Objective: The objective of the experiment was to assess efficacy of herbal teat dip, Mastidip liquid (M/S Ayurvet Limited, India) in reducing incidence of mastitis in healthy animals, sustenance of lactation & in improving milk yield. Method: 30 apparently healthy mastitis free lactating Holstein freisian cows of same lactation and in early lactation were divided into three groups. Group I served as Control animal group, no treatment group. Group II, was treated with an herbal teat dip post milking in 1:1 dilution twice daily and Group III, was treated with herbal teat dip post milking in 1:2 dilution twice daily immediately after milking. Result: Statistical analysis of the results showed significantly lower SCC (x103) in Group III (155.2±43.7) and in Group II (188.26±35) in comparison to untreated Group I (348.26±68.28). None of the animals in group II showed signs of SCM and CM during the study. The milk yield was significantly improved in Mastidip liquid treated group. Conclusion: Herbal teat dip post milking in 1:1 dilution twice daily immediately after milking for a period of one month was found to be more efficacious in preventing the incidence of both SCM and CM in dairy cows.