OBJECTIVE： To observe therapeutic efficacy and safety of Gandi capsules combined with routine treatment for diabetic nephropathy （DN） and its effects on related indicators. METHODS： Totally 205 patients with DN admitted to Xinhua Hospital， Shanghai Jiaotong University School of Medicine during Oct. 2016-Oct. 2017 were divided into control group （102 cases） and observation group （103 cases） according to random number table. Control group was given Recombinant human insulin lispro injection subcutaneoasly， 3 times a day+Insulin glargine injection subcutaneoasly， once a day； the dosage of insulin was adjusted according to the blood glucose level. They were also given Losartan potassium tablets orally 100 mg， once a day+Nifedipine controlled-release tablets orally 30 mg， once a day， and received  treatment as maintaining a constant intake of protein and energy， proper diet and proper exercise. Observation group was additionally given Gandi capsules orally 0.9 g， 3 times a day， on the basis of control group. Both groups received treatment for 3 courses， and a treatment course lasted for 2 months. Clinical efficacies of 2 groups were observed. The levels of blood glucose （fasting blood glucose， postprandial 2 h blood glucose， HbA1c）， liver function indexes （ALT， AST， TBIL）， renal function indexes （serum creatinine and blood urea nitrogen） and inflammatory factors （TNF-α， IL-6， TGF-β， MCP-1） and the occurrence of ADR were observed in 2 groups before and after treatment. RESULTS： All patients completed the treatment， and no patient withdrew from the study. Total response rate of observation group （63.11％） was significantly higher than that of control group （29.41％） （P＜0.05）. Before treatment， there was no statistical significance in blood glucose， liver/renal function indexes or inflammatory factors between 2 groups （P＞0.05）. After treatment， HbA1c level of observation group was significantly lower than before treatment and control group at corresponding period （P＜0.05）. Liver/renal function indexes and inflammatory factor levels of 2 groups were significantly lower than before treatment， and the observation group was significantly lower than the control group （P＜0.05）. There was no statistical significance in the incidence of ADR between 2 groups （P＞0.05）. CONCLUSIONS： Based on routine treatment， additional use of Gandi capsules can significantly improve therapeutic efficacy for DN， reduce blood glucose and inflammatory factors， improve liver and renal function without increasing the occurrence of ADR.