The escalating global demand for plant-based therapeutics, coupled with mounting environmental concerns surrounding conventional pharmaceutical manufacturing, has necessitated a fundamental re-evaluation of drug development paradigms. Herbal drug development has traditionally relied upon energy-intensive processes, hazardous organic solvents, and waste-generating methodologies that pose significant ecological and occupational health risks. Green chemistry, defined by Anastas and Warner as the design of chemical products and processes that reduce or eliminate the use and generation of hazardous substances, offers a compelling and pragmatic framework to address these systemic inefficiencies. The present review critically examines the translational application of green chemistry principles in phytopharmaceutical development, with emphasis on sustainable extraction techniques, solvent minimization, energy efficiency, and integrated waste management strategies. It further evaluates advanced technologies including supercritical fluid extraction, microwave-assisted extraction, ultrasound-assisted extraction, and enzymatic bioprocessing through the dual lenses of scientific efficacy and environmental sustainability. Process optimization strategies relevant to industrial scale-up are assessed, alongside the roles of regulatory frameworks and ethical sourcing in legitimizing green pharmaceutical practices. Current technological and economic barriers to widespread adoption are critically appraised, and future trajectories in sustainable phytopharmaceutical innovation are proposed. It is concluded that green chemistry not only reduces the ecological footprint of herbal drug manufacture but also enhances product quality, bioactive compound integrity, and long-term commercial viability, thereby positioning sustainability as both a scientific and strategic imperative in modern natural product drug development.