Development of an ideal process for reduction of food phytates using microbial phytases is a demanding task by all food and feed industries all over the world. Phytase production by Bacillus subtilis subsp. subtilis JJBS250 isolated from soil sample was optimized in submerged fermentation using statistical tools. Among all the culture variables tested, sucrose, sodium phytate and Tween-80 were identified as the most significant variables using the Placket-Burman design. Further optimization of these variables resulted in a 6.79-fold improvement in phytase production (7170 U/L) as compared to unoptimized medium. Supplementation of microbial phytases (fungal and bacterial) resulted in improved bioavailability of nutritional components with the concomitant liberation of inorganic phosphorus, reducing sugar, soluble protein and amino acids, thus mitigating anti-nutritional properties of phytic acid.