This act regulates the manufacturing, distribution, import and sale of drugs and cosmetics.

The Drug Technical Advisory Board is constituted by Central Government to advise on technical matters arising out of administration of this Act and to carry out the other functions assigned to it by this Act. For Ayurvedic, Siddha and Unani Drugs, a separate boards called Ayurvedic, Siddha and Unani Drugs Technical Advisory Board is created.

The Act describes about standard of qualities, misbranded-adulterated-spurious drugs/cosmetics. It banned production and import of non-standard items. It also make mandatory disclosure of name of the manufacturers etc. Some other liabilities are also put on manufacturers.

The contravention of provisions of this Act is offence and punishable.