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Scheme for Conservation, Development and Sustainable Management of Medicinal Plants

This topic provides information about Scheme for Conservation, Development and Sustainable Management of Medicinal Plants.

Medicinal Plants form the major resource base of our indigenous health care traditions. The outreach and acceptability of AYUSH systems, both nationally as well as globally, are dependent on uninterrupted availability of quality medicinal plants based raw material. More than 90% of the species use d in trade continue to be sourced from the wild of which about 2/3 rd are harvested by destructive means.

Development and cultivation of medicinal plants has been hence been covered as a component under the Centrally Sponsored Scheme of National AYUSH Mission.


  1. Support cultivation of medicinal plants which is the key to integrity, quality, efficacy and safety of the AYUSH systems of medicines by integrating medicinal plants in the farming systems, offer an option of crop diversificati on and enhance incomes of farmers.
  2. Cultivation following the Good Agricultural and Collection Practices (GACPs) to promote standardization and quality assurance and thereby enhance acceptability of the AYUSH systems globally and increase exports of value added items like herbal extracts, phyto-chemicals, dietary supplements, cosmeceuticals and AYUSH products.
  3. Support setting up processing clusters through convergence of cultivation, warehousing, value addition and marketing and development of infrastructure for entrepreneurs to set up units in such clusters.
  4. Implement and support certification mechanism for quality standards, Good Agriculture Practices (GAP), Good Collection Practices (GCP), and Good Storage Practices (GSP).
  5. Promote partnership, convergence and synergy among stake holders involve d in R&D, processing and marketing in the public as well as private sector at national, regional, state and sub state level.


  1. To adopt an end- to-end approach covering production, post harvest management, processing and marketing. This will be achieved by promoting cultivation of medicinal plants in identified clusters within selected districts of states having potential for medicinal plants cultivation and to promote such cultivation following Good Agricultural and Collection Practices (GACPs) through synergistic linkage with production and supply of quality planting material, processing, quality testing, certification, warehousing and marketing for meeting the demands of the AYUSH industry and for exports of value added items.
  2. To promote medicinal plants as a crop alternative to the farmers and through increased coverage of medicinal plants and with linkages for processing, marketing and testing, offer remunerative prices to the growers/farmers. This will also reduce pressure on forests on account of wild collection.
  3. To adopt communication through print and electronic media as a strong component of its strategy to promote integration of medicinal plants farming in the agriculture/horticulture systems with emphasis on quality and standardization through appropriate pre and post harvest linkages.
  4. To promote and support collective efforts at cultivation and processing in clusters through Self Help Groups, growers cooperatives/associations, producer companies and such other organizations with strong linkages to manufacturers/traders and R&D institutions.

Interventions and assistance

  1. Support Cultivation of Medicinal Plants - Subsidy is made available for various medicinal plants towards cultivation of the species required by AYUSH systems and those of conservation concern.
  2. Establishment of Seed / germplasm Centers and nurseries for Supply of Quality Planting Material - Seed Centres with Research Wing of State Forest Departments / Research Organisations / State Agriculture Universities to stock and supply certified germplasm of priority medicinal plant species for cultivation.
  3. Model Nurseries - To meet the requirement of quality planting material for cultivation, assistance is provided for new nurseries under the public as well as private sector. The model nurseries established under the Public sector / SHGs will be eligible for 100% assistance of a maximum of Rs. 25.00 lakhs per unit. For model nurseries in the private sector, the assistance will be 50% of the cost subject to a maximum of Rs. 12.50 lakhs per unit through public sector banks.
  4. Small Nurseries - Small nurseries, covering area of about one hectare with infrastructure facilities to hold 60,000 to 70,000 plants would cost about Rs 6.25 lakhs / unit. Small nurseries would cost Rs. 6.25 lakhs per unit. The assistance will be to the extent of 100% of the cost for the Public sector / SHGs and 50% of the cost subject to a ceiling of Rs. 3.125 lakhs for the nurseries in the private sector through public sector banks.
  5. Support for Medicinal Plant Processing and Post Harvest Management including Marketing - Support for infrastructure such as drying yards, storage godowns, processing units, quality testing, marketing, etc are supported.


  1. Nursery
    • Government Organisation (State Agriculture/Forest/Horticulture Department)/Government R&D institution / SHGs, ICAR, CSIR, ICFRE, DBT, DST institutions.
    • NGO, Private entrepreneurs, farmers (They would get only 50% of the grant initially on a pilot basis)
  2. For Cultivation
    • Growers, farmers, cultivators
    • Growers Associations, Federations, Self Help Groups, Corporate, growers cooperatives.
    • Cultivation will be assisted only in case of clusters. Each cultivation cluster will have minimum 2 hectare of the land. Each cultivation cluster should be drawn from farmers having lands within a radius of not more than 15 km. Assistance will be available to willing farmers desirous of cultivating medicinal plants on the same land in successive years.
  3. For Post Harvest Management and Processing and Value Addition (including marketing)
    • Special Purpose Vehicle (SPV) formed by at least three (3) enterprises/company/firms/partnership firms/producer’s company/traders/ growers / co -operatives engaged in the business of medicinal plants/and their products shall be eligible for funding under the scheme. Minimum two acres of land is required for a SPV and the land should be in industrial estate/zone/park/cluster/area be designated by the competent authority of the State. The SPV may also have common facility units/laboratory on payment basis for members and outsiders. Separate SPV, however, will not be required in case a Public Sector Unit or the State Government plans to establish the processing / value addition.
    • Bank account should be opened in the name of SPV and the members should contribute at least Rs. 5 lakhs as corpus fund to demonstrate their commitment towards the project.
    • Outside designated support for infrastructure for packaging, drying sheds, processing units shall be provided to only public sector/farmer’s cluster/ Panchyat/farmer’s cooperatives/producers company linked to cultivation cluster.
    • In case of the public sector 100% financial assistance will be provided limited to Rs. 400 lakhs per project which should be appraised by a scheduled bank for feasibility.
    • 100% financial assistance limited to Rs. 10 lakhs each for constructing drying sheds and storage go-downs as an adjunct to cultivation cluster will be admissible each if set up by SHGs/ Cooperatives of medicinal plants growers.
    • Assistance for this will be limited to 50% if set up by individuals or the entrepreneurs.

To access the complete guidelines of the scheme, click here (575 KB) (

Source : Ministry of AYUSH

Chandradeep Kumar Jan 12, 2018 03:54 PM

Does government help in hydroponics farming ?

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