The technical study had been performed on many foreign languages like Japanese Chinese etc. but the efforts on Indian ancient script is still immature. As the Modi script language is ancient and cursive type, the OCR of it is still not widely available. As per our knowledge, Prof. D.N.Besekar, Dept. of Computer Science, Shri. Shivaji College of Science, Akola had proposed a system for recognition of offline handwritten MODI script Vowels. The challenges of recognition of handwritten Modi characters are very high due to the varying writing style of each individual. Many vital documents with precious information have been written in Modi and currently, these documents have been stored and preserved in temples and museums. Over a period of time these documents will wither away if not given due attention. In this paper we propose a system for recognition of handwritten Modi script characters the proposed method uses Image processing techniques and algorithms which are described below. General Terms Preprocessing techniques Gray scaling, Thresholding, Boundary detection, Thinning, cropping, scaling, Template generation. Other algorithms used Average method, otsu method, Stentiford method, Template based matching method.