Introduction: Anaemia is a serious concern for young children because it can result in impaired cognitive performance, behavioural and motor development, coordination, language development, and scholastic achievement, as well as increased morbidity from infectious diseases. While severe anaemia is typically addressed with urgency, mild-to-moderate anaemia is sometimes overlooked. However, even mild cases can have a significant impact on a child's health and development. Thus, oral iron supplementation, by reducing anaemia, can contribute to the development of a healthier and more productive population. Aim: To assess the effect of daily Iron Folic Acid (IFA) supplementation among 36-59 month old children with mild-to-moderate anaemia. Materials and Methods: This quasi-experimental study was conducted in the rural field practice areas of a tertiary care teaching hospital in central Karnataka, India from March 2022 to February 2023. After baseline assessment, 53 children aged between 36-59 months old in Anganwadi centres of the study area with mild-to-moderate anaemia (Haemoglobin - Hb: 10.9 -- 7 g/dL) were recruited for the study after obtaining informed written consent from the parents. The IFA supplementation was administered under supervision for six months. The primary outcome was rise in the Hb concentration. The paired t-test was used to statistically analyse the data. Results: Among the 53 study participants, the majority (27, 51%) were boys, and the mean age of the study participants was 46.6±8.4 months. The study showed that after six months of iron supplementation among 36-59 month old children with mild-to-moderate anaemia, there was a rise in the mean {Standard Deviation (±SD)} Hb by 0.71±0.32 gm/dL in the study participants, and it was found to be statistically significant (2.579, p=0.011). The increase in Hb was found in both girls (0.84±0.41 gm/dL) and boys (0.83±0.39 gm/dL). Conclusion: The study concluded that supervised intervention for mild-to-moderate anaemia in preschool children has the potential to reduce the prevalence of iron deficiency anaemia among this vulnerable population, but it requires a joint effort from all stakeholders involved. [ABSTRACT FROM AUTHOR]