diff --git a/buildSrc/src/test/java/org/opensearch/gradle/plugin/OptionalDependenciesPluginTests.java b/buildSrc/src/test/java/org/opensearch/gradle/plugin/OptionalDependenciesPluginTests.java
new file mode 100644
index 0000000000000..ee29f5653d18a
--- /dev/null
+++ b/buildSrc/src/test/java/org/opensearch/gradle/plugin/OptionalDependenciesPluginTests.java
@@ -0,0 +1,85 @@
+/*
+ * SPDX-License-Identifier: Apache-2.0
+ *
+ * The OpenSearch Contributors require contributions made to
+ * this file be licensed under the Apache-2.0 license or a
+ * compatible open source license.
+ */
+
+package org.opensearch.gradle.plugin;
+
+import org.apache.maven.model.Dependency;
+import org.apache.maven.model.Model;
+import org.apache.maven.model.io.xpp3.MavenXpp3Reader;
+import org.codehaus.plexus.util.xml.pull.XmlPullParserException;
+import org.gradle.testkit.runner.BuildResult;
+import org.gradle.testkit.runner.GradleRunner;
+import org.junit.After;
+import org.junit.Before;
+import org.junit.rules.TemporaryFolder;
+import org.opensearch.gradle.test.GradleUnitTestCase;
+
+import java.io.File;
+import java.io.FileNotFoundException;
+import java.io.FileOutputStream;
+import java.io.FileReader;
+import java.io.IOException;
+import java.io.InputStream;
+import java.io.OutputStream;
+import java.util.Optional;
+
+import static org.gradle.testkit.runner.TaskOutcome.SUCCESS;
+import static org.hamcrest.CoreMatchers.is;
+
+public class OptionalDependenciesPluginTests extends GradleUnitTestCase {
+    private TemporaryFolder projectDir;
+
+    @Before
+    public void setUp() throws Exception {
+        projectDir = new TemporaryFolder();
+        projectDir.create();
+    }
+
+    @After
+    public void tearDown() {
+        projectDir.delete();
+    }
+
+    public void testApply() throws FileNotFoundException, IOException, XmlPullParserException {
+        final File mavenRepoDir = new File(projectDir.getRoot(), "mavenrepo");
+
+        try (InputStream in = getClass().getClassLoader().getResourceAsStream("plugin/optional-dependencies.gradle")) {
+            try (OutputStream out = new FileOutputStream(projectDir.newFile("build.gradle"))) {
+                in.transferTo(out);
+            }
+        }
+
+        GradleRunner runner = GradleRunner.create()
+            .forwardOutput()
+            .withPluginClasspath()
+            .withArguments("publish", "-PrepoUrl=" + mavenRepoDir.toURI().toURL())
+            .withProjectDir(projectDir.getRoot());
+
+        BuildResult result = runner.build();
+        assertEquals(SUCCESS, result.task(":" + "publish").getOutcome());
+
+        final String name = projectDir.getRoot().getName();
+        assertDependency(mavenRepoDir, name);
+    }
+
+    private void assertDependency(File repoUrl, String name) throws FileNotFoundException, IOException, XmlPullParserException {
+        final File pom = new File(repoUrl, "org/custom/group/" + name + "/1.0.0/" + name + "-1.0.0.pom");
+        assertThat(pom.exists(), is(true));
+
+        final MavenXpp3Reader reader = new MavenXpp3Reader();
+        final Model model = reader.read(new FileReader(pom));
+
+        final Optional<Dependency> dependecyOpt = model.getDependencies()
+            .stream()
+            .filter(d -> d.getArtifactId().equals("commons-lang3"))
+            .findAny();
+
+        assertThat(dependecyOpt.isPresent(), is(true));
+        assertThat(dependecyOpt.get().isOptional(), is(true));
+    }
+}
diff --git a/buildSrc/src/test/resources/plugin/optional-dependencies.gradle b/buildSrc/src/test/resources/plugin/optional-dependencies.gradle
new file mode 100644
index 0000000000000..ebcf758f578d8
--- /dev/null
+++ b/buildSrc/src/test/resources/plugin/optional-dependencies.gradle
@@ -0,0 +1,39 @@
+/*
+ * SPDX-License-Identifier: Apache-2.0
+ *
+ * The OpenSearch Contributors require contributions made to
+ * this file be licensed under the Apache-2.0 license or a
+ * compatible open source license.
+ *
+ * Modifications Copyright OpenSearch Contributors. See
+ * GitHub history for details.
+ */
+
+plugins {
+  id 'java'
+  id 'maven-publish'
+  id 'opensearch.optional-dependencies'
+}
+group = "org.custom.group"
+version = '1.0.0'
+
+repositories {
+  mavenCentral()
+}
+
+dependencies {
+  implementation 'org.apache.commons:commons-lang3:3.3.2', optional
+}
+
+publishing {
+  publications {
+    mavenJava(MavenPublication) {
+      from components.java
+    }
+  }
+  repositories {
+    maven {
+      url "${repoUrl}"
+    }
+  }
+}