Ayush Oushadhi Gunvatta Evam Uttpadan Samvardhan Yojana

Ayush Oushadhi Gunvatta Evam Uttpadan Samvardhan Yojana (AOGUSY) is a central sector scheme of Ministry of Ayush that supports Ayush drug manufacturers and testing laboratories to reach higher quality standards. Government continues this scheme in 2026-27 with a budget allocation of ₹27 crore under Union Budget 2026-27, keeping the focus on improving the safety and quality of Ayush medicines.

Scheme provides money help to both government and private Ayush pharmacies and drug testing laboratories. This support covers infrastructure upgrades, regulatory strengthening, pharmacovigilance and research work, all aimed at making Indian traditional medicines safe, effective and accepted globally under the Atmanirbhar Bharat vision.

Ayush Oushadhi Gunvatta Evam Uttpadan Samvardhan Yojana - Introduction

Ayush Oushadhi Gunvatta Evam Uttpadan Samvardhan Yojana is a Central Sector Scheme run by Ministry of Ayush since 2021-22 with a total outlay of ₹122 crore for five years. The scheme helps government and private Ayush drug manufacturers as well as testing laboratories upgrade their facilities and regulatory systems. The 2026-27 budget keeps ₹27 crore for this scheme, which means eligible units can still apply for support to raise the quality of their production and testing.

Key Information

Benefits

This scheme offers strong money help to improve infrastructure and technology within the Ayush domain. For example, if a private entity like a pharmacy expands its facility, it can get support as per the funding pattern fixed in the guidelines.

Pharmacovigilance and Regulatory Support:

Scheme supports pharmacovigilance activities to track medicine safety and curb misleading advertisements. State-level regulatory bodies can receive up to ₹15.00 lakh per year for portal maintenance, staff training and awareness activities. Institutions developing new standards for Ayush materials are also eligible for funding up to ₹20,00,000 annually.

Eligibility

To benefit from Ayush Oushadhi Gunvatta Evam Uttpadan Samvardhan Yojana, an applicant must match specific criteria based on the component being applied for:

Component A (Pharmacies/Labs): Applicant should operate as a State Government ASU&H pharmacy, a cooperative, or a public sector undertaking. If a private manufacturing unit, it must be GMP-compliant and operational for at least 3 years. Government-licensed drug testing laboratories are also eligible.

Component B (Pharmacovigilance): Applicant should be a national institute, university, or hospital affiliated with Ministry of Ayush or a State Government.

Component C & D (Regulatory/Standards): Applicant should represent a State Drug Regulatory Authority or a recognized scientific/standards development institution.

Application Process

Applications are invited by Ministry of Ayush through advertisements in national daily newspapers, usually twice a year in January and July. Proposals can be submitted through the official channels as per the guidelines.

STEP 1 - Visit the Ministry of Ayush official website and open the Samvardhan Yojana section to check the latest invitation and guidelines.

STEP 2 - Prepare the project proposal and application form according to the official instructions, and collect the required supporting documents.

STEP 3 - Submit the hard copy of the proposal and application form as per the official notice, and also email the soft copies (PDF/Word) to the designated address at dcc-Ayush@nic.in.

STEP 4 - Keep a copy of the recommendation letter from the controlling authority and make sure all documentation is complete to avoid delays in processing.

Documents

Following documents are generally required while applying under this scheme:

• Project Proposal and Application Form - prepared as per the official format given in the guidelines.
• Recommendation Letter - from the controlling authority supporting the application.
• Certificate of no financial assistance - confirming the unit has not taken support from other sources for the same project.
• Annual Progress Report - along with statement of expenditure and utilization certificate.
• Audited Statement of Accounts - and registration and compliance certificates under the Drugs and Cosmetics Act.
• Bank Account Details for PFMS - and authorization letter from the head of the institution.

Highlights

References

Official AOGUSY Guidelines (PDF)

e-Aushadhi Portal for Ayush drug licensing

Ministry of Ayush Official Website

FAQ's

What is the objective of Ayush Oushadhi Gunvatta Evam Uttpadan Samvardhan Yojana?

The objective is to improve the quality, safety and manufacturing standards of Ayush drugs and strengthen India's regulatory systems.

Who implements this scheme?

Ministry of Ayush, Government of India, implements this scheme.

Who can apply for this scheme?

Government institutions, private organizations, Ayush drug manufacturers and drug testing laboratories are eligible to apply.

What type of financial assistance is provided?

Financial assistance covers infrastructure upgrades, testing facilities, quality certification, regulatory strengthening and research activities.

How are funds released?

Funds are released in yearly installments via PFMS based on verified progress reports and project approvals.

Is compliance with GMP mandatory?

Yes, compliance with Good Manufacturing Practices is mandatory for any manufacturing unit applying for support.

Are private institutions eligible?

Yes, private Ayush manufacturers and laboratories are eligible as per the scheme guidelines.

Is the scheme still running in 2026-27?

Yes, the scheme continues in 2026-27 with a budget allocation of ₹27 crore under the Union Budget 2026-27.

What is pharmacovigilance under this scheme?

It involves monitoring drug safety and conducting surveillance on misleading advertisements.

Are foreign travel expenses allowed?

No, travel grants are limited to domestic travel necessary for scheme operations.