Herbal extracts are typically produced through a process that involves first grinding or powdering the herb, then soaking it in a solvent, and finally extracting the now liquid herb from the plant's structural materal. Herbal extracts are available in several forms, the most common of which is alcohol-based. Technically the granule forms of herbal medicines could also be considered extracts since they are produced by extracting the essence from herbal teas. You might see them refered to as "powdered extracts". There are also homeopathic type extracts, which are relatively new to the market and are not as commonly used as the more common alcohol-based extracts. Although also alcohol-based and common in traditional use, herbal wines are not usually produced by an extraction process. Detailed informaiton on one manufacturer's herbal extract production process can be found on the "Herb Pharm" website at http://www.herb-pharm.com/AboutUs/aboutus_fs.html.