The Sustainable Development Goals (SDGs) were introduced by the United Nations and adopted by India and other member countries in 2015, aiming at a more inclusive, economically empowered, and sustainable world. The 17 SDGs encompass various targets and indicators. SDG 3 or the ‘Good Health and Well-Being’ goal aims at ensuring healthy lives and promoting well-being for all at all ages.The paper seeks to explore the pivotal challenges and opportunities of SDG 3, and how can these be addressed to ensure long-term positive impacts at the sub-national level systematically. Based on this the primary objective of the present study is to assess the level of sustainability in health and nutrition in the states and union territories of India. Statistical data analysis and comparative evaluation are performed on the findings of the Sustainable Development Goals National Indicator Framework Progress Report 2023 (MoSPI, 2023) in the background of the 39 SDG-3 indicators and 9 targets. The study is quantitative and cross-sectional in nature based on secondary data and the results of the study show that out of 15 key indicators of SDG 3, India is on track or maintaining SDG achievement in five indicators, which are (i) Maternal mortality rate (per 100,000 live births), (ii) Neonatal mortality rate (per 1,000 live births), (iii) Mortality rate under-5 (per 1,000 live births), (iv)New HIV infections (per 1,000 uninfected population), and (v) Births attended by skilled health personnel (%). The SDG index score on Goal 3 for India stands at 74. Gujarat emerges as the best performer among the states (86), and Delhi among the UTs (90) in the SDG-3 scoring of 2020. Achievement of SDG 3 is specifically essential for India, considering the demographic dividend it has at its disposal. India being presented as the voice of the Global South has become a shared platform to deliberate on the concerns, issues and policies that affect the developing countries in multi-faceted ways. India has faced hurdles in the equitable allocation and provision of health services in the past moreover there also exists a divide in rural and urban areas. Thus, it is imperative to introduce policy measures working towards the reduction of headline indicators like maternal mortality rate and alleviating malnutrition levels among children. The COVID-19 pandemic and other geo-political crises have hindered the progress in achieving SDG 3 in the last few years resulting in an exacerbation of health inequalities and a defer in progress towards universal health coverage. Health is considered a key factor in explaining the economic growth of a country. Therefore, dedicated efforts towards healthcare services and activities will contribute to the existing demographic dividend, labour productivity and lower cost of ailments. It is concluded that although India has been working to touch every aspect of SDG 3 and strengthen the health sector in the country yet for India, to achieve the 2030 target of UN SDG 3 – ‘Good Health and Well Being’, the need of the hour is to accelerate the pace of policy implementation and cover the rural-urban gap in healthcare services.