The present invention discloses herbal composition comprising therapeutically effective combination of leaf extract obtained from Schinus terebinthifolius and essential oils obtained from fruits of Schinus terebinthifolius along with pharmaceutically acceptable additives effective in inhibiting microorganisms found in the mouth, preventing caries and ameliorating infectious conditions and thus maintaining oral hygiene. The herbal composition of the present invention is in the form of a solution which is used as mouth wash and mouth spray. The present invention also discloses a process for preparation of said herbal composition.