To test effects of FIO on blood glucose, blood lipid, and antioxidation in type Ⅱ diabetes, the type Ⅱ diabetic rat model was established by high fat diet-feeding combined with intraperitoneal injection of STZ. The results showed that FIO significantly lowered FBG levels, promoted synthesis of HGln, and improved insulin resistance in the type Ⅱ diabetic rats, compared to untreated control diabetic animals. In addition, FIO not only significantly decreased TC, TG, FFA, LDL and MDA in serum, but also dramatically increased the HDL in serum and the activities of SOD in type Ⅱ diabetic rats. Our study showed that FIO significantly lowered high blood glucose, improved lipid metabolism and antioxidant ability.