Evidence for the possible development of groundnut (Arachis hypogaeaL.) cultivars with favourable agronomic characteristics and resistance to aflatoxinproducing strains ofAspergillusspecies is presented. In studies of F2and F3progenies from crosses of resistant and susceptible genotypes data on the frequency distribution and least square estimates of genetic effects showed the possibility of selecting for resistance to seed colonisation by the fungus. Yield, value and seed quality data for seven advanced lines developed by using pedigree selection from crosses showed that potential favourable groundnut cultivars may be developed.