FOCUS AREAS FOR STRENGTHENING AYUSH SECTOR

The Union Budget 2026-27 marks a watershed moment for India's traditional medicine sector with the announcement of three new All India Institutes of Ayurveda (AIIAs), signaling the government's firm commitment to institutionalizing and scaling Ayush systems. This builds upon the foundation laid by the first AIIA established in New Delhi in 2017 under the Ministry of Ayush, which was created as a separate ministry in 2014 — a significant elevation from its previous status as a department under the Ministry of Health and Family Welfare. The upgradation of the WHO Global Traditional Medicine Centre (GTMC) in Jamnagar, Gujarat — inaugurated by the WHO Director-General and Prime Minister Narendra Modi in April 2022 — into a hub for evidence-based research, training, and awareness, positions India as the global epicenter for traditional medicine standardization. This aligns with the WHO's Traditional Medicine Strategy 2025-2034 and India's G20 presidency theme of 'One Earth, One Family, One Future,' where traditional medicine was highlighted as a key pillar of universal health coverage. The budget allocation of Rs. 4,408.93 crore for the Ministry of Ayush reflects a structural shift: Rs. 2,588.47 crore (58.7%) directed toward statutory and autonomous bodies like the National Commission for Indian System of Medicine (NCISM) and National Commission for Homoeopathy (NCH) — both established under the NCISM Act, 2020 and NCH Act, 2020, replacing the erstwhile Central Council of Indian Medicine and Central Council of Homoeopathy. These commissions regulate education, practice, and ethics, addressing long-standing governance gaps. The Centrally Sponsored Scheme — National Ayush Mission (NAM) — receives Rs. 1,300 crore, continuing its mandate since 2014-15 to operationalize Ayush Health & Wellness Centres (now renamed Ayushman Arogya Mandir under the Ayushman Bharat framework), co-locate Ayush facilities at PHCs/CHCs/DHs, and upgrade standalone hospitals. Notably, Rs. 6,40,699.24 lakhs have been released under NAM from 2014-15 to 2025-26, demonstrating sustained fiscal federalism in health. The integration of Ayush into Medical Value Tourism (MVT) — championed by the 'Heal in India' initiative — leverages India's cost advantage and holistic wellness appeal. The Ministry of Ayush's technical inputs to DPIIT for regional medical hubs reflect inter-ministerial convergence, a hallmark of cooperative federalism under Article 263 (Inter-State Council) and the spirit of the 7th Schedule (Health in State List, but population control and family planning in Concurrent List). The six Central Sector Schemes — including AOGUSY for drug quality standardization, Ayurswasthaya for public health outreach, and the Medicinal Plants Conservation scheme — address critical supply-side constraints. The Pharmacopoeia Commission of Indian Medicine & Homoeopathy (PCIM&H), allocated Rs. 22.26 crore, plays a pivotal role in setting pharmacopoeial standards, essential for global acceptance. Constitutionally, while 'Public Health' falls under State List (Entry 6, List II), the Union's role in 'medical education' (Entry 66, List I) and 'international agreements' (Entry 10, List I) justifies central leadership in Ayush standardization and WHO collaboration. The National Medical Commission Act, 2019, and the NCISM/NCH Acts, 2020, exemplify this federal balance. Economically, the global wellness tourism market (projected at $1.3 trillion by 2025) offers India a strategic niche. Socially, Ayush integration into primary care via Ayushman Arogya Mandirs addresses the doctor-population ratio (1:834 vs WHO's 1:1000) by deploying Ayush practitioners. Future implications include potential inclusion of Ayush in the National Health Stack under the Ayushman Bharat Digital Mission, mandatory Ayush coverage in insurance (IRDAI guidelines), and India pushing for a 'Traditional Medicine Treaty' at WHO. For aspirants, this is not just a budget story — it's a case study in policy federalism, soft power diplomacy, and health systems reform.