Polyporus umbellatus (Syn. Grifola umbellata) is a sclerotium forming mushroom belongs to family Poly-poraceae of Polyphorales, Basidiomycota. The sclerotia of P. umbellatus have long been used for traditional medicinesin China, Korea and Japan. This study was initiated to obtain the basic data for artificial sclerotial production of P. umbel-latus. Here, we investigated the favorable conditions for mycelial growth of P. umbellatus and its symbiotic fungus Armill-aria mellea. We also evaluate the favorable carbon and nitrogen sources for sclerotial formation in dual culture betweenP. umbellatus and A. mellea. The favorable conditions for mycelial growth of P. umbellatus were 20°C and pH 4, whileoptimal conditions for mycelial growth of A. mellea were 25°C and pH 6. The carbon sources for optimal mycelial growthof P. umbellatus were fructose and glucose, while carbon sources for favorable mycelial growth of A. mellea were alsofructose and glucose. The nitrogen sources for favorable mycelial growth P. umbellatus were peptone and yeast extract,while optimal mycelial growth of A. mellea were obtained in peptone and yeast extract. When P. umbellatus and A. melleawere dual cultured on carbon sources, sclerotia were induced on basal media supplemented with glucose, fructose andmaltose at pH 4~6, while nitrogen sources inducing sclerotia were basal media supplemented with peptone and yeastextract for 60 days at 20°C under dark condition.