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 The Ayurvedic Medicine Manufacturers Organisation of India (AMMOI) has formally approached Union finance minister Nirmala Sitharaman with an ambitious proposal to double the budgetary allocation for the Ayurveda sector in the upcoming union budget.
Highlighting the sector's rapid post-pandemic growth, the organization noted that Ayurveda has transitioned from a USD 1.24 billion industry to one on track to reach a USD 50 billion valuation by 2030. To sustain this momentum, AMMOI is advocating for a 100% increase in funding across several critical departments and national schemes to position India as a global leader.
At the heart of the proposal is a request for the National Ayush Mission (NAM), with AMMOI seeking 2,550 crores, double the previous allocation of 1,275 crores, to expand the coverage of hospitals, dispensaries, and wellness centres. This funding is intended to further integrate traditional medicine into national health programs and significantly boost the export potential of ayurvedic products. The organization emphasizes that such a strategic investment is necessary to meet both domestic health needs and rising global demand.
Dr D Ramanathan, general secretary of AMMOI, highlights an urgent need for medicinal plant cultivation to address a critical supply chain bottleneck, noting that only 17 per cent of raw drugs are currently cultivated. Data from Kerala manufacturers identifies dozens of species in high demand, with 27 species requiring over 200 tons annually. AMMOI specifically points to the ‘Mattathoor model’ in Kerala as a success story that should be replicated nationwide to ensure the security of raw materials. They are seeking 130 crores for conservation and 37.18 crores for the National Medicinal Plants Board to promote good agricultural practices.
The organization is also pushing for a technological revolution within the industry by urging the government to prioritize the integration of artificial intelligence (AI). By utilizing AI for predictive analytics in raw material demand and supply chain optimization, the sector aims to achieve greater efficiency and global credibility. This tech-forward approach is coupled with a request for 914.40 crore for the Central Council for Research in Ayurvedic Sciences (CCRAS) to modernize research platforms and elevate the international visibility of evidence-based studies.
According to Dr Ramanathan, quality assurance remains a top priority for the manufacturers, who are seeking 43.92 crores for the Pharmacopoeia Commission for Indian Medicine and Homoeopathy. This funding would support the establishment of state-of-the-art quality testing laboratories and export-specific facilities that align with international toxicological standards. By guaranteeing safety, efficacy, and traceability, the industry hopes to solidify India's position as a global leader in safe and effective traditional medicine.
Education and international outreach are also key pillars of the AMMOI proposal, with a 330 crore request for the Institute of Teaching and Research in Ayurveda. The goal is to expand doctoral programs and establish global benchmarks that attract international scholars to Indian institutions. Additionally, 272 crores have been requested to establish Ayush academic chairs abroad and expand medical tourism, further strengthening the global market positioning of the system.
The appeal to the government by the Ayurveda manufacturers concludes by framing Ayurveda as a cornerstone of India’s health and economic transformation. With strategic investments in branding and infrastructure, the organization believes the government can elevate the traditional medicine system to its rightful place on the world stage. As the budget talks draw near, the industry is keeping a close watch to see if the government will provide the funds needed to back its ambitious roadmap.
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