Coca-Cola Israel expands into cultured milk production as US unit updates taste of coke zero

ISRAEL – Coca-Cola Israel, formally known as The Central Bottling Company (CBC), is diversifying into cultured milk production with a new strategic partnership with Israeli food-tech company BioMilk. 

Under the new partnership, CBC will invest up to US$2 million in the development of BioMilk’s cultured milk products. BioMilk, on the other hand, will transfer its products to Tara Dairy, which is owned by CBC, for a “pilot commercial production”.  


Transferring production capabilities to Tara Dairy will enable BioMilk to step up technological developments and accelerate its reach towards the fridges and shelves of consumers. 

With the new partnerships, consumers will have a chance to enjoy “a variety of dairy products based on ‘real’ milk produced in a lab from mammalian cells, with a clear differentiation over other alternative plant-based milk substitutes,” said Tomer Aizen, CEO of BioMilk. 

“We are pleased to enter into a strategic collaboration with a leading company in the food and beverage field with an emphasis on dairy products, which aims to lead to the integration of the technological solutions that BioMilk develops into Tara Dairy’s products,” Aizen added.  

“Our company is a pioneer and leads a technological, nutritional and ecological revolution. BioMilk intends to develop products that will enable CBC through Tara Dairy to market revolutionary, tasty and functionally valuable products while preserving the environment.”  


BioMilk is the first company in the field of cultured milk that receives a strategic investment from a leading dairy industry player in Isreal. 

Subject to final agreement, the investment will also enable BioMilk to create products that are sustainably sourced and have a low carbon footprint.   

Yoram Sagy, President of CBC added: “In BioMilk we have identified a significant food technology player, from both business and sustainability perspectives.”

Pursuing a “coke” taste 

Meanwhile, in the US, Coca-Cola is launching an updated version of its Coca-Cola Zero Sugar which tastes more like its iconic namesake beverage, the company said in a statement and blog post. 


This is the second time that the US beverage giant is reformulating its coke-zero variant to make it taste closely resemble that of its iconic coke brand.  

The first time it reformulated the drink was in 2017 and since then, Coca-Cola reports that the brand has consistently delivered double-digit growth. 

The recent update shows Coca-Cola’s vested interest in creating a no-sugar variety that mirrors its sugar-laden offering as a way to keep people associated with the brand.

Updating the zero is key as consumers are drinking less soda as part of a broader effort to cut their sugar intake, and increasingly no sugar offerings are a more popular option. 

If consumers decide they want to drink less soda with sugar, and a no-sugar offering has the same flavor as the original, they are more likely to turn to their preferred brand. 

 In addition to the taste, the Atlanta beverage company is redesigning the packaging with the Coca-Cola Zero Sugar in black script on top of a red background. 

The new version uses the same ingredients, so the labeling and nutritional information will not change. 

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