Five cereal grains(wheat, barley, rice, maize and sorghum) were collected from three Egyptian provinces known to be grain producers(Daqahlia, Gharbia and Kafer el-Sheikh). Two species of Alternaria(A. raphani and A. tenusinae); two species of Aspergillus(A. flavus and A. niger); one species of Cunninghamella(C. elegans); one Dreschslera species(D. myakt); three Fusarium species(F. graminearum, F. moniliform and F. solani); one Rhizopus species(R. stolonifer) and two species of Penicillium(P. digitatum and P. notatum) were isolated from the grains. The densities of these fungi and their frequencies of occurrence have been investigated. All the fungal isolates were tested for the production of toxic metabolites in culture media and the percentages of toxigenic isolates were calculated. The biological assay of the toxigenic fungal isolates showed significant variations in toxigenic activity. Thin layer chromatography revealed that the most active isolate produces moniliformin in culture media. The effect of culture conditions on the production of moniliformin was studied.