The main objective of this research work is to develop polymeric formulation to be applied in the treatment of skin wounds. Hydrogels are one of the most popular types of wound dressings. In addition to this, hydrogels have been found to promote fibroblast proliferation by reducing the fluid loss from the wound surface and protect the wound from external noxae necessary for rapid wound healing. Curcumin and honey have proven wound healing activities. It is envisaged to utilize the properties of both the herbal actives by formulating them in a suitable dosage form for the effective management of wounds. On the basis of DOE, four formulations were selected as optimized formulation for preparation of hydrogel because the results of experimental values for composition of gels are more similar to the predicted values and also these are within limit. It was observed from the data as shown that collagen and Chitosan solution concentration affected the percentage release of drug from the dosage form. It was found that cumulative drug release from formulation was reduced insignificantly when Collagen and Chitosan increased. It was due to the fact that with chitosan at concentration of 0.25% and Collagen concentration 1.25% showed good porosity and swelling ratio that allowed the better absorption of buffer media through polymeric network and hence release was prolonged upto 24 hrs.