The present disclosure provides for production of lactic acid from organic waste or biogas or methane using recombinant methanotrophic bacteria. In one embodiment, the recombinant methanotrophic bacterium includes a heterologous nucleic acid encoding for lactate dehydrogenase (Idh) enzyme. In a further embodiment, the capacity of the recombinant methanotrophic bacterium for producing lactic acid over basal level is increased by overexpression or/and down-regulation or deletion of specified genes. In another embodiment, a process for producing lactic acid from organic waste using the recombinant methanotrophic bacterium is disclosed. The present disclosure provides a cradle to cradle environment-friendly and commercially viable solution for managing organic waste.