How to Start Ayurvedic Medicine Manufacturing Unit – Ayurveda is an ancient healing therapy that enhances longevity, it’s also known as “Science of life”. Ayurveda is one of the ancient surviving medical systems in the world that started almost around 5000 years ago. If you want to Start the Ayurvedic Medicine Manufacturing Unit this blog will help you. Here we have provided all the details and procedures to start your own Ayurvedic Manufacturing company in India. Opening your own Ayurvedic business will always be profitable as nowadays people are moving towards the Ayurvedic system of medicines again.
The rising awareness about the harmful effects of the chemical ad medicines used in allopathic drugs will trigger the demand for herbal medicines and products in the coming future. Rising awareness, attractive marketing and promotional strategies adopted by popular brands such as Dabur, Himalaya will likely drive the sales for herbal hair care products in India in the coming years. According to WHO estimates, almost 80% of the population of many Asian and African countries depend on traditional medicine for primary health care. Indian ayurvedic products market is expected to grow at a CAGR of 14% during 2019-2024.
Steps to Start Ayurvedic Medicine Manufacturing Unit
If you are interested in Ayurvedic/Herbal Medicine Manufacturing then you have to take a manufacturing license for the manufacturing of ayurvedic medicine from your state Ayush department. I have compiled this blog to give an overview to Start Ayurvedic Medicine Manufacturing Unit in India.
1. Search Premises for Ayurvedic Manufacturing Unit
The first step to open your own manufacturing unit is to Search Premises for Manufacturing Unit. It can be Rented or Owned. Once an Ayurvedic business owner determines his or her facility needs and searches for and locates the right facility, it’s time for another decision regarding the business property: Do you buy or rent your Ayurvedic Manufacturing Unit? This question is raised in two contexts:
- The owner of the Ayurvedic Manufacturing Company would consider either a sale or a rental of the property.
- You are selecting from a group of competing sites, some of which are for sale and others which are for lease.
2. Choose Ayurvedic Company Name
Choosing a name for a new Ayurvedic company is always a difficult and most important task. We trust a product by a name, A name associated with that product. When we see a logo, A Name comes in our mind. Before Choosing a name for any business think few facts:
- The name of your company should Satisfy your Ayurvedic Business Identity Need.
- Your Ayurvedic company name should be Unique
- Letters in your business name play an important role. Make it short and simple so that it is easily rememberable and attract attention.
- Remember not to put any silent character in your Ayurvedic business name.
- The name should be technical. Ayurvedic names should have suffix or prefix related to Ayurveda.
- Last but not least, it should be unique in pronunciation and availability. No other firms should have resembled or similar names.
For more details visit our blog Best Names for Ayurvedic Company
3. Apply for Manufacturing License Number:
To manufacture Ayurvedic / Herbal products in India, one needs a license from AYUSH and not from FSSAI. Given Below are 3 types of manufacturing licenses issued by AYUSH :
- Complete Manufacturing License: is a full-fledged manufacturing license. In this case, you will be both marketing and manufacturing the product. Thus you will have to set up your own manufacturing unit.
- Loan License: is a manufacturing license where you loan a manufacturing unit of a third party manufacturer to make your products. Thus you will not have to own a manufacturing unit. You will have to apply for a Loan license with a GMP certified manufacturer and it will be issued to your company. Then you will have to get approval for your product from authorities.
- Contract Manufacturing / Third party manufacturing / White label Manufacturing / Product to Product manufacturing.: is a License where you will use the manufacturing license of a third-party manufacturer to manufacture the product. You will be just marketing the product. Thus you don’t have to own any manufacturing unit and don’t have to get any license. All licensing with the AYUSH office will be done by the manufacturer.
4. Apply for products approval along with Manufacturing License Number File:
Documentation and Procedure of Ayurvedic Manufacturing Unit ( Requirement may vary state to state or area to area ) needed to start Ayurvedic Company in India of your own.
- Application on prescribed Form 24-D.
- Prescribed Fees as mentioned
- Subject to the conditions of Rule 157 being fulfilled the license will be issued Form 25-D which will be valid for a period of some years from the date of issue.
- The requirement of schedule ‘T’ are to be fulfilled for which Departmental Inspection Team will conduct the
- inspection and submit its report on the prescribed Performa.
- Documents in respect of competent technical staff consisting of at least one person, who is a whole-time
- employee and who possesses the qualifications as mentioned below as competent person staff section.
- Site Plan of the premises.
- Attested copy of No Objection Certificate from Pollution Control Board.
- Power Availability Certificate from the Electricity Department.
- List of Machinery/Lab. Types of equipment.
- List of medicine to be manufactured.
- Project Report.
- Ownership proof or rent agreement
5. Apply for GST Number
As of July 1, 2017, any seller who wants to sell across India needs to enroll for GST (Goods and Services Tax), except if the seller sells goods or services under exempt categories. The GST registration process is entirely paperless which means that it will take place online or digitally. There will not be any hard copies or physical print outs required for the enrolment.
- Generate your GST Application form -m The first step is to obtain the Temporary Registration Number (TRN). To obtain this, you need a valid mobile number (an India number), email address and PAN (Permanent Account Number) for the business.
- Filling in your GST Application form: The form contains 10 sections/tabs. For this process, you need scanned copies of the following documents and some additional personal information: Valid Bank Account Number and IFSC and Proof of constitution/incorporation of business
- Registering your Digital Signature Certificate: In order to verify your GST application, you would need to digitally sign the form.
- Verify and Submit Your GST Application: You can submit the application by choosing any one of the 3 verification methods: Verification with DSC, Verification with e-signature and Verification with EVC.
6. Ayush Manufacturing License
Some of the documents you Required For Ayush Manufacturing License are:
- Incorporation / Proprietary / Other form of business
- The area of the manufacturing unit should be not less than 1285 sqft.
- DMR act [The Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954]
- (DMR act compliances must be followed by all manufacturers)
- Technical Officer (BMS doctor)
- Technical Officer(BSC with Bio.)
- Product information (what are the product going to be manufacture)
- Form of product [in what form (tablets/liquid/powder) product going to be manufacturing)
- Directors (related to the herbal domain) will be more preferable
7. After all these Approvals you can Start manufacturing of Ayurvedic Medicines
After all these approvals you can finally start your Ayurvedic medicine Manufacturer procedure. Below given are the requirements to Start Ayurvedic Medicine Manufacturing Unit
- Area Requirement depends on the number of sections you want to start. The minimum area required under the drug and cosmetic act are 1200 square feet.
- Machinery and Equipment: All the machines are in SS-304 and contact part in SS-316. These all Machinery and Equipments You need if you are thinking to start Ayurvedic Company in India.
- Laboratory Equipment: An Ayurvedic manufacturing unit either establish its own testing laboratory or unit can get testing done at government approved laboratories.
8. Start Selling Products
- You can sell Ayurvedic medicines and Herbal products online by building your website for the sale and purchase of Ayurvedic products but it is time consuming and expensive process.
- You can also use other common portals (Snap Deal, Flipkart, Amazon etc) to sell ayurvedic herbal products online.
- Another option is to sell Ayurvedic medicines and Herbal products offline directly in the Market by promoting your ayurvedic products directly to Ayurvedic practitioners or customers.
- You can also search for distributors all over India/World for your Ayurvedic/Herbal preparations. If you don’t want to do direct marketing, you can also sell your Ayurvedic products by appointing distributors all over India at pcd/franchise basis or appointing authorized distributors or importer at any country worldwide.
- You also have to comply with import-export in case of you are exporting to other countries.
We have listed above all the details about How to Start Ayurvedic Medicine Manufacturing Unit. We hope, we provided you the best information regarding How to Start Ayurvedic Manufacturing Company in India. For more, you can visit our official website.