The microencapsulation of Lactobacillus acidophilus NCIM2902 with alginate offers an effective means of delivery of viable bacterial cells in levels appropriate to the colon and helps in maintaining their survival during simulated gastric and intestinal juice. Non-encapsulated cells were completely destroyed when exposed to artificial gastric juice (AGJ) of pH 1.2 after 2h of incubation at 37°C, while the treatment declined the viable count of encapsulated samples only by 4 log. Encapsulated cells exhibited a significantly higher resistance to artificial intestinal juice (AIJ) than non encapsulated samples. Sensory properties of SRC were improved by the addition of encapsulated L. acidophilus.