The present paper investigates the redeeming force of hybridity in female Indian diasporant in Chitra Banerjee Divkaruni's The Mistress of Spices. Tilo, the heroine of this novel, leaves her homeland in the hope of integrity, autonomy and a better life. She craves for America like a baby that craves for the mirror image. However, as the subject of the Lacanian Mirror stage undergoes shatter in the identity, she undergoes the same fracture in that of hers. Therefore, in the host land she undergoes unhomliness. In other words, she becomes an outsider not only to her host country but also to her home country, and as a result she loses the world in which she has forged her very identity. Yet in order to come in terms with the confusion of identities, to resolve the problem of being drawn toward both countries, she balances her dual-identities. Therefore, she resolves her fractured identity, negotiates borders, emerges as a successful woman and alters her roles and her identity and better to say assumes a new identity. In other words, she experiences the so-called hybridity and in-betweenness. A study in the light of Homi Bhabha's insights seeks to demonstrate that being positioned in the Third space and experiencing unfixed identities pave the way for her liberation.