Actually,one of my friend is planning to set-up Medical Oxygen plant,since it is going to be used in hospitals it has to follow tight quality standards,can any one help me what are the standards to be followed in this kind of industy.
If your friend is seriously interested (it is not a small undertaking) the standards, requlations and approvals depend on what country(s) your friend intends to sell to.
Also your friend will need to look at the local standards authority, government and medical authority websites for specific guidance related to the target market country(s). Also, in addition to the medical standards the equipment will need to pass any applicable electrical and EMC standards and CE, UL (or similar) certification (country dependent).
Additionally, a google search of "Medical Oxygen generators" will help give an overview of what is involved (and what standards and approvals existing equipment is tested to for a given country). This should be done first.
This is not a complete list of standards, regulations and certification marks, but as you can see a lot is required to get a product to market in such a specialised field.