This study was performed to explore the effects of the fermented functional extracts (FE) on blood glucose and lipid levels in diabetes. FE were created by mixing 9 kinds of plants with sea water and then allowing the mixture to ferment for 1 year. FE were supplemented in the feed of streptozotocin (STZ)-induced diabetic rats at 1%, 3% and 5%. The 1% feeding group showed the lowest weight loss of the three experimental groups. The blood glucose and glycosylated hemoglobin level were significantly decreased in the FE fed rats compared to the diabetic control (DMC) group. The lipid levels in serum were decreased in 1% and 3% FE fed rats in comparison to the DMC group, and there was no significant difference in triglyceride levels due to the FE concentration. The HDL-C level was significantly increased in rats with FE supplemented diets, compared to the DMC group. The levels of lipid peroxides in liver tissue were significantly decreased in FE fed diabetic rats, and the hepatic glycogen content was increased in rats receiving supplements. As a result of these studies, we believe 1% FE may be the optimum level for controlling blood glucose and alleviating hyperlipidemia in STZ-induced diabetic rats.