Recently, Complementary and alternative medicine began to receive wide attention as an alternative solution to Western medical service. Some countries already try to promote their traditional medicine as a national project. At this point of time, Korean Medicine has the potential to enter the overseas medical service market. It is time to raise our competitiveness in the world market as well as in the domestic market. It is needed to focus the research on the competitive field and to set up an environment for the smooth supply of the material resources such as herbs and products made with herbs. This paper reports the current state of the supply and the R&D of herbs and herbs-relating products, and attempts to establish an industralization strategy.