This invention relates to a novel herbal composition comprising an extract of flowering and fruiting heads of the 
plant, Sphaeranthus indicus. The said extract of Sphaeranthus indicus contains a compound, 3a-hydroxy-5a,9-dimethyl-3- 
methylene-3a,4,5,5a,6,7,8,9b-octahydro-3H-naphtho[1 ,2-b]
furan-2-one (7- Hydroxy-4,1 1 (13)-eudesmadien-12,6-olide) (compound 1 ), as a bioactive marker. The invention also relates to a composition comprising 3a-hydroxy-5a,9-dimethyl- 3-
methylene-3a,4,5,5a,6,7,8,9b-octahydro-3H-naphtho[1 ,2-b]
furan-2-one (compound 1 ) as an 
active ingredient. The invention also relates to methods of manufacture of the said compositions. The invention also relates to methods of administration of the said compositions to a subject in need of treatment for an 
inflammatory disorder.; The invention also relates to 
tumor necrosis factor-a (TNF- a) and 
interleukin (IL-1 , IL-6, IL-8) inhibitory activity of the said compositions. The invention relates to inhibition of the expression of 
intercellular adhesion molecule 1 (ICAM-1 ), vascular-
cell adhesion molecule 1 (VCAM-1 ), and E-
Selectin by the said compositions. The said compositions may optionally contain at least one anti-inflammatory agent or can be used in combination with at least one anti- inflammatory agent.