To support new Internet applications such as voice over IP and video on demand, it is necessary to design effective congestion control and queue management algorithms. However, such a design is known to be difficult because there are a variety of services supported in the Internet and their various demands for Quality of Service (QoS). This led to a new trend in using alternative techniques, such as Fuzzy Logic Controllers (FLC) which have the ability to cope with the aforementioned problems and provide more flexibility in modeling congestion controllers as well.In this paper, we introduce Fuzzy BLUE queue management algorithm, a fuzzy improvement to the well known BLUE active queue management algorithm. The proposed fuzzy controller uses packet loss and normalized queue length as input linguistic variables. The output of fuzzy controller is the drop probability of BLUE mechanism. To evaluate the performance of the proposed model, simulation software was developed in C++ environment. Based on simulation results obtained from different trials, it can be seen that the proposed Fuzzy BLUE algorithm outperforms the traditional BLUE mechanism.