Medium chain glycerides (MCGs) containing C-8:0 and C-10:0 fatty acids is very much important for medicinal and nutritional applications. Coconut and palm kernel fatty acid distillates (FADs) can be utilized to produce MCGs by a combination of lipase-catalyzed hydrolysis and esterification reactions. The neutral glycerides present in coconut and palm kernel FADs are hydrolyzed by Candida rugosa lipase. The hydrolysates were then subjected to steam distillation under vacuum (at 120-140 degrees C) to get fractions rich in medium chain fatty acids (MCFAs). The fractions, from coconut and palm kernel FADs (75.2 and 76.2% MCFAs, respectively), were esterified with Rhizomucor miehei (Lipozyme RM IM) lipase to produce MCGs. Products from coconut FAD contained 64.7-67.5% diacylglycerol (DG), followed by 18.8-22.9% monoacylglycerol (MG) and 9.8-9.3% triacylglycerol (TG). Similarly, products from palm kernel FAD contained 63.5-66.7% DG, 19.1-23.6% MG and 9.5-10.1% TG. (c) 2004 Elsevier Inc. All rights reserved.