Deformation of settling non-Newtonian ellipsoidal drops in a Newtonian liquid was experimentally observed. Corn oil was used as the Newtonian phase and solutions of polyacrylamide in aqueous glycerine as the non-Newtonian phase. The shear-thinning behaviour of the drops fluid was controlled by the amount of polymer dissolved, while the effect of interfacial tension was examined using different concentrations of sodium dodecyl sulphate (SIDS). In the range of 1 < E < 2.9, 0.2 < Eo < 23, and 0 < Ma < 17.2, drop eccentricity increased linearly with a modified Eotvos number taking into account the effect of surfactants. For the range of experimental conditions tested, drop deformation was mainly controlled by viscous and interfacial tension forces, while shear-thinning and inertia effects were negligible.