A dual-particle liquid-solid circulating fluidized bed (DP-LSCFB) bioreactor has been constructed and investigated for the simultaneous production and extraction of lactic acid using immobilized Lactobacillus bulgaricus and ion-exchange resins. The apparatus consisted of a downer fluidized bed, 13 cm I.D. and 4.75 m tall, and a riser fluidized bed, 3.8 cm I.D. and 5.15 m in height. The lactic acid production and removal was carried out in the downer, while the riser was used for the recovery of lactic acid. A continuously recirculating bed of ion-exchange resin was used for adsorption of the produced acid as well as for maintaining optimum pH for bioconversion, thus eliminating the need for costly and complex chemical control approach used in conventional techniques. Studies using lactic acid aqueous solution as feed and sodium hydroxide solution as regeneration stream showed 93% lactic acid removal from the downer and 46% recovery in the riser under the conditions investigated. Such results prove the functionality of using the newly developed bioreactor design for the continuous production and recovery of products of biotechnological significance.