The large amounts of by-product in the form of bone (1-3%), head (9-20%), skin (9-15%) and viscera (12-18%) are produced during the processing of fish for fillet production which accounts for approximately 75% of total fish weight. These wastes are having high impact on the environment and public health due to the release of organic and inorganic compounds and loss of valuable component. Currently, these by-product are used only for production of low value products such as low grade fish feed, silage and Compost. Therefore, proper fish by-products management aids in eliminating harmful effects on environment and on other hand industry can also earn extra profit by producing value added products with the help of new technologies. With this background this project was undertaken to develop value added material from the surimi industry fish processing waste.