bottles etc. Ind. - - 10,00,000

(iii) Utilities



Power 25,000
Fuel 15,000
Water 5,000
Total 45,000

(iv) Other Contingent Expenses


Total (Rs.)

Postage/Stationery 3,000
Travelling expenses and transport charges 50,000
Repair/Maintenance. 12,000
Sales Expenses 15,000
Advertisement/Publicity 25,000
Insurance 20,000
Consumable Stores 15,000
Total 1,40,000

(v) Working Capital (per month)



Staff and labour 2,20,000
Raw material 10,00,000
Utilities 45,000
Other contingent expenses 1,40,000
Total 14,05,000
(vi) Working Capital (for 3 Months) 42,15,000

C. Total Capital Investment

Fixed capital Rs. 1,71,67,000
Working capital (for 3 months) Rs. 42,15,000
Total Rs. 2,13,82,000

Financial Analysis

Cost of Production (per annum)


Total recurring expenditure 1,68,60,000
Depreciation on machinery and equipment @ 10% 6,67,000
Depreciation on furniture office 20% 1,00,000
Interest on total investment @ 12% 25,66,000
Total 2,01,93000
Or Say 2,01,93,000

Total Sale (per annum)


Ashokarishta 6000 Bottles 750 ml. @60 36,000
Lakhibilas Ras (N) 400 Kgs. 10 gm. @60 24,00,000
Bhaskarlavan 12000 Kgs. 100 gm. @90 1,08,00,000
Sitopaladi Churan 6000 Kgs. 100 gm. @90 54,00,000
Chyavan Prash 6000 Kgs. 100 gm. @60 36,00,000
Mritasanjivani 6000 Kgs. 300 gm. @120 24,00,000
Gandhkadi Malham 300 Kgs. 10 gm. @60 18,00,000
Total 2,64,36,000

Profit (per annum)

Rs. 2,64,36,000 - Rs. 2,01,93,000 = Rs. 62,43,000

Rate of Return


Net profit per year
------------------------- × 100

Total investment


= Rs. 62,43,000


------------------------- × 100




Net Profit Ratio


Profit per year
------------------------- × 100

Turn over per year


= Rs. 62,43,000





Break-even Point

Fixed Cost


Depreciation on machinery and equipment @ 10% 6,67,000
Furniture and office equipment @ 20% 1,00,000
Interest 12% p.a. 25,66,000
Staff and labour @ 40% 10,56,000
Miscellaneous @ 40% 6,72,000
Total 50,61,000

Fixed cost × 100

Fixed cost + profit


= Rs. 50,61,000 × 100

Rs. 5061000 + 62,43,000


Rs. 50,61,000

Rs. 1,13,09,000



Addresses of Raw Material and Plant Machinery Suppliers

  • M/s. Modern Mechanical Works
    1501, Qsim Jon Street,
  • M/s. Associated Instrument Manufacturers Pvt. Ltd.
    26, Asaf Ali Road,
    New Delhi-110006.
  • M/s. Amar Engineering works
    W-28, Raja Garden,
    New Delhi-110027.
  • M/s. Emkay (India) Trading Co.
    286, Garhiaya, Jama Masjid,
    New Delhi-110006.
  • M/s. Rank and Co.
    A-95/3, Wazirpur Industrial Estate,
    New Delhi-110052.
  • M/s. Juta Biotech
    215, Syndicate House,
    3, Old Rohtak Road, Inderlok,
  • M/s. International Machinery Manufacturing Co.
    3259, Farhat Ullah Street,
    Kucha Pandit,
    Lal Kuan,
  • M/s. Brintex Sales Corporation
    Electrical Division,
    55, Tagore Garden,
    New Delhi-110027
  • M/s. Harrisons Pharma Machinery (P) Ltd.
    4648/21, Shedumal Building,
    Darya Ganj,
    New Delhi-110002
  • M/s. Techmac Engineering Works
    310, Usha Kiran Building,
    Commercial Complex,
    Azadpur, Delhi-110033.
  • M/s. Bio Products Pvt. Ltd.
    221, Patparganj Industrial Area,
  • M/s. Engineers Syndicate
    A-2, F.F. Ring Road,
    Rajouri Garden,
    New Delhi-110027.
  • M/s. Co-operative Drug Factory of

Material Suppliers

Local Dealer in Herbs,
Medicinal Plants etc.

For further information please contact

Information Manager
TIMEIS Project
E-mail: timeis@ficci.com