An endophytic bacteria strain CcSh 1 that produced obvious fragrance was successfully isolated from the sheath of Cymbopogon citrates (DC.)Stapf. CcSh 1 strain was identified as Pantoea ananatis by the morphological observation,physiological and biochemical characterization and 16S rRNA sequence analysis. Headspace gas chromatography mass spectrometry detection showed that the volatile organic components of CcSh 1 were terpenoid and mainly contained citral,which were similar to those of C. citrates and their essential oil. The factors involved in the flavor productivity and the growth status of CcSh 1 were also investigated,and the optimal liquid culture conditions for CsSh 1 were confirmed by taking beef extract as carbon source,and the peptone as nitrogen source,under the temperature of 30℃ and pH 7.0. In addition,it was discovered that the addition of 1% (w/v) abrasive of host plant as substrate can promote the flavor production of CcSh 1,which indicated the interaction between endophyte and its host.