The objective of the study was to investigate plasma levels of sex steroids and gonadal aromatase activity during the period of controlled sex differentiation in grey mullet, Mugil cephalus. Six-month-old juvenile grey mullet were divided into three groups, control (n = 100), ethynyloestradiol (EE2, n=100) and 17 alpha-methyltestosterone ((17 alpha-MT, n=100), respectively. EE2 and 17 alpha-MT groups were fed diets containing 20 mg EE2 and 20 mg 17 alpha-MT/kg of feed, respectively, for 4 months (from June 25 to October 25, 1993). The majority of control fish (70%) were still at the undifferentiated stage after 4 months of experiment. By contrast, after 2 months of EE2 and 4-5 months of 17 alpha-MT treatments, all the fish had differentiated into females and males, respectively. Plasma testosterone (T) remained low over the first 4-month period and gradually increased later in the control group. Plasma T was significantly higher in the EE2 group in August after 2 months of treatment and in 17 alpha-MT group in October after 4 months of treatment compared to the controls. Low levels of plasma oestradiol-17 beta (E-2) (<100 pg/ml) were observed in all three groups during the experimental period. Plasma 11-ketotestosterone (11-KT) levels were lower in the EE2 group than in the other two groups. However, gradual increases of plasma 11-KT levels were observed in all three groups during the experimental period. Gonadal aromatase activity in the EE2 group was significantly higher than in the 17 alpha-MT and control groups from July to November. These data indicate that the concentrations of plasma T and gonadal aromatase activity are closely correlated with the development of controlled sex differentiation in grey mullet. (C) 1999 Elsevier Science B.V. All rights reserved.