Commercially, many methods are adopted for the production of the Virgin Coconut Oil (VCO). Nowadays, natural fermentation is widely employed to produce VCO in wet processing. But the problem in natural fermentation process has much contamination, due to surplus micro organisms present in natural environment, which leads to the poor quality of VCO. To overcome this, usage of probiotic organism like Lactobacillus fermentum is more beneficial for the fermentative production of VCO. Fermentation studies were conducted scientifically in computer controlled bioreactor to determine the effect of pH, temperature, inoculum concentration, oxygen requirement and incubation time on the yield of VCO. Yield efficiency of VCO in each parameter was determined. The pH of 5 ± 0.1, temperature at 45 ± 0.1 °C, inoculum concentration of 2%, fermentation end time of 48 hrs and microaerophilic conditions are the most suitable parameters for the superior production of VCO.