India’s alternative dairy startup 1.5 Degree founded by Vedansh Goyal has raised $1 million in a pre-Series A round led by 35North Ventures’ India Discovery Fund II.
The company says the fresh capital will go into scaling manufacturing, deepening institutional partnerships, and expanding into new cities, including Mumbai, Pune, Bengaluru, Hyderabad and Delhi.
1.5 Degree: Built for cafeterias, campuses and large kitchens
Operated by Natturz Bio Kontrol Pvt Ltd, 1.5 Degree is positioned squarely in the institutional food service segment. It supplies plant-based dairy and frozen dessert products to customers such as corporate cafeterias, hotels, educational institutions and large dining operations.
On distribution, the startup works with food service providers including Compass Group and Sodexo, using long-term supply arrangements.
What it sells, and why that matters in India
1.5 Degree’s portfolio spans a broad “dairy aisle” alternative: plant-based milk, yogurt, tofu, cooking cream, gelatos, frozen desserts, smoothie yogurt bowls, and oat-milk-based beverages.
It also runs quick service restaurant (QSR) formats within institutions, extending the brand’s presence beyond supply into on-premise consumption.
The company says it uses proprietary processing technology to tackle a problem that has historically limited repeat purchases in the category, taste and flavour, with products tailored for Indian consumers.
Revenue mix and where it’s headed next
While plant-based brands often chase retail shelves early, 1.5 Degree’s current business leans heavily on institutions: it says nearly 80% of its revenue comes from institutional contracts.
The company is already operational across Bengaluru, Pune and NCR, and has begun a measured move into direct-to-consumer channels through select retail and cloud kitchens.
Alongside taste, 1.5 Degree also claims its offerings have significantly lower emissions and water usage versus conventional dairy.
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