Effects of neem formulations on the reproduction and survival of the egg parasitoid Trichogramma minutum Riley were examined to assess the compatibility of the two control strategies in integrated pest management programs. A laboratory bioassay was developed for this purpose, which could be used as a model ecotoxicological system. Eggs of the Mediterranean flour moth, Ephestia kuehniella Zeller (Lepidoptera: Pyralidae), which had been treated with an acetone solution containing an azadirachtin-based formulation, were presented to individual T. minutum females. These eggs were held until parasitoids completed development and emerged from the eggs. Survival of T. minutum females 1 day after treatment, number of Mediterranean flour moth eggs parasitized, proportion of parasitized eggs from which adults emerged, and sex ratios of emerging adult parasitoids were determined. Two formulations of neem-seed extracts containing azadirachtin and a purified azadirachtin standard were tested at an operational dose and at 10 times the operational dose. At 50 g azadirachtin/ha (operational dose), no significant effects were observed on survival of parasitoid females. At 500 g azadirachtin/ha, female survival after 1 day was significantly reduced by Azatin EC and Neem EC. No reduction was evident with the 100% azadirachtin treatment, suggesting that other components of the formulations were in part responsible for the toxicity to females. Likewise, at 500 g azadirachtin/ha, the number of eggs parasitized was greatly reduced by Azatin EC and slightly reduced by Neem EC but was not reduced by an azadirachtin standard. These reductions in egg parasitism were probably due to the observed effects on female survival. At 500 g azadirachtin/ha, parasitoid developmental success was reduced by all treatments including the azadirachtin standard. Neem EC and Azatin EC at the lower dose also had a small but significant effect on developmental success. Sex ratio of emerging adults was not affected. These results indicate that azadirachtin is compatible with T. minutum during egg parasitism at operational dosages.