The gelatin-walled microencapsulated feed for larval shrimp (Penaeus japonicus) was produced using the fluidized bed coating process. The microencapsulated diet showed no significant agglomeration in the coating process and the diameters of the microdiet were in a normal distribution. Scanning electron microscopy microphotographs showed the appearance of a microencapsulated diet with a uniform surface and a continuous film around the core. The retention efficiency of vitamin C was 88.2% in the coating process. The inclusion efficiency, lipid encapsulation efficiency and nitrogen retention efficiency of the microdiet were 92.2 ± 1.6%, 76.8 ± 4.1% and 60.6 ± 5.2% respectively. The mysis α of P. japonicus were reared for 20 days to the later larval stage. The wet weight of larval shrimp increased 300.0% in the microdiet from 10 up to 30 day after hatching. The wet weight and the total length of larvae were greater in co-feeding compared with the control (P 0.05). There were significant differences (P<0.05) in the wet weight, total length and survival in the microdiet compared with the control. The results indicated a huge potential for the use of the gelatin-walled microencapsulated diet for the partial and total replacement of live food for larval shrimp.