The first case of a mycotic infection in shrimp in Israel is reported. Fusarium solani produced a large melanized lesion in a specimen of Penaeus semisulcatus cultured at Eilat, on the Red Sea. Fungal hyphae elicited a strong hemocytic response in cuticular and connective tissues. In the underlying muscle, the inflammatory reaction appeared weaker, suggesting a gradual failure by the host to resist mycelial invasion. Three cases of human keratomycosis by F. solani have been reported in recent years in Israel, suggesting that handling infected shrimp may represent a hazard to aquaculturists.