Azotobacter chroococcum MAL-201 (MTCC 3853), a poly-3-hydroxybutyric acid [P(3HB)] producing organism was subjected to mutagenesis by UV-irradiation and N'-methyl-N'-nitro-N'-nitrosoguanidine (MNNG). A sharp decline in survival percentage of treated cells both in UV (1.2% at 20 sec. exposure) and in MNNG ((0.26% at 30 microg/ml) suggest high degree of sensitivity of the isolate to these mutagens. A total of 124 mutant colonies were isolated from viable population based on their morphological features, antibiotic resistance and dependence on exogenous organic nitrogenous substances. Nature of mutants were confirmed by replica plating and growth on antibiotic and organic nitrogen supplemented Norris agar medium. Majority of mutants were devoid of exopolysaccharide, dependent on organic nitrogen and with weak P(3HB) content. The mutant strain, UC-220, a nitrogen-dependent, chloramphenicol-resistant mutant showed an enhancement of more than 10% (w/w) P(3HB) production compared to that of wild type strain when grown under identical conditions.