Low oil potato chips are produced by washing potato slices with an aqueous solution and applying oil to the washed slices to at least partially coat the slices with oil. The oil-coated slices are blanched at a temperature of about 70.degree.-100.degree. C. (about 160.degree.-212.degree. F.), and then baked at a high temperature of at least about 200.degree. C. (about 390.degree. F.) but below the smoke point of the oil, to partially dry the slices to an aqueous moisture content of about 10-25 weight percent. The partially dried slices are further baked at a low temperature of about 145.degree.-160.degree. C. (about 290.degree.-320.degree. F.) to finish drying the slices to an aqueous moisture content of about 2 weight percent or less.