Mucor miehei KCTC 6011, which grew successfully in ginseng-steaming effluents and produced a large amount of chitosan efficiently, was selected from various fungi. Approximately 120 mg of chitosan per g-dry mycelium was maximally produced in 84 h at $25^{circ}C$ when grown in the ginseng-steaming effluent (pH 8.0) supplemented with 0.5% yeast extract and 0.002% CuSO$_4$. Chitosan produced by Mucor miehei KCTC 6011 was identified by the IR-spectra to have deacety lated approximately 56%. Viscosity and molecular weight of the chitosan were 80 cps and $1.07 imes10^3$ kDa, respectively. The chitosan at 1.5 mg/ml inhibited 73.9% of the mycelium growth of Rhizoctonia solani in 60 h.