Specialty milk producer A2 Corporation is expanding into the United Kingdom.
The listed company has formed a joint ventue with UK dairy company Robert Wiseman, which will process milk using A2's technology.
The milk is thought to be more suitable for people with dairy intolerance.
A2 managing director Geoff Babidge says the market for the specialty milk in the UK is three times as big as that in Australia, where the company has 4% of sales in supermarkets.
"This is an opportunity to bring people back to dairy. It's a new opportunity for the market in the UK," he says.
He believes up to 25% of the population in Britain has a dairy intolerance or sensitivity to standard milk.
Mr Babidge says the companies plan to start selling A2 milk in the UK by the middle of next year.
The business will be jointly funded.