The present invention relates to a herbal composition and process for preparation thereof. These composition or formulation is useful for the treatment of sunburn, dryness of skin and frost bite. The composition comprises alcoholic extracts of Calendula officinalis in the range of about 0.70 to 1.40% (w/w); Arctium lappa in the range of about 0.23 to 0.77% (w/w); Aloe vera in the range of about 0.60 to 1.60% (w/w); Curcuma domestica in the range of about 0.25 to 1.50% (w/w); and Hedychium spicatum in the range of about 0.18 to 1.08% (w/w). The composition further comprises: oil of Madhuca butyracea in the range of about 4.00 to 8.00% (w/w), oil of Prunus americana in the range of about 3.00 to 10.00% (w/w), oil of Triticum vulgare in the range of 1.00 to 5.00% (w/w) and oil of Cymbopogon citratus in the range of about 0.20 to 1.50% (w/w).