Step 1: Understanding the Concept:
Lactose hydrolysis splits milk sugar into glucose and galactose. This improves solubility, increases sweetness, and makes products suitable for lactose-intolerant individuals. The "Valio" process is a specific industrial method developed in Finland.
Step 2: Detailed Explanation:
- Statement (A): The Valio process typically uses an "acid lactase" ( $\beta$-galactosidase) derived from the fungus Aspergillus niger. Correct.
- Statement (B): Because it uses an acid lactase from A. niger, the optimum pH is around 3.0 to 4.5, not pH 7. Enzymes from yeast (like Kluyveromyces) operate at pH 7. Thus, (B) is incorrect.
- Statement (C): Since the enzyme used in the Valio process is acid-stable and requires a low pH for activity, it is ideally suited for acid whey. It cannot be used directly on neutral milk (pH 6.7) or sweet whey without first adjusting the pH downwards. Correct.
- Statement (D): Hydrolyzed lactose is 3-4 times sweeter than regular lactose, allowing for sugar reduction in yogurts and confectionery. Correct.
Thus, A, C, and D are correct.
Step 3: Final Answer: (2) (A), (C) and (D) only.