EXHIBIT 23.1


                         CONSENT OF INDEPENDENT AUDITORS



The Board of Directors
Unigene Laboratories, Inc.:


We consent to the incorporation by reference in this  Registration  Statement on
Form S-3 of Unigene  Laboratories,  Inc.  of our report  dated  March 22,  1996,
relating to the balance sheets of Unigene Laboratories,  Inc. as of December 31,
1995 and 1994 and the related  statements of operations,  stockholders'  equity,
and cash flows for each of the years in the three-year period ended December 31,
1995 which report appears in the December 31, 1995 annual report on Form 10-K of
Unigene Laboratories,  Inc. which is incorporated herein by reference and to the
reference to our firm under the heading "Experts" in the Prospectus.

   
Our report dated March 22, 1996 contains an  explanatory  paragraph  that states
that the Company has suffered  recurring  losses from  operations  and has a net
working capital  deficiency,  which raise substantial doubt about its ability to
continue  as a going  concern.  The  financial  statements  do not  include  any
adjustment that might result from the outcome of this uncertainty.
    


                                                           KPMG PEAT MARWICK LLP





New York, New York
June 28, 1996