Pharmacy Pro

7 min read

How to open a medical store in India: a practical 2026 guide

Opening a medical store in India means meeting pharmacy regulations, obtaining a retail drug licence, and setting up GST billing and inventory. Here's a practical overview of the steps. Rules and fees vary by state, so always confirm the specifics with your State Drugs Control Department.

1. Arrange a registered pharmacist

A retail pharmacy must operate under a registered pharmacist (D.Pharm or B.Pharm, registered with the State Pharmacy Council). If you aren't a pharmacist yourself, you'll need to employ one — the drug licence is tied to a qualified person being available at the store.

2. Secure the premises

You need a commercial space, commonly at least ~10 sq. metres for a standalone retail pharmacy, with adequate storage and a refrigerator for drugs that need cold storage. Keep the ownership document or a registered rent agreement handy — you'll submit it with the licence application.

3. Apply for the retail drug licence

The key approval is a retail drug licence (Forms 20 and 21 under the Drugs and Cosmetics Rules), issued by your State Drugs Control Department, usually through the state's online portal. A drugs inspector typically verifies the premises before the licence is granted.

4. Prepare your documents

Typical requirements: identity and address proof of the applicant, premises proof (ownership/rent agreement), a site plan, the pharmacist's registration certificate and appointment letter, proof of refrigeration, the fee challan, and constitution documents if you're a firm or company.

5. Register for GST

Most pharmacies register for GST to bill compliantly. Medicines mostly fall under 5% or 12% GST. Depending on turnover you may also need e-invoicing and e-way bills (see our GST guide).

6. Budget for setup and timelines

Government licence fees are modest, but total setup — interiors, fridge, billing hardware and opening stock — varies widely by location and size. Licence processing commonly takes a few weeks after inspection. Confirm current fees and timelines with your state authority.

7. Set up billing, inventory and compliance

From day one you'll need fast GST billing, batch and expiry tracking, and clean reporting. This is exactly what Pharmacy Pro handles — including a 2,00,000+ product master, automated purchase entry, and local + Google Drive backups — so your store runs smoothly from the first bill.

Frequently asked questions

Not necessarily — but a registered pharmacist must be available at the store, since the retail drug licence is tied to a qualified person. Many owners employ a pharmacist.

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