Fructo-oligosaccharide are non-cariogenic, low caloric, fibrous, and strong bifidus-factors, which have scientifically proven health benefits including role in absorption of calcium and minerals, replacement of sugar and fat in food products, reduction in cholesterol, controlling various diseases like cancer, prevention of necrotizing enterocolitis (have shown promising results in animal models only) etc. Even change in the gut microbiota of infants and alteration in the large bowel function by application of FOS has been observed, but large clinical trials are needed to prove their potential. Novel microorganisms producing potential transfructosylating enzymes are needed to be explored for their application in FOS production, the scale up studies should be made for their industrial applications