Watched by a modest crowd, Yorkshire won the toss and elected to field against a Warwicks side which included England internationals Ian Bell, Jon Trott and Tim Ambrose.
Debutant Varun Chopra had made four runs from nine balls when he was first out, trapped LBW to Shahzad. Ian Bell and Skipper Ian Westwood had put on 53 before the Walsgrave Hospital born England international was caught by Jon Bairstow, son of Yorks legend David, off the bowling of Tim Bresnan.
Jon Trott came to the crease but only made seven runs before he was also caught by Bairstow off the bowling of Steve Patterson.
This left Warwicks on 68-3 and they took that total to 97-3 at lunch.
The second session of the day, started badly with only two runs having been added before Ian Westwood was out, LBW to Hannon-Dalby for 39.
Jim Troughton ploughed on but Tim Ambrose was the fifth Warwickshire batsman out when he became Patterson's second victim, caught by Rudolph for five.
Troughton, who hails from Stratford, had equalled Westwood's score of 39 before losing his wicket to Shahzad thanks to a catch by McGrath.
Warwicks were now on 134-6 and added another twenty two runs before Chris Woakes was bowled by Patterson.
Neil Carter and Naqaash Tahir did their best to dig Warwicks out of the hole they getting themselves into but with the score on 203, Tahir was out caught Patterson off the bowling of Bresnan for 23.
Carter hit seven fours from 36 balls but when on 41, he was given out LBW to Rashid.
Just before the tea interval, Warwicks were all out for 217 after 59.2 overs when Imran Tahir was caught by Rudolph off the bowling of Shahzad for 12.
Yorkshire batted after tea and lost Lyth in the fifth over, caught by Westwood from the bowling off Chris Woakes.
Another five overs later and Warwicks had their second wicket thanks to a catch from Tim Ambrose removing McGrath, who had made thirteen.
Joe Sayers and Jack Rudolph moved the score on. Sayers, hit the first six of the match plus seven fours before he was stumped by Ambrose after passing the fifty mark. Rudolph was 43 not as Yorkshire closed on 128-3.
You can hear ball by ball commentary from this game and every Warwickshire match this season by clicking the link on the BBC Coventry & Warwickshire website.