The present study was undertaken to investigate the genetic parameters of yield component and quality traits of the F3 population from BPT 5204 and JAK-686 cross in rice. High heritability and high genetic advance as a percentage of the mean were recorded for productive tillers per plant, grains per panicle, panicle length and grain yield per plant indicating the effectiveness of direct phenotypic selection for improvement of these traits. For traits such as grains per panicle, 1000 grain weight, amylose content and grain protein content, the magnitude of additive (d) effects surpassed dominance (h) gene effects. This implies that phenotypic selection using methods like pureline selection, mass selection would be beneficial. Gel consistency exhibited complimentary gene interaction. Furthermore, duplicate gene interaction was prevalent in traits like days to 50% flowering, productive tillers per plant, plant height, panicle length, grain yield per plant, kernel length, kernel breadth, and kernel L/B ratio, making selection in later generations more effective. The inheritance studies highlighted the importance of selecting desired recombinants from the segregating population to enhance rice quality as well as grain yield. Keywords: Rice, Grain protein content, Quality, Variability, Heritability, Gene action