A cytokine-mediated acute phase response is observed to be closely involved in the pathogene-sis of type 2 diabetes. The role of inflammation in type 1 diabetes is contradictory. Since Indi-ans are at high risk of developing diabetes, we tested this hypothesis by estimating circulating acute phase proteins in both type 1 (T-1) and type 2 (T-2) diabetic patients. The acute phase proteins, α1- antitrypsin, α1- acid glycoprotein, ceruloplasmin and fibrino-gen were estimated in the plasma in newly diagnosed 12 T-1 and 25 T-2 cases. Thirty normal controls to match the age and sex of the test groups were also studied. The levels of these pro-teins were correlated with their BMI and random plasma glucose values. In comparison with the controls, T-1 cases showed significantly higher levels of the acute phase proteins (except α1- acid glycoprotein). The values of all the four proteins studied were significantly elevated in the T-2 patients (p<.00001). Except for ceruloplasmin levels, T-2 cases had significantly higher values when compared to the T-1 cases (p<.00001). Interestingly, no correlation was found with BMI or the degree of hyperglycemia in either of the types. A low grade inflammatory process is definitely implicated in the pathogenesis of both type 1 and type 2 diabetes. This line of pathological basis should be further explored for diagnosis, management and follow up.