AYUSH Gains Global Recognition Through India’s Trade Agreements with Oman and New Zealand

India’s traditional systems of medicine, collectively known as AYUSH—Ayurveda, Yoga & Naturopathy, Unani, Siddha, and Homeopathy—have achieved a significant milestone on the global stage. For the first time, AYUSH has received formal recognition within India’s bilateral trade agreements, following its inclusion in the Comprehensive Economic Partnership Agreement (CEPA) with Oman and the Free Trade Agreement (FTA) with New Zealand. This development marks a decisive shift in how traditional medicine is positioned within India’s broader trade and economic diplomacy.

The move reflects India’s growing confidence in integrating its civilisational knowledge systems into modern global trade frameworks, while also responding to rising international demand for holistic healthcare and wellness solutions.

India’s traditional medicine systems under AYUSH have received formal recognition in bilateral trade agreements with Oman and New Zealand, the commerce ministry said on Sunday | The Hindu Business Line

Trade Pacts That Acknowledge Traditional Medicine

Both agreements include dedicated annexures on health services and traditional medicine, a rare and forward-looking provision in international trade negotiations. These annexures formally acknowledge AYUSH systems and create an enabling framework for cooperation in areas such as professional services, institutional collaboration, research, education, and regulatory alignment.

The India–Oman CEPA is particularly noteworthy as it represents the first instance of a Gulf nation formally recognising AYUSH within a trade pact. This recognition spans multiple modes of service delivery, including professional practice and wellness services, and is expected to facilitate greater cross-border movement of practitioners and institutions.

Similarly, the India–New Zealand FTA reflects a growing openness among developed economies to engage with non-conventional healthcare systems. The agreement lays the groundwork for future collaboration in wellness tourism, academic exchanges, and evidence-based research linked to traditional medicine.

Rising Global Demand and Export Growth

The formal inclusion of AYUSH in trade agreements comes at a time when India’s traditional medicine and herbal product exports are witnessing consistent growth. Global consumers are increasingly seeking natural, preventive, and holistic healthcare options, driving demand for Ayurvedic formulations, herbal supplements, wellness therapies, and yoga-based interventions.

India’s exports of AYUSH and herbal products have shown steady year-on-year expansion, supported by improved quality standards, certification mechanisms, and greater international outreach. Government-led initiatives, including the strengthening of the AYUSH Export Promotion Council, have played a key role in helping Indian manufacturers and service providers access overseas markets with greater credibility and compliance.

Economic and Diplomatic Significance

The recognition of AYUSH within trade agreements goes beyond commerce. It enhances India’s soft power, positioning the country as a global leader in wellness and traditional healthcare. By embedding AYUSH into legally binding trade frameworks, India signals that traditional knowledge systems are not peripheral, but integral to its economic and cultural identity.

From a trade perspective, these agreements also complement India’s broader strategy of diversifying export destinations, deepening engagement with both emerging and developed economies, and expanding the scope of services trade beyond conventional sectors.

Opportunities and the Road Ahead

While formal recognition opens new doors, experts caution that long-term success will depend on effective implementation. Aligning regulatory standards, ensuring product quality, strengthening scientific validation, and building trust among international consumers will be crucial. At the same time, increased collaboration in research and education could help bridge gaps between traditional knowledge and modern medical frameworks.

If leveraged effectively, these trade provisions could transform AYUSH into a globally competitive sector, generating employment, boosting exports, and reinforcing India’s leadership in holistic healthcare.

The MGMM Outlook

India’s inclusion of AYUSH in its trade agreements with Oman and New Zealand marks a clear shift in how traditional medicine is positioned within global economic frameworks. By securing formal recognition for Ayurveda, Yoga, Unani, Siddha, Naturopathy and Homeopathy through dedicated annexures on health services and traditional medicine, India has moved its civilisational knowledge systems from the margins to the mainstream of international trade. This recognition, particularly in the India–Oman CEPA and the India–New Zealand FTA, reflects growing global acceptance of holistic and preventive healthcare models and signals confidence in India’s ability to integrate ancient practices with modern regulatory and trade structures.

The development also carries strong economic and diplomatic implications. Rising global demand for natural therapies, wellness services and herbal products aligns with India’s expanding AYUSH exports, supported by improved quality standards and institutional backing. Embedding AYUSH in legally binding trade agreements enhances India’s soft power while opening pathways for practitioner mobility, research collaboration, wellness tourism and services exports. If supported by robust implementation, scientific validation and regulatory alignment, this recognition can help position AYUSH as a globally competitive sector that contributes to exports, employment and India’s long-term leadership in holistic healthcare.

(Sources: Business Standard, The Economic Times,The Hindu Business Line)