diff --git a/examples/nvidia_dali/custom_handler.py b/examples/nvidia_dali/custom_handler.py
index bf3337abb0..97c091ca2f 100644
--- a/examples/nvidia_dali/custom_handler.py
+++ b/examples/nvidia_dali/custom_handler.py
@@ -7,8 +7,8 @@
 import os
 
 import numpy as np
+import torch
 from nvidia.dali.pipeline import Pipeline
-from nvidia.dali.plugin.pytorch import DALIGenericIterator, LastBatchPolicy
 
 from ts.torch_handler.image_classifier import ImageClassifier
 
@@ -31,14 +31,21 @@ def initialize(self, context):
         ]
         if not len(self.dali_file):
             raise RuntimeError("Missing dali pipeline file.")
-        self.PREFETCH_QUEUE_DEPTH = 2
         dali_config_file = os.path.join(self.model_dir, "dali_config.json")
         if not os.path.isfile(dali_config_file):
             raise RuntimeError("Missing dali_config.json file.")
         with open(dali_config_file) as setup_config_file:
             self.dali_configs = json.load(setup_config_file)
-        filename = os.path.join(self.model_dir, self.dali_file[0])
-        self.pipe = Pipeline.deserialize(filename=filename)
+        dali_filename = os.path.join(self.model_dir, self.dali_file[0])
+        self.pipe = Pipeline.deserialize(
+            filename=dali_filename,
+            batch_size=self.dali_configs["batch_size"],
+            num_threads=self.dali_configs["num_threads"],
+            prefetch_queue_depth=1,
+            device_id=self.dali_configs["device_id"],
+            seed=self.dali_configs["seed"],
+        )
+        self.pipe.build()
         # pylint: disable=protected-access
         self.pipe._max_batch_size = self.dali_configs["batch_size"]
         self.pipe._num_threads = self.dali_configs["num_threads"]
@@ -54,24 +61,16 @@ def preprocess(self, data):
             list : The preprocess function returns the input image as a list of float tensors.
         """
         batch_tensor = []
+        result = []
 
         input_byte_arrays = [i["body"] if "body" in i else i["data"] for i in data]
         for byte_array in input_byte_arrays:
             np_image = np.frombuffer(byte_array, dtype=np.uint8)
             batch_tensor.append(np_image)  # we can use numpy
 
-        for _ in range(self.PREFETCH_QUEUE_DEPTH):
-            self.pipe.feed_input("my_source", batch_tensor)
-
-        datam = DALIGenericIterator(
-            [self.pipe],
-            ["data"],
-            last_batch_policy=LastBatchPolicy.PARTIAL,
-            last_batch_padded=True,
-        )
-        result = []
-        for _, data in enumerate(datam):
-            result.append(data[0]["data"])
-            break
+        response = self.pipe.run(source=batch_tensor)
+        for idx, _ in enumerate(response[0]):
+            data = torch.tensor(response[0].at(idx))
+            result.append(data.unsqueeze(0))
 
-        return result[0].to(self.device)
+        return torch.cat(result).to(self.device)
diff --git a/examples/nvidia_dali/dali_config.json b/examples/nvidia_dali/dali_config.json
index 63611f804f..1102bf7ebc 100644
--- a/examples/nvidia_dali/dali_config.json
+++ b/examples/nvidia_dali/dali_config.json
@@ -1,5 +1,6 @@
 {
   "batch_size" : 5,
   "num_threads" : 2,
-  "device_id" : 0
+  "device_id" : 0,
+  "seed": 12
 }
diff --git a/examples/nvidia_dali/requirements.txt b/examples/nvidia_dali/requirements.txt
index dd79b8db37..169ee9f045 100644
--- a/examples/nvidia_dali/requirements.txt
+++ b/examples/nvidia_dali/requirements.txt
@@ -1,2 +1,2 @@
-nvidia-dali-cuda110==1.18.0
+nvidia-dali-cuda110==1.27.0
 --extra-index-url https://developer.download.nvidia.com/compute/redist
diff --git a/examples/nvidia_dali/serialize_dali_pipeline.py b/examples/nvidia_dali/serialize_dali_pipeline.py
index 3f01d53723..989b12b0cb 100644
--- a/examples/nvidia_dali/serialize_dali_pipeline.py
+++ b/examples/nvidia_dali/serialize_dali_pipeline.py
@@ -16,7 +16,7 @@ def parse_args():
 
 @dali.pipeline_def
 def pipe():
-    jpegs = dali.fn.external_source(dtype=types.UINT8, name="my_source")
+    jpegs = dali.fn.external_source(dtype=types.UINT8, name="source", batch=False)
     decoded = dali.fn.decoders.image(jpegs, device="mixed")
     resized = dali.fn.resize(
         decoded,
@@ -43,9 +43,12 @@ def main(filename):
     batch_size = config["batch_size"]
     num_threads = config["num_threads"]
     device_id = config["device_id"]
+    seed = config["seed"]
 
-    pipe1 = pipe(batch_size=batch_size, num_threads=num_threads, device_id=device_id)
-    pipe1.serialize(filename=filename)
+    pipeline = pipe(
+        batch_size=batch_size, num_threads=num_threads, device_id=device_id, seed=seed
+    )
+    pipeline.serialize(filename=filename)
     print("Saved {}".format(filename))