Emphasising on the ayurveda sector, three new All India Institutes of Ayurveda will be set up. An announcement during the Union Budget 2026-27 has also been made to upgrade AYUSH pharmacy and drug testing laboratories to the highest standards of certification environment and to provide more skilled personnel, and to promote evidence-based research, training and awareness for traditional medicines.
The WHO Global Traditional Medicine Centre in Jamnagar, Gujarat, has been approved for the development of the Pharmacy of Ayush Pharmacy and Drug Testing Laboratories.
"The creation of new All India Institutes of Ayurveda and the upgradation of the WHO Global Traditional Medicine Centre reflect a progressive approach to integrating modern and traditional systems of medicine. Equally encouraging are the reduction of tax-collected at source (TCS) from 5% to 2% for education and medical purposes."
Varun Khanna, Group MD, Quality Care India
“The commitment to upgrading drug testing facilities for Ayurveda, with a focus on quality and skilled manpower to support exports, further reinforces the government’s intent to build robust quality infrastructure across healthcare segments. This approach aligns well with the India EU free trade agreement, which opens access to regulated global markets where compliance and quality are critical.”
Dr Saurabh Arora, Managing Director, Auriga Research
"The announcement of five regional hubs for medical tourism, new Ayurveda institutes, expansion of allied health disciplines, and upgradation of AYUSH pharmacies and testing laboratories are particularly encouraging steps that will help improve standardisation, quality assurance, and workforce readiness across traditional and integrative care. Strengthening the WHO Global Centre for Traditional Medicine further reinforces India’s leadership in evidence-based traditional medicine."
Dhruv Gupta, Co-founder, Orange Health Labs