In order to optimize the pellet induration process parameters of rotary kiln, a mathematical model is developed and solved by using commercial software FLUENT. Orthogonal regression has been performed by using the simulated results of the pellet induration in rotary kiln. The functional relations between pellet induration quality and process parameters are obtained. The main parameters that affect the thermal process are also discussed. The results show that the high temperature zone is longer and the local high-temperature could be avoided while the velocity difference decreases between the secondary air and the carbon particle, which leads to more uniformed temperature distribution and better induration quality. The work gives a right direction on improving of pellet production. © Shanghai Jiaotong University and Springer-Verlag Berlin Heidelberg 2011.