Indian Food Specialties Limited (IFS) introduced tools of Food Quality Management in May 2000 in response to changing market conditions and poor profitability. Spoilage in the production process was very high and the company had incurred losses for three successive years starting from 1996-97. The company addressed quality concerns by introducing management tools capability indices and was considering implementation of a food safety system called Hazard Analysis and Critical Control Points(HACCP). The case describes the changing market conditions and the company's response to improving quality and provides a learning exercise on quality control charts, process capability indices, and HACCP.