The present study on antidiabetic activity of single blend nutraceutical incorporated cookies on alloxan induced diabetic rats was undertaken to develop low-glycemic index cookies using functional ingredient like flaxseed and as well as to assess its functional efficacy in terms of hypoglycaemic, hypocholesterolemic effect The cookies were developed at different level of incorporation of flaxseed flour (20%, 30% and 40%) and were subjected to acceptability trials. The cookies incorporated with 30% flaxseed flour was highly acceptable in terms of all the sensory attributes. The GI and anti diabetic efficacy of the cookies was estimated through animal experimentation. The GI of the developed cookies was 30 indicating that the cookies were low glycemic. Impact of supplementation of the cookies to alloxan induced diabetic rats revealed that there was a significant decrease (p<0.001) in blood glucose level in the experimental group fed with flax seed cookies as compared to diabetic control group after 15 days of intervention. The overall decrease in mean blood glucose level in experimental animals fed with flaxseed cookies was 93 mg/dl at the end of 15 days intervention period. Alloxan mediated body weight reduction was also reversed due to flaxseed cookies supplementation as well as the total protein level increased from 5.5g/dl in diabetic rats to 6.45 g/dl in experimental group fed with flaxseed cookies suggesting the regeneration process. The total cholesterol level reduced significantly from 201mg/dl in diabetic rats to 104mg/dl in experimental group fed with flaxseed cookies and similarly SGPT and SGOT reduced from 102u/l and 110u/l in diabetic rats to 51u/l and 59u/l respectively in experimental group fed with flaxseed cookies at the end of the intervention period.