It's still used in Vicks

http://en.wikipedia.org/wiki/Turpentine

Hazards

Turpentine is an organic solvent. Its vapor can irritate the skin and eyes, damage the lungs and respiratory system, as well as the central nervous system when inhaled, and cause renal failure when ingested, among other things. Being combustible, it also poses a fire hazard.

Medicinal elixir

Turpentine and petroleum distillates such as coal oil and kerosene have been used medicinally since ancient times, as topical and sometimes internal home remedies. Topically it has been used for abrasions and wounds, as a treatment for lice, and when mixed with animal fat it has been used as a chest rub, or inhaler for nasal and throat ailments. Many modern chest rubs, such as the Vicks variety, still contain turpentine in their formulations.

Taken internally it was used as treatment for intestinal parasites because of its alleged antiseptic and diuretic properties, and a general cure-all as in Hamlin's Wizard Oil. Sugar, molasses or honey were sometimes used to mask the taste. Internal administration of these toxic products is no longer common today.

Turpentine was a common medicine among seamen during the Age of Discovery, and one of several products carried aboard Ferdinand Magellan's fleet in his first circumnavigation of the globe.

Turpentine was a common additive in cheap gin until the 20th century and gave it its characteristic juniper berry flavor without the need for pricier distillations with aromatic spices and berries.