What is Pradhan Mantri Bhartiya Jan Aushadhi Kendra?

2 mins
28 April 2025

In India, accessing quality health care services can be pretty challenging, primarily in rural areas, due to the exorbitant price of branded medicine and surgical appliances. To resolve this issue and offer quality medication to all, the Department of Pharmaceuticals and the Government of India introduced the Pradhan Mantri Bhartiya Janaushadhi Pariyojana on April 23, 2008.

Essentially, this flagship program aims to offer quality generic medicines to the citizens in rural and semi-rural areas through its different sales outlets, such as the Janaushadhi medical store.

Vision of Pradhan Mantri Janaushadhi Yojana

To make quality medication affordable to the underprivileged sections of the country, the Department of Pharmaceuticals introduced the PM Bhartiya Janaushadhi Pariyojana. Furthermore, to ensure a steady supply of affordable medicines, this scheme was further remodeled into Pradhan Mantri Bhartiya Janaushadhi Pariyojana.

More than 6,500 Pradhan Mantri Janaushadhi Kendras are currently active across the 726 districts of the country, extending 8,000+ generic medicines and surgical appliances at cost-effective rates. These stores ensure that the financially backward section of the country can avail of quality medication without paying a high price. The procured medicines from the Janaushadhi Medical store are retailed at 50%-90% lower than the actual market price.

The steady expansion of these Kendras across urban and rural India has not only improved healthcare access but also fostered private healthcare initiatives. Medical professionals are increasingly setting up clinics and pharmacies, often supported by doctor loan-backed financing solutions, contributing further to affordable healthcare delivery.

Features and benefits of PM Janaushadhi Yojana

This scheme is introduced under the Societies Registration Act and gives rise to employment by involving individual entrepreneurs in different Bhartiya Janaushadhi Kendra. Here are the key features and benefits of this scheme:

  • Under PMBJP, various Pradhan Mantri Janaushadhi Kendras are established across India to minimise the high-end expenses for availing of healthcare services.
  • Under the Pharmaceuticals Department, the Bureau of Pharma is engaged in procuring, supplying, coordinating, and marketing common medicines through this scheme.
  • The PMBJK can be set up by doctors, entrepreneurs, NGOs, pharmacists, self-help groups, etc., at any convenient place or outside the hospital premises.
  • This scheme significantly reduces the treatment cost without any compromise on quality.
  • Medicines for the underprivileged are obtained from WHO (World Health Organization), Current Good Manufacturing Practice (CGMP), and CPSU manufacturers. These systems assure that the medicines are consistent and successfully meet the specified quality standards by BPPI.

Besides, individuals can search for Janaushadhi online outlets through an application named Janaushadhi Sugam. Citizens can look for common medicines and can share their feedback and suggestions faced while using the application. When evaluating the startup costs and potential returns from opening a Kendra, understanding the applicable doctor loan interest rate becomes essential, especially for those considering financing options to fund their ventures.

How to open Pradhan Mantri Jan Aushadhi Kendra?

Here is the list of requisites for the Janaushadhi Medical Store:

  • Individuals must possess Aadhaar and PAN cards
  • Applicants must adhere to the rules and regulations, including but not limited to medicine storage
  • Charitable institutions, hospitals, NGOs, etc., must submit Aadhaar card, registration certificate, incorporation certificate, PAN cards, and other necessary documents.
  • Documents proving the financial capacity to run the medical store by providing audited accounts for the last three years.
  • Proof of engaging a pharmacist possessing the necessary computer skills.
  • The owned or rented place (min. 120sq.ft) should be supported by a proper lease agreement. However, one must note that BPPI will not be responsible for arranging any space.

One can also apply for the Janaushadhi store through the GST Suvidha Centre. The organisation extends G2C Services across the country, making it an appropriate place to begin.

Eligibility to apply for the Jan Aushadhi store

To obtain substantial coverage across the country, the Indian government allows individuals to open PM Janaushadhi Kendras and provide exclusive incentives. However, you can open such Kendras if you meet the following eligibility requisites:

  • If an individual is a registered medical practitioner
  • If one is a registered doctor
  • If an individual possesses a B.Pharma/ D.Pharma degree

Individuals can open a PM Janaushadhi store on the premise of a government hospital. However, special preference will be given to an NGO or charitable trust in such cases.

Thus, Pradhan Mantri Janaushadhi Kendra extends unique opportunities for doctors and individuals to provide cost-effective medicines to every Indian citizen and a viable business structure. Applicants planning to set up Kendras through personal investment or business financing should also check if they meet doctor loan eligibility criteria, especially if they intend to fund the venture through specialised healthcare loan schemes.

Steps to register and apply for a Jan Aushadhi Kendra license

Individuals interested in opening a Pradhan Mantri Janaushadhi Kendra must complete an online application process through the official portal. Here’s a step-by-step guide:

  • Step 1: Visit the official website: https://janaushadhi.gov.in/index.aspx.
  • Step 2: Click on the ‘APPLY FOR KENDRA’ tab on the homepage.
  • Step 3: Select the ‘CLICK HERE TO APPLY’ option.
  • Step 4: Click on ‘REGISTER NOW’ and enter the applicant’s details using a unique mobile number and email ID.
  • Step 5: After successful registration, the applicant will receive an email containing a unique User ID and Password for portal login.
  • Step 6: Log in to the portal using the received User ID and Password linked to your registered email ID.
  • Step 7: Deposit the application processing fee only into PMBI’s virtual account as specified.
  • Step 8: Fill out the application form carefully, including:
    • Basic information
    • Details of the Rs. 5,000 application processing fee (under Government Category)
    • Proposed Kendra details
    • Other relevant information
  • Step 9: Upload all required documents such as PACS ID, Certificate of Incorporation, PAN Card, Aadhaar Card, and a six-month bank statement.
  • Step 10: Ensure each document is uploaded under 200KB in PDF, JPEG, PNG, or JPG formats.
  • Step 11: Review the completed application thoroughly and click on the ‘Submit’ button to finalize.

Note: Once submitted, applicants will receive a confirmation email. You can track your application status anytime by logging into the portal or by calling the helpline at 1800-180-8080.

Documents required to apply for Jan Aushadhi Kendra

Applicants must provide the following documents:

  • PAN Card
  • Aadhaar Card
  • Bank statement (latest)
  • Valid pharmacist license
  • Passport-sized photograph
  • Proof of shop ownership or rental agreement

Things to know before starting a PMJAK

Before opening a Pradhan Mantri Bhartiya Janaushadhi Kendra (PMBJK), applicants must understand and comply with several important terms and conditions set by the authorities:

  • Applicants must sign an agreement with the authorities before starting operations, and all store activities must strictly follow the terms outlined in the agreement.
  • It is mandatory to obtain a drug license in the name of "Pradhan Mantri Bhartiya Janaushadhi Kendra" along with any other required permissions for running a drug store, ensuring full compliance with statutory storage norms.
  • The premises allocated for the Kendra must be used solely for running the PMBJK and cannot be sublet or used for any other purpose.
  • All billing activities at the PMBJK must be conducted using the official billing software provided by BPPI (Bureau of Pharma Public Sector Undertakings of India).
  • Operators may sell allied medical products commonly found in chemist shops, although selling certain other products may require prior approval from BPPI.
  • Distributors will accept returns of expired or damaged medicines, up to 2% of the total value of medicines purchased by the PMBJK.
  • A credit period of 30 days is allowed from the date of receipt of medicines; however, post-dated cheques must be submitted in advance against the goods supplied.

Monetary benefits and incentives of opening PMJAK

Opening a PM-JAY Kendra is a strong business opportunity, offering not only good earning potential but also a chance to contribute to improving healthcare services in India.

Here are the key monetary incentives provided to Janaushadhi Kendra operators:

  • Retailers operating a PM-JAY Kendra are given a 20% margin on the MRP of each generic medicine. Distributors receive a 10% margin.
  • If your Kendra is integrated with BPPI systems, you can earn up to Rs 2.5 lakh in annual incentives. This incentive is based on 15% of your store’s monthly sales, with a maximum limit of Rs 10,000 per month. In northeastern, Naxal-affected, and tribal regions, this limit increases to Rs 15,000.
  • PM-JAY operators belonging to SC/ST categories or differently-abled individuals will receive an advance stock of medicines worth Rs 50,000.
  • Store operators are eligible for financial support of Rs 1 lakh toward the purchase of furniture and fittings, along with an additional Rs 50,000 for buying computers, printers, and internet connections.
  • Operators will be reimbursed for 2% of the total sales value or the actual loss incurred due to expired medicines. Expired medicines will be counted as a loss for BPPI, not for the retailer or distributor.
  • A 30-day credit period will be offered, secured through a post-dated cheque.

Thus, with monthly sales of Rs 1 lakh, retailers can earn commissions of around Rs 20,000 plus an additional Rs 10,000 in incentives. Moreover, BPPI also provides significant reimbursement toward the initial setup cost, making it an even more attractive business opportunity.

Conclusion

The Pradhan Mantri Jan Aushadhi Kendra (PMJAK) initiative serves as a powerful bridge between affordable healthcare and entrepreneurial opportunity in India. By opening a PMJAK, individuals not only contribute to making quality medicines accessible to every citizen but also tap into a sustainable business model supported by government incentives. From understanding the eligibility requirements to following the step-by-step registration process, it is crucial for applicants to comply with all guidelines to ensure a smooth setup.

Moreover, with financial support options like specialised doctor loans, setting up a Kendra has become even more attainable. Whether you are a medical practitioner, pharmacist, or entrepreneur, participating in the PMJAK scheme enables you to drive meaningful impact while building a stable and rewarding career path.

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Can existing pharmacies convert into Jan Aushadhi Kendras?

Yes, existing pharmacies can apply to become Pradhan Mantri Jan Aushadhi Kendras (PMJAK), provided they meet all the eligibility criteria, such as having the necessary space, infrastructure, and a valid drug license in the name of the Jan Aushadhi Kendra. Approval from BPPI is mandatory before conversion.

What are the financial incentives for opening a Jan Aushadhi Kendra?

PMJAK operators are offered multiple financial incentives, including a 20% margin on the MRP of generic medicines for retailers and a 10% margin for distributors. Additional incentives like annual sales-based rewards, reimbursement for expired medicines, assistance for purchasing computers and furniture, and a 30-day credit period are also provided.

What challenges do Jan Aushadhi Kendra operators commonly face?

Common challenges include maintaining a consistent supply of medicines, meeting compliance requirements, managing inventory efficiently, and attracting footfall, especially in highly competitive areas. Operators also need to ensure strict adherence to storage and quality standards as mandated by BPPI.

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