A process for the continuous production of cyclodextrins employs as a feedstock an aqueous solution of partially hydrolyzed starch with a dextrose equivalent between about 10 and about 15 as the feedstock for an immobilized cyclodextrin glycosyltransferase. In one variant the feedstock is sent to a membrane which removes cyclodextrins and glucose and the retentate is recycled to an immobilized glycosyltransferase so as to effectively utilize the feedstock. In another variant the effluent is passed through a water immiscibled liquid organic compound which forms a solid insoluble complex with cyclodextrins, the solids are continually removed, and the aqueous phase is recycled to an immobilized cyclodextrin glycosyltransferase as in the prior variant.