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Abstract: Nitric oxide (NO) is an important cellular mediator of tissue repair. It is produced in macrophages by the enzyme inducible nitric oxide synthase (iNOS) during wound healing. An aqueous extract of human placenta used as wound healer, has been investigated in terms of induction of NO by mouse peritoneal macrophages as well as human monocyte derived macrophages. NO production was estimated in macrophages culture supernatants. Incubation of 0.1 to 20 mg/ml of placental extract with 2×106 cells in vitro produced 10 to 100 μM of nitrite (n =4) in a dose dependent manner suggesting production of NO. With increase of NO production, NADPH present in the applied extract decreased proportionately. Application of L-NG monomethyl arginine (L-NMMA), an NO synthase (NOS) inhibitor, reduced the production of NO at the basal level. Dose dependent release of IFN-γ with respect to placental extract by the mouse macrophages was observed. It has been observed that human monocytes derived macrophages also produced significant amount of NO by induction of the extract. Similar induction of NO by placental extract in presence and absence of polymyxin B suggested that this property is not likely to be mediated by the endotoxin/LPS. [Copyright &y& Elsevier]