India’s traditional healthcare system known as AYUSH — which includes Ayurveda, Yoga & Naturopathy, Unani, Siddha and Homoeopathy — has taken a significant step forward in international recognition. In December 2025, the Indian Government successfully secured formal inclusion of AYUSH in two major international trade agreements: the India–Oman Comprehensive Economic Partnership Agreement (CEPA) and the India–New Zealand Free Trade Agreement (FTA).
These agreements contain dedicated annexures on health services and traditional medicine, recognizing AYUSH systems within the framework of bilateral trade cooperation. For the first time, India’s ancient healthcare traditions have received formal recognition and regulatory legitimacy in major global trade pacts.
India’s AYUSH sector has also been witnessing rising export demand. Official data reported that AYUSH and herbal product exports grew by over 6.1% in 2024–25, rising from USD 649.2 million to USD 688.89 million compared with the previous year.
This development marks a notable shift in how traditional medicine is viewed internationally — from a domestically respected system to one gaining formal recognition and economic importance on the global stage.
Through the India–Oman CEPA and the India–New Zealand FTA, AYUSH systems have been officially integrated into trade frameworks for the first time. This adds legitimacy and regulatory clarity for AYUSH products and services overseas.
Both agreements include detailed annexures covering health services and traditional medicine practices, enabling smoother trade operations and export facilitation for AYUSH-related goods and services.
The AYUSH trade recognition comes at a time of robust export growth. Indian herbal and alternative medicine products are in increasing demand across global markets.
Inclusion in trade pacts helps reduce regulatory barriers, improves mutual standards recognition, and opens up new markets, particularly in highly regulated countries.
By showcasing AYUSH abroad, India reinforces its soft power while promoting wellness tourism, traditional health practices, and cross-border research collaborations.
International trade recognition of AYUSH reflects increasing global acceptance of traditional and complementary medicine. Historically, alternative healthcare systems from outside the Western paradigm were often sidelined due to lack of regulatory frameworks and limited recognition in international trade. By including AYUSH in bilateral trade agreements with Oman and New Zealand, India has taken a concrete step toward institutionalizing its ancient healthcare systems globally — marking a shift from cultural heritage to economic diplomacy.
For competitive exams, it’s essential to understand how this recognition translates to real economic gains. The inclusion of AYUSH in international agreements strengthens India’s export potential, especially for herbal products, wellness services, and traditional medicine. With export figures already on the rise — surpassing USD 680 million in 2024–25 — these trade agreements are expected to further accelerate growth by enhancing market access and lowering non-tariff barriers.
These deals also highlight India’s strategic use of trade and diplomacy to project its cultural identity worldwide. By leveraging AYUSH systems, India not only builds economic ties but also strengthens its soft power — a crucial area for exams like UPSC, where global diplomacy, trade strategies, and international cooperation are key portions of the syllabus.
The AYUSH system has ancient roots in India. Ayurveda, for instance, traces back over 5,000 years and is regarded as one of the world’s oldest holistic healing systems. Yoga, another AYUSH practice, gained global recognition with the declaration of International Yoga Day by the United Nations in 2014. Over decades, India has actively promoted these traditional systems globally through cultural outreach and international partnerships.
Despite global interest, formal trade recognition remained limited due to regulatory barriers and inconsistent international standards. India’s recent trade diplomacy efforts — like expanding Free Trade Agreements with partner countries — reflect a new phase in positioning AYUSH as both a healthcare and economic asset. The inclusion of AYUSH annexures in CEPA and FTA agreements signifies that India is no longer just advocating cultural recognition but is now embedding its traditional health systems into international economic engagements.
AYUSH is an acronym for Ayurveda, Yoga & Naturopathy, Unani, Siddha, and Homoeopathy, India’s traditional healthcare system recognized for holistic health approaches.
India’s AYUSH system was formally recognized in trade agreements with Oman and New Zealand through the CEPA and FTA respectively.
Inclusion in trade agreements provides regulatory clarity, easier market access, and boosts exports of AYUSH products and services.
Exports of AYUSH and herbal products grew by 6.1%, reaching USD 688.89 million in 2024–25, compared to USD 649.2 million the previous year.
It enhances India’s soft power, promotes cultural diplomacy, encourages wellness tourism, and strengthens India’s global influence in traditional medicine.
The Ministry of AYUSH along with the Ministry of Commerce & Industry play a major role in international promotion and trade integration of AYUSH systems.
The agreements included health services and traditional medicine annexures that formally recognize AYUSH systems in trade regulations.
This news links to topics like India’s foreign policy, trade diplomacy, traditional knowledge systems, and economic growth, which are commonly asked in UPSC, PSC, banking, railways, and defence exams.
National Cow Culture Museum Mathura is India’s first cow heritage museum showcasing indigenous cattle breeds,…
PM Surya Ghar Scheme 2 Years Analysis covering rooftop solar subsidy, 1 crore household target,…
Yuge Yugeen Bharat National Museum project transforms North and South Blocks in New Delhi under…
WPI inflation January 2026 rises to 1.81% marking a 10-month high. Understand causes, CPI vs…
Geeta Patnaik obituary news – Legendary Odia singer passes away at 73. Read detailed current…
V.O. Chidambaranar Port IGBC Platinum certification and BEE Shunya recognition highlight India’s first major port…