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The efficacy and safety of Panchakarma depend on the quality of the medicines used, notably medicated oils (Taila), medicated ghee (Ghrita) and decoctions (Kwatha). These dosage forms are prepared by classical pharmaceutical processes described in Ayurvedic texts, such as Sneha Kalpana and Kwatha Kalpana. This article reviews the principles of their preparation, including the proportions of Kalka, Sneha and Drava, the stages of Sneha Paka, and the preparation of Kwatha; the parameters used for standardisation, including organoleptic, physicochemical, chromatographic, microbial and contaminant limits; and the regulatory framework. Challenges include variation in raw materials, lack of uniform processes, adulteration and contamination. Application of Good Manufacturing Practice and modern analytical tools, while respecting classical principles, is essential for reproducible Panchakarma practice.