(6-Hydroxy-1-benzofuran-3-yl)acetic Acid is a reactant in the synthesis of dihydrobenzofuran (6-{[4''-(2-ethoxyethoxy)-2'',6''-dimethylbiphenyl-3-yl]methoxy}-2,3-dihydro-1-benzofuran-3-yl)acetic acid as a potent and orally available GPR40/FFA1 agonist.