Abstract: The study was carried out during and after an outbreak of foot and mouth disease (FMD) in Baghabari milk shed area, Sirajgonj, Bangladesh for a period of one year. Results showed that the incidence of FMD varied significantly (p<0.01) in different host species with higher incidence in cattle (63.41%) followed by sheep/goats (50.96%) and buffaloes (48.02%). Among cattle, FMD was found to occur significantly (p<0.01) higher in cows (68.01%) than in bulls/bullocks (60.09%) and calves (56.02%). A total of 125 (9.71%) calves died of FMD and the financial loss incurred from this mortality was estimated to be US$ 6250 (@US$ 50/calf). The economic losses due to calf mortality, reduced milk yield and draft power would stand at US$ 163329 for cattle alone. Losses incurred from draft power cattle ranged from 10.5-15.5 kilo-watt hour. The FMD virus types were identified as Asia1 and O by examining 32 tongue epithelial samples adopting complement fixation test (CFT).