Vegetative propagation of K. galanga Linn (Zingiberaceae) cannot fulfill the current demand for planting material and tissue culture offers an alternative means for mass propagation. Experiments were carried out on propagation of plants through direct organogenesis and comparison of larvicidal activity and phytochemicals present in rhizome of natural and tissue cultured plants in order to confirm the potential use of tissue cultured plants as an alternative to natural plants in commercial scale productions. In vitro shoot induction was optimized with rhizomee bud explants grown on MS medium supplemented with 2.0 mg/L Benzyl amino purine (BAP) and 0.5 mg/L IAA (Indole-3-acetic acid). MS medium supplement with 1.0 mg/L IAA and 0.2 mg/L Indol-3-butric acid (IBA) was identified as the best medium for root induction. Rooted plantlets were acclimatized successfully (100%) in a mixture of soil: sand: compost (1: 1: 1). Hexane found to be a better solvent for extraction of phytochemicals over methanol and the 50% hexane extract showed the highest larvicidal activity against the fourth instar larvae of A. aegypti. GC-MS analysis revealed the existence of the nine key compounds in both samples tested confirming the possibility of using tissue cultured plants as a substitute for natural plants in medicinal purposes.