An aerobic granular sludge system was used for post-treatment of an Up-Flow Anaerobic Sludge Blanket (UASB) reactor treating molasses wastewater. The system was very effective in the treatment of the UASB reactor effluent. Up to 94.9-96.0% COD removals could be observed and it showed no signs of serious stress when subjected to high COD loads of 7.9 g l−1d−1. The total nitrogen removals were in excess of 80.2% with the maximum ammonia-N loads up to 0.6 g l−1d−1. For Suspended Solids (SS), the removal efficiencies ranged between −320.4% and 84.8% in different operating periods. The aerobic granules with excellent settleability promoted high solid retention and low solid washout in the reactor.