Jaggery, due to its nutraceutical properties, can be used as a substitute to white refined sugar. Fruit toffees containing plenty of sugars can be detrimental to human health. Therefore, the present study intended to utilize liquid jaggery to develop a functional fruit toffee. Different formulations were prepared by varying the levels (0-100%) of liquid jaggery in conventional toffee recipe containing pumpkin pulp as base material. Based on overall sensory characteristics, toffee prepared with 50% liquid jaggery was most acceptable and further selected for shelf study evaluation. With a view to improve the shelf life, different packaging materials (laminated foil, butter paper, and plain paper) were explored under room temperature storage (25 & PLUSMN; 1 & DEG;C). The results indicated that both storage interval and packaging materials influenced the physiochemical and phytochemical properties. Jaggery-based pumpkin toffees wrapped in laminated foil maintained better color, texture, and higher bioactives compared to other two packaging materials. Toffees packed in laminated foil and butter paper showed satisfactory organoleptic and microbial quality up to 6 months while shelf stability of paper wrapped product was up to 4 months.