In this paper, we introduce a novel method to extend the JPEG standard, which is the most widely used for lossy image compression, in order to improve compression ratio. To employ two of the most successful methodologies for the data compression: differential coding and quantization simultaneously, we propose a line-based approach. For each line in a block, we apply one-dimensional discrete cosine transformation to the increments instead of the pixel values. Those values are quantized and entropy-coded similarly to the JPEG standard. To further increase compression ratio, the proposed method is plugged into the JPEG standard to form a new compression method, in which the proposed method are applied to only selected JPEG blocks. In our experiment, we found that the proposed method outperform the JPEG standard when the qualities of the coded images are set to be high. We believe the proposed method can be simply plugged into the standard to improve its compression ratio for higher quality images. 키워드: 영상처리,영상압축