Lactose is the main carbohydrate in milk and serves as a source of energy for the neonate, but also has other unique functionalities. Lactose is a low GI carbohydrate with low cariogenic potential, which are important to the healthy development of the neonate. These functionalities are derived from the presence of galactose as one of the monosaccharides and the fact that the monosaccharides, galactose and glucose, are bound by an b-1à4 rather than an a-1à4 glycosidic bond. Technologically, lactose also has important properties. Fermentation of lactose is key to products such as yoghurt and cheese and lactose can be isolated and applied as an ingredient in many other products. For individuals suffering from lactose maldigestions, a variety of lactose-free dairy products are available, whereas many fermented dairy products containing lactose can also be consumed, thus allowing also these people to utilize the nutritional potential of milk and dairy products.