This study investigated the production of insoluble dietary fiber using forest waste and the dietary effect of manufactured insoluble fiber on physiological function in rat fed high cholesterol duets. Insoluble dietary fiber was prepared from the wood chips of oak (Quercus mongolica). The best condition for steam-explosion treatment for the preparation of insonuble dietary fiber was 25 kg/cm$^3$pressure for 6 minutes. In the chemical analysis of insoluble dietary fiber pretreated by 1% sodium hydroxide solution with steam-exploded wood, $alpha$-cellulose content was 61.7% in the insoluble dietary fiber which contained 7.6% residual lignin. In order to compare insoluble dietary fiber with commercial $alpha$-cellulose of physiological function, Sprague-Dawley male rats weighing 100$pm$10 g were randomly assigned to one normal diet and five high cholesterol diet containing 1% cholesterol. The high cholesterol diet groups were classified as fiber free diet (FF group), 5% commercial $alpha$-cellulose diet (5C group), 10% commercial $alpha$-cellulose (l0C group), 5% insoluble dietary fiber dict (5M group), and 10% insoluble dietary fiber (10M group). The rats were fed ad libidum for 4 weeks. Food intake, weights gain, and food efficiency ratio in high cholesterol groups were higher than those of normal group, but there were no significant differences between the experimental groups. There were not any significant differences in the weights of livers, kidneys and small intestine of insoluble dietary fiber supplemented groups, but weight of cecum in all insolube dietary fiber group were significantly higher than those of FF group. A gstrointestinal transit time was decreased by supplementation of insoluble dietary fiber. Weight and water contents of feces in the insoluble dietary fiber supplemented groups were significantly higher than those of the FF group. There were not any significant differences in the activities of the glutamic pyruvic transaminase (GPT) and glutamic oxaloacetic transaminase (GOT) between the experimental groups. In conclusion, the manufactured insoluble dietary fiber and commercial insoluble fiber have the same physiological effects. The preparation method of the insoluble dietary fiber from the oak chips suited its purpose.