The use of plant extracts in traditional medicine has been utilized for therapeutic purposes across various cultures. In the production of plant extracts, the choice of extraction methods and solvents is critical to ensure efficacy, safety, and compliance with Halal principles. Ethanol is commonly used as a solvent due to its efficiency in extracting bioactive compounds; however, its Halal status remains a subject of debate, particularly when derived from fermentation. This article explores various extraction techniques used in traditional medicine, evaluates the suitability of different solvents, and examines scholarly discussions on the permissibility of ethanolic herbal extracts. This chapter aims to provide clarity on Halal-compliant approaches in herbal extraction, ensuring that traditional medicine aligns with Islamic dietary and ethical guidelines.