Batch culture experiments were carried out for erythromycin fermentation by S. erythraea (wild and type strains) using various nitrogen sources in fermentation medium, keeping other parameters same. Growth and erythromycin production profiles of the strains were studied. Batch and scale up experiments show that erythromycin fermentation by the strains in cotton seed medium gives higher yield compared to other media. The developed cotton seed medium is economical, gives better yield and good alternative for the production of erythromycin