What Is Better Dairy?
Better Dairy is a London-based biotech startup that uses precision fermentation — a method where genetically engineered microorganisms (often yeast) are programmed to produce specific proteins — to make dairy proteins without cows. (Better Dairy)
Their core mission is to reimagine dairy nutrition by creating proteins that are:
- Molecularly equivalent to those in real milk,
- Animal-free and more sustainable to produce, and
- Optimised for human nutrition, not just mimic dairy. (Better Dairy)
The company was founded in 2020 and has raised significant funding as part of its ongoing research and commercialization push. (Startups.co.uk)
Precision Fermentation: How It Works
Precision fermentation is similar to brewing beer — except instead of producing alcohol, scientists feed microorganisms the genetic instructions to produce real milk proteins, such as casein or osteopontin. (dairynews.today)
This process:
- Eliminates the need for cows (reducing methane and land use),
- Uses far less water and emits fewer greenhouse gases than traditional dairy, and
- Creates dairy proteins that behave like the real thing in food products. (synbiobeta.com)
Key Innovations & Products
Casein for Cheese and Dairy Structure
Better Dairy develops all four types of casein proteins (αS1, αS2, β and κ-casein), which are essential for:
- Traditional cheese textures
- Melting and aging behaviors
- Functional dairy applications
This is more advanced than many competitors who produce only partial or single casein types. (dairynews.today)
Because they include proper phosphorylation — a chemical modification important for mineral binding — their casein can mimic how real cheese binds and ripens. (dairynews.today)
Osteopontin — A Next-Gen Nutritional Protein
Osteopontin (OPN) is a bioactive protein found in high levels in human breast milk but low in cow’s milk. It’s linked to:
- Infant development (immune function, gut health, bone growth)
- Calcium metabolism and bone strength
- Potential benefits in adult nutrition and healthy ageing
Better Dairy is pioneering precision fermentation to make human-identical osteopontin at scale, including proper functional modifications. (FoodNavigator.com)
This protein has huge commercial potential in:
- Infant formulas that more closely resemble breastmilk,
- Sports nutrition, and
- Healthy-aging supplements. (FoodNavigator.com)
Why Better Dairy Is Getting Attention
Innovation & Commercial Potential
- Unlike simple plant-based alternatives (which often lack protein quality), Better Dairy’s products replicate actual dairy proteins, not just approximate functionality. (synbiobeta.com)
- Their casein enables real cheese production that can be aged, ripened and styled like traditional dairy cheeses. (FoodNavigator-USA.com)
- Osteopontin, being in high demand and hard to source from cow’s milk, represents a high-value product with potentially strong margins. (AgFunderNews)
Health & Nutrition Focus
Better Dairy isn’t just about sustainability — it’s about better nutrition:
- Human-equivalent proteins could help bridge nutritional gaps in infant formula. (FoodNavigator.com)
- Candidate applications span from growth-stage nutrition to adult wellness products. (dairynews.today)
Industry Recognition & Momentum
- Better Dairy was recently listed in the Startups 100 Index for 2026, highlighting it as one of the UK’s most promising new businesses. (Startups.co.uk)
- The startup is engaging with infant formula and nutrition brands and preparing to seek regulatory approval in key markets like the U.S., EU/UK and China. (Startups.co.uk)
Broader Context: Dairy & Alternative Innovation
The dairy industry overall is seeing innovation in:
- High-protein and hybrid dairy-plant products,
- Next-gen formulations improving gut health and texture, and
- Award-level technologies showcased at events like Fi Europe. (foodingredientsfirst.com)
Better Dairy’s work fits into this trend but stands out by leveraging biotech to produce real dairy components without animals.
Potential Challenges Ahead
While the science is promising, Better Dairy faces:
- Regulatory hurdles for novel food ingredients,
- Competition from other precision fermentation companies globally, and
- Scaling challenges to reach cost parity with traditional dairy. (AgFunderNews)
But its early traction — both in funding and industry recognition — shows it’s one of the leaders in this space.
Bottom Line
Better Dairy is not just another plant-based substitute maker. It’s a precision fermentation innovator aiming to revolutionize dairy by:
Making animal-free dairy proteins identical or superior to cow’s milk proteins
Targeting human health outcomes with advanced proteins like osteopontin
Building commercial products that could transform infant nutrition and adult wellness
Reducing environmental impact compared to conventional dairy farming (Better Dairy)
Here’s a detailed, case-study–rich and commentary-focused summary of how Better Dairy is gaining attention for alternative dairy innovation — with real examples, partnerships, expert comments, and industry context:
Case Study 1 — Osteopontin for Infant Nutrition
Background
Better Dairy has strategically pivoted part of its R&D toward osteopontin (OPN) — a bioactive protein abundant in human breast milk but scarce in cow’s milk. This protein is linked to immune system development, nutrient absorption, gut health, and possibly cognitive growth in infants. Traditional dairy can’t supply OPN at scale, because isolating it from cow’s milk is highly inefficient. (FoodNavigator.com)
Implementation
- Better Dairy uses precision fermentation with genetically engineered yeast strains to produce human-identical OPN. This technology evolved from the company’s foundational work on casein and is supported by a pending patent around post-translational modifications (crucial for protein function). (AgFunderNews)
- A project funded by Innovate UK (about £249 k) focuses on scaling OPN production to demonstrate commercial feasibility and technical reproducibility. (biorenewables.org)
Commentary
Trishala Bopanna, Director of Strategy & Partnerships, framed OPN as “an exciting opportunity to reduce discrepancies between breast-fed and bottle-fed infants” and pointed out that OPN’s health functionality (e.g., calcium absorption, gut and immune benefits) drives commercial interest. (FoodNavigator.com)
Industry Insight: Better Dairy’s strategy explicitly targets markets where smaller quantities of high-value proteins are commercially attractive (infant formula, sports nutrition, healthy aging), rather than immediate scale for commodity dairy products. (AgFunderNews)
Case Study 2 — Precision-Fermented Casein & Cheese Prototypes
Context
While many alternative dairy firms focus only on plant ingredients or single proteins, Better Dairy is developing all four casein proteins (αS1, αS2, β and κ-casein) with correct phosphorylation — a critical feature for traditional cheese texture and function. (FoodNavigator-USA.com)
Execution
At industry events such as Future Food-Tech San Francisco, Better Dairy showcased aged dairy-free cheese prototypes (1, 3 and 9 months), demonstrating:
- Texture evolution via microbial ripening,
- Complexity similar to traditional cheeses like Gruyère or vintage cheddar, and
- Performance enabled by casein protein structure rather than plant fats alone. (FoodNavigator-USA.com)
Commentary from Leadership
David Nunn, CSO — emphasised that producing all four caseins enables a “recipe for creating milk” that supports cheese maturation rather than only simple dairy textures. This distinguishes Better Dairy’s products from other plant or fermentation offerings that struggle with ripening and complexity. (FoodNavigator-USA.com)
CEO Jevan Nagarajah echoed this, noting the industry shift toward bringing human milk components closer to nutritional parity, an ambition extending beyond traditional bovine analogs. (FoodNavigator-USA.com)
Case Study 3 — Academic & Industry Partnerships
Collaborative Scale-Up
Better Dairy is partnering with research institutes (e.g., Biorenewables Development Centre) to:
- optimize precision fermentation conditions,
- scale production from lab to pilot volumes (e.g., 30 L scale),
- support downstream processing for a stable, cost-effective protein supply. (biorenewables.org)
Funding & Strategic Support
Innovate UK funding underscores broader stakeholder belief that microbial dairy proteins can transition from R&D to market — particularly for functional proteins like OPN that lack scalable animal sources. (biorenewables.org)
Expert & Market Commentary
On Innovation Strategy
Industry observers highlight that Better Dairy isn’t just selling “plant milk” or simple substitutes — it’s reengineering functional proteins identical to those in milk. This strategy appeals to both nutrition scientists and regulatory bodies seeking alternatives that can mimic or improve upon traditional dairy’s health benefits. (Better Dairy)
On Health & Sustainability
Chief Scientific Officer Dr. David Nunn explains that fermenting human-identical proteins could significantly impact health outcomes — especially in infant nutrition — while also reducing environmental burdens tied to livestock (water use, CO₂ emissions, land impact). (synbiobeta.com)
On Commercial Appeal
Better Dairy’s focus on high-value biologicals early — before scaling lower-margin proteins like casein — reflects a business model tailored for profitability and phased market entry. This appeals to investors who want clearer returns before full commercialization of dairy analogs. (AgFunderNews)
Contextual Industry Commentary
Broader sector trends show increasing interest in microbial and hybrid dairy technologies, leveraging both fermentation and plant inputs to boost nutrition, taste, and sustainability. Experts point out that the future of alternative dairy may be a blend of technologies rather than just single-source replacements. (dairybusinessmea.com)
Key Takeaways
Better Dairy’s innovation stands out because:
- It’s producing bioactive proteins with human-like functionality, not just simplistic dairy mimics.
- It’s validating use cases with real product prototypes (e.g., ripened cheese) and higher-value nutrition targets (OPN for infant formula).
- Strategic partnerships and funding help bridge the gap from lab research to commercial feasibility.
- Leadership commentary emphasizes health impact, regulatory readiness, and commercial strategy as equally important to technology. (synbiobeta.com)