From today, the new UK aid logo will be applied to items like emergency grain packets, schools and water pumps, the source added.
UK has committed itself to spend 280 million pounds per year as aid in India until 2015.
"The new look will help to drive home the message that Britain deserves credit for the results that UK aid delivers, for example in vaccinating millions of children and getting millions more into school over the past two years," the Department for International Development said in a statement.
"For too long, Britain has not received the credit it deserves for the amazing results we achieve in tackling global poverty. Some in the development community have been reluctant to 'badge' our aid with the Union Flag," International Development Secretary Andrew Mitchell said.
He added: "I disagree: I believe it is important that aid funded by the British people should be easily and clearly identified as coming from the UK. It is right that people in villages, towns and cities around the world can see by whom aid is provided."
According to Mitchell, British aid was achieving results of which "everyone in the United Kingdom can be proud."
"And I am determined that, from now on, Britain will not shy away from celebrating and taking credit for them," he said.
