The effect of level and type of fat as well as emulsifiers on the rheological characteristics of biscuit dough and quality of biscuits has been studied. Increasing the level of fat from 150 to 250 g kg−1 softened the dough, as indicated by a reduction in extrusion time from 108 to 18 s and an increase in compliance from 31.9 to 49.9%, while it reduced the development of gluten, as shown by a reduction in elastic recovery from 0.485 to 0.365 mm. Among the different types of fats used, hydrogenated fat produced the stiffest dough. Addition of any of the emulsifiers glycerol monostearate, lecithin or sodium stearoyl lactylate lowered the elastic recovery value, indicating their contribution to the shortening effect on gluten, and also resulted in a reduction in consistency and hardness and made the dough more cohesive. The maximum change was observed with sodium stearoyl lactylate. The density, breaking strength and compression strength of biscuits decreased, indicating an improvement in crispness, with increasing fat level. The thickness of biscuits was significantly higher when hydrogenated fat or oil was used in the formulation. Biscuits made with bakery shortening had better surface characteristics and higher crispness. Glycerol monostearate and lecithin brought about a greater improvement in the quality of biscuits when compared with sodium stearoyl lactylate. Studies indicated that emulsifiers in general had a greater beneficial effect, particularly in the case of biscuits made from medium hard wheat flour. © 1999 Society of Chemical Industry