News

What the Oatly “Milk” Ruling Means for Plant-Based Ingredients

Taking milk from a shelf of the supermarket.

12th Feb 2026

by John Wright

In This Article

When the news broke that Oatly had lost its long-running legal battle over the use of the word “milk”, our first reaction was fairly simple:

Do we need to update our website now?

The short answer: probably not.

The longer answer is more interesting and much more relevant to anyone formulating or marketing plant-based drinks. So that includes oat drinks, almond drinks, soy drinks, and the wider plant-based category.

Earlier this month, plant-based brand Oatly lost a long-running UK legal battle over the use of the word “milk” in its marketing. The Supreme Court ruled that Oatly cannot trademark or use the phrase “post-milk generation”, reinforcing the principle that the term milk is legally reserved for animal-derived products under UK law.

Cue the obvious question from anyone working in plant-based food and drink:

Does this mean “oat milk” is over?

Not quite.

What Actually Changed?

This case wasn’t about banning plant-based drinks outright, nor was it a surprise shift in regulation. UK (and EU-aligned) law has long restricted the use of protected dairy terms, including milk, cheese, and butter, for non-animal products.

What the Supreme Court ruling clarified is that:

  • “Milk” cannot be used as part of branding or trademarks for plant-based drinks
  • Marketing phrases that imply a relationship to dairy (post-milk, milk generation, etc.) are more likely to be challenged
  • The concern, legally speaking, is consumer clarity, not product composition

Oatly can still sell oat-based drinks. They just need to be more careful about how they talk about them.

From an Ingredients Perspective: What Really Matters

At Lehmann Ingredients, we work with brands across plant-based beverages, dairy alternatives, and hybrid formulations; and for most of our customers, this ruling doesn’t materially change day-to-day formulation decisions.

Why?

Because the real work happens behind the label:

  • Texture
  • Mouthfeel
  • Stability
  • Sweetness balance
  • Protein dispersion
  • Clean-label positioning

Whether a product is called oat milk, oat drink, or oat beverage doesn’t change the functional challenges developers are solving.

And those challenges haven’t gone away.

Oat Syrups, Sweetening Systems & Plant-Based Drinks

We supply a wide range of ingredients, including oat syrups and cereal-derived sweetening systems, that are commonly used in plant-based drinks, barista products, and fermented alternatives.

These ingredients aren’t about imitating dairy milk in name, they’re about:

  • Delivering natural sweetness
  • Supporting roundness and body
  • Improving consumer acceptance
  • Helping brands reduce refined sugars while maintaining flavour

From a regulatory standpoint, nothing about this ruling affects how those ingredients are sourced, formulated, or declared.

What does matter is clarity in communication, especially as plant-based products mature from challenger brands into mainstream categories.

Naming Is a Marketing Problem, Not a Formulation One

The wider takeaway here isn’t about oats vs dairy. It’s about how language, regulation, and consumer perception intersect.

As plant-based categories grow up, they’re being held to the same scrutiny as traditional foods. That means:

  • More precise naming
  • Clearer ingredient declarations
  • Fewer grey areas between marketing and regulation

From our perspective, that’s not a bad thing.

Clear rules help brands focus on product quality, not semantic workarounds.

Widening the Lens: Consumer Choice Still Matters

It’s also worth stepping back and looking at the bigger picture. Consumer choice matters, especially at a time when demand for plant-based options continues to grow. Traditional milk remains a staple for many, and this ruling won’t change that. But milk is also a regulated allergen, and for people who are lactose intolerant, allergic, or choosing plant-based diets for ethical or environmental reasons, viable alternatives are essential. Whether they’re called “milk” or not, plant-based dairy alternatives are clearly here to stay, and they play a legitimate role alongside traditional dairy rather than in competition with it.

And let’s be honest, it looks like milk, it’s used like milk, and most people will probably keep calling it oat milk anyway. Legal definitions may shape packaging and trademarks, but everyday language tends to follow habits, not court rulings.

Where We Stand

We don’t see this ruling as a setback for plant-based innovation – just another reminder that:

  • Great products win on taste, texture, and trust
  • Ingredients should do the hard work, not buzzwords
  • Transparency beats trend-led naming every time

And no, we’re not rushing to replace “milk” with “post-cereal beverage system” on our website just yet.

If you’re developing or reformulating plant-based drinks and want to talk sweetening strategies, texture systems, or clean-label positioning, that conversation hasn’t changed at all.

Related Ingredients

12th Feb 2026

by John Wright