It explains about principles of Ayurvedic drug formulations and its practical implications. It is meant for the teaching and evaluation of the Ayurvedic drugs to improve their quality. It deals with ayurvedic pharmaceutics and ayurvedic pharmacology. The subject explains detail about manufacturing procedures of ayurvedic medicines, their mode of actions and therapeutic uses. This branch is backbone of Ayurvedic medical science, because it develops the thought process in the minds of students regarding a drug activity and rational selection of the raw drugs as well ayurvedic medicines in clinical practice.