Salt whey permeate was used as a substrate for lactic acid production by different strains of homofermentative lactobacilli. An isolate from Egyptian Cheddar cheese proved to be the most effective lactic acid producer. The salt whey permeate was optimized by addition of yeast extract and minerals to enable exponential growth of organisms. The lactic acid productivity of free and immobilized cells was compared and fermentation conditions were improved. Continuous lactic acid fermentation from salt whey permeate with cells immobilized in agarose beads was successfully carried out in a chemostat with a steady lactic acid concentration of 33.4 mg/ml.