This invention discloses a curcumin composition for increasing the bioavailability of curcumin, which consists of curcumin mixture and water extract in a ratio of 70:30. The curcumin mixture comprises curcumin dry crystals, volatile oil, fixed oil whereas water extract comprises soluble proteins, dietary fibers and carbohydrates extracted from turmeric. The composition also consists of a natural emulsifier isolated from Quillaja saponaria and lecithin. The composition increases rate of availability of curcumin as the dietary fibers holds the curcumin for long time. The soluble proteins increase the solubility of curcumin in water thus increasing absorption of curcumin in blood and the essential oil increases dispensability. The invention also discloses the method of preparation of the composition. The curcumin composition showed bioequivalence with 500 mg curcumin capsules, exhibited anti-aging, antioxidant, anti-inflammatory activities and is also effective in boosting the phagocyte mediated immunity suggesting as natural therapy for treatment of various diseases.