The herbal composition for treating diabetes is a mixture of medicinal herbs, including gymnema (Gymnema sylvestre), bilberry (Vaccinium myrtillus), Asian ginseng (Panax ginseng), fenugreek (Trigonella foennum-graecum), marshmallow (Althaea officinalis), “true cinnamon” (also known as “Ceylon cinnamon” or “Sri Lanka cinnamon”) (Cinnamomum verum), bitter melon (also known as “bitter gourd”) (Momordica charantia), autumn crocus (also known as “meadow saffron”) (Colchicum autumnale), bay laurel (Laurus nobilis), colocynth (Citrullus colocynthis) and prickly pear (also known as “cactus pear”) (Opuntia ficus-indica). Preferably, the herbal components of the above composition are dried, ground and packaged in a teabag or the like, allowing the composition to be delivered to the patient as an aqueous extract, similar to a conventional herbal tea. Preferably, about 5 grams of the composition are contained in the teabag, which is steeped in about 150 mL of boiling water for between about three minutes and about five minutes.