Technical Abstract: Dried distillers grains (DDG) are a cereal byproduct from ethanol distillation process. On a dry weight basis, DDG is composed of 13% fat, 30% protein, 33% fiber, with the remainder various carbohydrates. Only 6-8% of starch in DDG is in resistant form (dietary fiber). Because only about 6% of DDG is starch, there is no potential to extract resistant starch as a dietary fiber food ingredient. With the current interests on healthy foods, the importance of dietary fibers is growing rapidly as health-enhancing materials. These fibers are found abundantly in cereal products. A cellulosic gel was prepared from corn hulls and is now commercially available from Z-Trim Holding Company. The soluble fiber, beta-glucan found in oats and barley, has received much attention due to its beneficial health effects such as the reduction of cholesterol and blood pressure. Moreover, the fiber is allowed by the FDA to make health claims for oat products when 0.75g beta-glucan is consumed in a serving portion. Recently developed are new oat hydrocolloids containing 20% and 30% beta-glucan (called C-trim20 and C-trim30, respectively) were obtained from oats and their baking performance evaluated. They are now available from VDF FutureCeuticals and widely used in the food industry for improving nutrition as well as by controlling the texture and rheology of food products.