Depending on the purpose (it has multiple uses), Shortening can be substituted in the following ways
  1. For Greasing : You can use Parchment paper or Olive oil.
  2. For Baking: Use Butter or Vegetable oil. At times, you can also replace 1/2-3/4 the amount of shortening mentioned, with fruit purees (like applesauce or prune purees) provided you are OK with the taste in your baked goods. Also remember to reduce the amount of sugar in the recipe if your fruit purees are already sweetened.
  3. For Frying: Regular Vegetable oil that's marked for frying like Organic Canola oil, Peanut oil, Grapeseed oil or Sesame oil (untoasted variety).
 
Quick Glance: From Cook's Thesaurus
Substitutes:
Butter:1 cup shortening = 1 cup + 2 tablespoons butter;
butter is better tasting than shortening but more expensive and has cholesterol and a higher level of saturated fat; makes cookies less crunchy, bread crusts more crispy
OR
Margarine:1 cup shortening = 1 cup + 2 tablespoons margarine;
margarine is better tasting than shortening, but more expensive; makes cookies less crunchy, bread crusts tougher

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