Marmalade is a jelly with pieces of fruit suspended in it consumed in pastries, households, hotels, schools and military camps. The discarded by-product utilization is the main source of value addition in making marmalade by using lime peels. The experiment was planned using different treatments consisted of two levels of pre-treatment i. e. blanching and without blanching, three levels of blending ratio (lime: aloe vera pulp) i.e. 80:20, 70:30 and 60:40, two levels of peel size of lime i.e. chips and crushed form of peel and three level of sugar solution i. e. 50, 60 and 70 0 Brix . The effect of blanching on quality of Aloe vera fortified lime marmalade was assessed by standardizing blending ratio, peel size and sugar solution on the basis of biochemical and sensory analysis of samples. It may be recommended that the Aloe vera fortified marmalade should be made with 60:40 lime and Aloe vera blending ratio without blanching treatment in 60 oBrix sugar solution with addition of crushed form of lime peels to get the biochemical parameters like pH, TSS, ascorbic acid, iron content, total sugar, reducing sugar, protein content and sensory evaluation of marmalade samples with the values of 2.44, 84.5 0Brix, 238 mg/g, 48.40 mg/g, 7.15 %, 5.48 % and 1.95 mg/g respectively with the highest score of overall acceptability. During storage studies, it was found to be no bacterial growth till the fourth months of storage period which shows the antimicrobial and antibacterial properties of lime and aloe vera.