The present invention is an image processing apparatus applied to a digital camera which includes a Bayer array CCD for producing and outputting an image lacking at least one type of color component per pixel by capturing an optical image focused by an optical system, a line correction circuit for correcting the difference in gain between lines on the image output from the CCD via a single-chip image buffer, and an interpolation circuit for producing color image data by interpolating a missing color component at each pixel of the single-chip image data output from the line correction circuit via a WB correction circuit based on information regarding neighborhood pixels.