Indian medical bills are scary. A single disease can ruin decades of savings for a number of households. Suppose you enter a drugstore and purchase diabetes or blood pressure medication for $10 or $20, rather than $100.
This is not a fantasy, but it is a fact with the Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP). If you want a business that provides steady revenue and serves your community, one of the best options in 2025 is to open a Jan Aushadhi Kendra franchise. It does not require a lot of money and is well supported by the government.
But how much does it cost? Is it profitable? And how do you apply?
Introduction
The healthcare sector in India is expanding, although it needs cheap medicine more than ever before. The Jan Aushadhi program was developed to provide so-called Generic Medicines, i.e., medications with a chemical formula identical to more expensive branded ones, at a reduced price, 50-90 percent of the market price.
This is why 2026 will see this business in headlines:
- Mega Network: As of the end of 2025, it has over 17,600 Jan Aushadhi Kendras operating all over India.
- Huge savings: the scheme has helped to save ordinary people over 30,000 crores on medical expenses.
- Broad assortment: these shops do not deal only in fundamental tablets. They supply more than 2,047 medicines and at least 300 surgical products.
- Sales Growth Sales in these stores exceeded 1200 Crore in the initial months of the 2024- 25 financial year.
It is not just a shop, it is a health revolution. It is time to have a look at this business model.
What Is Pradhan Mantri Jan Aushadhi Kendra (PMBJK)
In simple terms, Pradhan Mantri Bhartiya Jan Aushadhi Kendra (PMBJK) is a pharmacy established under the PMBJP program as a government initiative.
A Jan Aushadhi Kendra does not sell expensive branded drugs like Big Pharma; the entire store sells only generic medicines.
A question that is often posed is, What is Generic Medicine?
Think about buying salt. Whether you purchase salt in a glamorous, branded pack or an unadorned, clear pack, the salt is the same.
- Branded Medicine: Designed Price because of marketing, advertising, and packaging.
- Generic Medicine: Cheap, no flashy advertisement. It contains 100% of the branded product’s chemical composition and has the same effect.
As a franchise owner, you bring together the government and the medicine distributor to reach ordinary people in need.
Who can apply for the Jan Aushadhi Kendra Franchise?
These stores are everywhere, as the government has desired, and therefore make eligibility easier. You do not have to be an enormous businessman.
Applicants must be eligible, that is:
1. Individuals:
- Registered pharmacists.
- Registered medical doctors.
- Now, unemployed entrepreneurs or ordinary citizens (but you have to have a certified pharmacist to manage the store).
2. Organizations and institutions:
NGOs.
- Charitable trusts.
- Private hospitals.
- Self‑help groups.
The Golden Rule:
It is impossible to operate a medical store without a license. And either you need a B.Pharma or D.Pharma, or you need to hire someone who does. When you apply, you have to show evidence of the qualification.
How much money is required to open Jan Aushadhi Kendra?
The advantage of this Jan Aushadhi Kendra franchise is that the government does not collect a large franchise fee or royalty, as is the case with Apollo or MedPlus (private companies).
Typically, it takes around 2.5 to 4 lakh rupees to open the store and start operations.
This capital will finance the shop setup, your initial order of medicines, and the required electronics. This is very cheap compared to businesses that require millions of dollars to establish.
We will break down this cost by rupee so you can see where your money goes.
Cost Breakdown Jan Aushadhi Kendra Franchise.
The following is the cost estimate. Note that the costs may be slightly different in accordance with your city due to the varying costs of rents and labor.
| Expense Head | Approximate Cost (₹) | Details |
| Application Fee | 5,000 | One-time, non-refundable (Exempt for Women / SC / ST applicants) |
| Shop Interior & Renovation | 50,000 – 1,00,000 | Shelves, counters, basic interiors |
| Furniture & Fixtures | 40,000 – 60,000 | Racks, storage units, seating |
| Computer & Printer | 25,000 – 35,000 | Required for billing and inventory |
| Internet & POS Setup | 5,000 – 10,000 | Broadband, barcode scanner, basic software |
| Initial Medicine Stock | 1,00,000 – 1,50,000 | Purchased from PMBI |
| Drug License & Local Approvals | 10,000 – 15,000 | Varies by state |
| Miscellaneous & Contingency | 10,000 – 20,000 | Power backup, signage, stationery |
| Total Estimated Investment | ₹2.5 Lakh – ₹4 Lakh | Excluding shop rent & security deposit |
Important Note on Space:
You must have a minimum of 120 sq. ft. The government does not cover the cost of renting the shop. It would be up to you to own the space or rent it. When renting, you will need to pay a security deposit to the landlord, which is an additional expense not reflected above.
Jan Aushadhi Kendra Profit Margin
This is what every business owner is most concerned with. How do you make money?
In the Jan Aushadhi Kendra franchise, you have two sources of income: Sales Margin and Government Incentives.
1. The Sales Margin (Your Direct Profit)
- Retail Margin: You receive a 20% margin on the MRP of all medicines that you sell.
- Example: When you sell medicines worth 1,00,000 per month, your direct profit will be 20,000.
2. Government Incentive (Cashback)
The government provides an additional incentive to motivate store owners. This can be described as an almost-salary for running the store efficiently.
- Incentive Amount: You receive an incentive of 15 per cent of all purchases of medicines that you make monthly.
- Maximum Cap: The highest bonus is 15000 per month.
- Total Limit: You will continue to get this monthly incentive until it reaches 5.00 Lakhs.
Example Calculation:
Suppose you purchased medicines in January for 100,000 rupees at the head office.
- Sales Profit: When selling this stock, you earn a 20% margin.
- Incentive: The government will reimburse you for 15% of the purchase price, up to $15,000.
- Profit + Incentive: Total Earnings.
3. Special Incentive (Reimbursement)
If you qualify for a special category, the government will provide additional funding to cover your setup expenses.
- Who is eligible? Female business owners, applicants of SC/ST, Ex-Servicemen, or those initiating a shop within North-East states, the Himalayan region, or NITI Aayog Aspirational Districts.
- The Advantage: You receive a one-time grant of 2.00 Lakhs.
- Furniture and fixtures are included in the 1.5 Lakh Figure.
- ₹50,000 for a computer and a printer.
- Stabilize: This is provided as reimbursement (you spend, submit the bills for review, and are refunded).
Is Jan Aushadhi a profitable business?
The answer is yes, but it depends on your location.
Instead of earning 20 dollars per transaction, as in a standard medical store where you could sell a strip of branded medicine at 100, you could earn 4 dollars per transaction with the generic version.
Due to the low price, the profitability per strip is low.
But, due to the low price, the volume is high.
Individuals with life-long illnesses (such as Diabetes, BP, Thyroid) are bulk buyers. As soon as a customer understands they will save 2,000 rupees a month by purchasing from your store, they will never go to a branded store again. They will remain loyal customers.
Profitability Checklist:
- Location is King: You should be near a government hospital, a clinic, or a high-density residential area.
- Patience: It takes 6-8 months to build trust. Customers must understand that your generic medicines are as effective as branded medicines.
- Volume Game: You will be required to sell more to earn more.
Assuming you manage to do a turnover of 1.5 Lakh to 2 Lakh/month, you can easily make 30000-40000/month net of expenses, which is a significant figure considering a business of low investment.
Step-by-step Jan Aushadhi Kendra Franchise Registration Process
The process is now more transparent due to government simplification. It does not require agents or middlemen. You can do it yourself.
Pre‑Requisite: Before you make an application, you should have a place in mind. During the application, you have to provide the address and evidence of the shop (a Rent agreement or an Ownership deed).
- Step 1: Prepare your papers
- Step 2: You should have the Pharmacist (you or some staff member) registered.
- Step 3: Fill out the application online on the PMBI official site.
- Step 4: Pay the application fee.
- Step 5: Await government In-Principle Approval.
- Step 6: After making the approvals, apply to the name of Pradhan Mantri Jan Aushadhi Kendra, a license for the drug to your state drug control authority.
- Step 7: Hand over the Drug License to PMBI.
- Step 8: Get the agreement and make your first order.
How to Apply for Jan Aushadhi Kendra Franchise Online
Gone are also the days of sending huge envelopes through the mail. The whole process has become digital.
- Website of the portal: janaushadhi.gov.in.
- Locate the Apply Button: On the home page, there should be a link to either the online application or apply to Kendra.
- Registration: To create a new user ID, select the registration option. You will be required to provide your personal information ( Name, Mobile, State).
- Complete the Form: Register and complete the elaborate application form.
- Choose your type (Individual/NGO/ Government).
- Enter your personal details.
- Fill in the shop address information.
- Pay the Fee: Make the Payment of 5000 application charges online (UPI, Net Banking, Card). If you are exempt (Women/SC/ST), you do not pay this fee and must submit evidence (such as a Caste Certificate).
- Submit: Review and Submit. An Application ID will be issued to you. Save this!
Documents Required for Jan Aushadhi Registration
With your paperwork on hand, it will take less time. Here is the checklist:
For Individuals:
- Aadhaar card and PAN card.
- Pharmacist registration certificate (where applicable, i.e. when you are a pharmacist). When hiring one, you will require his certificate in the future to get the drug licence.
- Documentation of SC/ST/Divyang status (only when seeking an exemption of fees or special treatment).
- Credit card details (a cancelled cheque or a copy of the passbook).
- Shop space evidence: rent agreement, space allotment letter or ownership deed (minimum 120 sq. ft.).
In the case of institutions (NGOs, trusts, hospitals):
- Certificate of registration of the organisation.
- PAN card of the organisation.
- Aadhaar/PAN of the individual authorizing the form signature.
- Proof of space.
- Resolution letter (a letter declaring that the organisation agrees to open the Kendra).
Jan Aushadhi Kendra Head Office and Contact Details
For any issues or questions, contact the Pharmaceutical and Medical Devices Bureau of India (PMBI).
Head office address:
Pharmaceuticals and Medical Devices Bureau of India (PMBI),
8th floor, Videocon Tower,
Jhandewalan Extension, block E-1,
New Delhi – 110055.
- Helpline number: 1800‑180‑8080 (toll‑free).
- Website: janaushadhi.gov.in.
- There is an email address for enquiries: helpdesk@janaushadhi.gov.in.
Common Mistakes to Avoid During Application
Possible errors to be avoided in the application.
A significant number of applicants are rejected or are unsuccessful in running the business. Here is how to avoid that:
- Placing a Kendra in the wrong place: Do not open a Kendra in a high-end mall or affluent neighbourhood where people love the branded medicines. Locate it close to a government hospital, bus stand, or a middle-upper-class residential suburb.
- Lack of a ready pharmacist: No drug licence can be obtained without a pharmacist. Do not expect to come across one later. Before applying, have an agreement with a pharmacist.
- Neglect of the distance rule: Typically, the government regulations allow a minimum distance of 1km between two Jan Aushadhi kendras. Before renting a shop, check whether there is one in the vicinity.
- Underestimating working capital: Do not waste all your money on ornamentation. Keep cash aside to buy stock. Without the medicines, customers will be lost.
Final thoughts
The business is a social service, and the opening of a Jan Aushadhi Kendra franchise is a commercial activity. And you are not merely making a profit, but you are putting an old pensioner who has a heart illness on heart medicine, or a daily wage earner who cannot afford an antibiotic-less loan to buy his kid heart medicine. The cost of investing ₹3 lakh to ₹4 lakh is small relative to the stability it provides. The support system has been more potent since the government is pushing to have 25,000 Kendras by 2027. This franchise is strongly recommended if you have a good location and a desire to serve your community while earning a good living. Get your papers, reconnoiter your scene, and apply today!
Also Read: Tata 1mg Franchise
FAQs
Is it possible to open a Jan Aushadhi kendra without a degree in pharmacy?
Yes, you can be the owner, but you should hire a registered pharmacist who will sit in the shop and dispose of medicines.
Is the 5000 application fee refundable?
No, you cannot get a refund of the application fee even if your application is rejected.
Is it possible to sell branded medicines in a Jan Aushadhi kendra?
No. You are permitted to sell generic medicines and products exclusively provided by PMBI. With selling branded meds, the agreement is breached.
What will the shop’s size be?
You must have a minimum of 120 square feet of carpet area (you may be an owner or rent it).
