In this study, anaerobic treatability of oily wastewater was investigated in a hybrid reactor system consisting of a packed bed reactor (PBR) followed by an upflow anaerobic sludge blanket (UASB) reactor at 35 degrees C. The system was operated using real pet food wastewater at different hydraulic retention times and loading rates for 165 d. The PBR was packed with sol-gel/alginate beads containing immobilized enzyme which hydrolyzed the oil and grease (O&G) into free long chain fatty acids, that were biodegraded by the UASB. The hybrid system was operated up to an oil loading rate of 4.9 kg O&Gm(-3)d(-1) (to the PBR) without any operational problems for a period of 100 d, with COD and O&G removal efficiencies above 90% and no sludge flotation was observed in the UASB. Beads supplement to the PBR was less than 2 g d(-1) and the relative activity was about 70%. Further increment in O&G loading to 18.7 kg O&Gm(-3)d(-1) caused destabilization of the system with 0.35% (v float/v feed) sludge float removed from the UASB.