Citrus peels as orange, mandarin and lemon peels are the most important aspect of this study. Citrus peels are good source of dietary fiber, elements and bioactive compounds. Studies on the effect of drying methods (sun and oven drying at 50°C) on the chemical composition and bioactive compounds of dried citrus peels were conducted. The results showed that oven drying method at 50° C indicated higher levels of crude protein, total dietary fiber, elements (K, Ca, Na, Mg, P, Zn and Fe) and bioactive compounds (total phenolic content, ascorbic acid and flavonoids) than sun-drying of citrus peel samples. On the other hand, this study also evaluated the effects of supplementation of wheat cake with orange and mandarin peels powder at 5%, 10%, 15% and 20% levels (The ratio between orange and mandarin peels was 1:1 by weight). The prepared cakes were analyzed for physicoichemical composition and evaluated for sensory properties. The results indicated that cakes prepared with 10% of orange and mandarin (1:1 by weight) peels powder were higher in elements value and were highly scored (significantly (p < 0.05))by panelists as compared to control and other samples. It was concluded that, citrus peels are rich in fiber and bioactive compounds and are recommended to be used as food additives to gain nutritional and healthy benefit.