A mixed pasture comprising of buffel grass and a legume siratro was studied under field condition for a two-year period to know the fodder yield increase, nitrogen fixation and nitrogen balance with and without the inoculation of VA mycorrhiza to grass and Rhizobium to legume component.15N dilution technique was followed using labelled ammonium sulphate. The data showed that during the first year of the above study combined inoculation of VA mycorrhiza and Rhizobium to grass and legume respectively significantly increased the total dry matter (DM) (23,900 kg ha−1 yr−1) and total N content (308 kg ha−1 yr−1) of the mixed pasture over the uninoculated mixture. However, the above increase due to combined inoculation was maximum during second year with respect to DM yield (28,200 kg ha−1 yr−1), but the total N harvested through grass-legume mixture was comparatively lower than the first year (297 kg ha−1 yr−1). The amount of biologically fixed N was highest in the first year (79 kg ha−1 yr−1) and showed a very drastic reduction at the end of second year (39 kg ha−1 yr−1). A positive nitrogen balance was observed in the grass-legume mixture irrespective of inoculation of VA mycorrhiza and/or Rhizobium.