I didn't see this particular video but I heard him criticizing them in another one (the one about the complexification of spiritual theory).
From the perspective of Self-Realization as seen by Jnana Yoga, he is actually right (IMO). It seems highly unlikely that one can go from I am this, to I am, to I-I, to beyond the I with the help of psychedelics because the psychedelic experience as wild, eye-opening, wisdom packed, healing, etc as it can be, still is but an experience, still is but a thing in the world of forms. So what's the problem then ? Why not do with the potentiation of psychedelics what can be done sober, why wouldn't it be easier, or at least the same ?
Because when you are sober (from psychedelics) you are in familiar ground, you are of earth, you will not be easily shaken to the core by something perceived as "over there." you will not be tripping on aliens or the colors of the wall before you, you will not be confused by some shroomey entity or some weird machine-elves, you will not forget half of what happens, etc.
So I think for most people, what Shunyamurti says actually applies.
Micro-dosing seems acceptable (& probably helpful) within that frame though.