Parboiling rice bran is a by product of the milling process, after hydrothermal treatment of rice within the husk before milling. It contains more oil and low in vitamin B than raw rice bran. It’s also rich in proteins, fiber, minerals. It is mainly used in feed formulation for livestock and poultry. High content of oil in parboiled rice bran is susceptible to rancidity caused by hydrolytic and oxidation activity during storage. So the effect of vacuum and poly bag packaging on the production of free fatty acids (FFA) in simple and microwave heat treated parboiled rice bran was examined. Freshly milled parboiled rice bran was subjected to microwave heat treatment and simple heat treatment. Remain was used as control. Both heat stabilized and control samples were packed in vacuum 0packages and Poly bag packages. They were stored in incubator at 28 C for 8 weeks. Samples were taken for proximate analysis at 1 and 8 weeks, and at 1-week intervals for FFA determination. FFA content was increased with storage in all the samples. Lipase activity was affected by heat treatments. Reduction of free fatty acid production by microwave heat treatment was significant. Nutrient composition including protein, fat, fiber, ash and moisture were not affected by packaging methods. There is significant effect on rancidity level of vacuum and polybag packed parboiled rice bran during storage. Packaging methods and heat treatments have the effect on extending shelf life 1253105818.php