Rice sheath blight is one of the most destructive diseases worldwide, resulting in heavy yield loss every year. It is prevalent in almost all rice growing areas of the world as well as India, and has become a major constraint to rice production during the last 2 decades. An experiment was conducted to determine the nature and magnitude of gene action governing the resistance to sheath blight and association between yield related traits with area under disease progress curve. Six generations viz., P1, P2, F1, F2, B1 and B2 were developed from the cross involving high yielding susceptible rice variety HUR 105 and resistant Tetep. The interaction was duplicate for days to 50% flowering, plant height, number of effective tillers per plant, fertile spikelet per panicle, total number of spikelet panicle, spikelet fertility percentage, test weight, grain yield per plant and area under disease progress curve, while complementary for days to maturity, panicle length and flag leaf length. The number of effective factors for sheath blight ranged from 1.31 to 4.14 indicated that 1 to 4 genes were involved in the inheritance of resistance. The area under disease progress curve showed significant positive association with days to 50% flowering, days to maturity, number of effective tillers per plant, flag leaf length, fertile spikelet per panicle, spikelet fertility percentage, test weight and grain yield per plant while significant negative with plant height. The trait days to 50% flowering contributed highest positive direct effect on area under disease progress curve followed by spikelet fertility percentage, grain yield per plant, plant height, test weight, fertile spikelet per panicle and number of effective tillers per plant. Thus, the information on genetics of various contributing traits of resistance will further aid plant breeders in choosing appropriate breeding strategy for sheath blight resistance and yield enhancement in rice. © Society for the Advancement of Breeding Research in Asia and Oceania.