The epiphytic Lactobacillus acidophilus SW01 isolated from shrimp waste (SW) was used in SW fermentation. During the fermentation the lag phase of SW01 was hardly observed. The pH of the fermentation broth decreased to 3.86 within 12h and reached the lowest point at 3.73 after 48h. This indicates a quick and deep acidification process by SW01. Besides, SW01 was observed to have high protease activity. As a result, the minerals and protein in SW were quickly removed with their contents decreasing to 0.73% and 7.8% respectively after 48h fermentation. In the pilot scale fermentation, the pH was 3.99 and 3.86 respectively after 12 and 24h fermentation. The mineral and protein contents were 0.98% and 8.44% respectively after 48h fermentation. The residue of the fermented SW contains less than 1% minerals and can be easily transformed into chitin by a mere bleaching treatment.