In recent days, need for consideration of blast load in the design of foundation has been realized. Underground blast generates ground shock wave which affects the foundation. Ground vibration is generated due to blast. Since full-scale experiments of blast are expensive and model tests are unrealistic, numerical simulation of blast is need of the hour to understand the complex response of underground structure subjected to blast. FLAC^3Dcan be used to model ground shock wave propagation as well as soil structure interaction due to shock load. The application of FLAC^3D for modeling of ground shock wave propagation has been highlighted. Salient features of modeling of soil subjected to underground blast namely model generation, assigning properties and material model, applying boundary conditions, modeling of blast load and crater dimensions have been discussed in this paper. Modelling of shock wave propagation in soil has been done with FLAC^3D to calibrate the model for further carrying out soil-structure interaction modelling. Results are presented in terms of peak particle velocity (PPV) which has been compared with field values and other empirical formulae of PPV. Keywords: Modeling; Blast; Foundation; Soil.