A novel technique of enhancing and controlling the local heat transfer coefficients from the hot wall to cooling gas flow has been proposed using soft magnetic solid particles in order to reduce the disadvantage of inefficient gas-solid two-phase flow. The characteristics of the flow and local heat transfer were examined in a vertical rectangular channel flow involving ferrite particles 145 mu m in diameter. The Reynolds number of the channel flow was set on the order of 10(4) and the particle mass loading ratio was varied up to 1.6. The result indicated 60% enhancement of heat transfer downstream from the location of the magnet at a mass loading ratio of about 1.6 A further enhancement in heat transfer is provided by increasing the particle mass loading ratio and the magnetic field intensity. The mechanism of heat transfer enhancement can be clarified by considering the increase in the local heat capacity near the heat plate.