Lipid can be structurally modified in order to attain improved functional properties. This work look into the possibilities of developing surface active lipids with improved functional properties through biocatalytic route. Biocatalytic route to surface active lipid are usually complex involving a biphasic system as the substrates used may differs in polarity. In some instances, chemical synthetic route are used. Attempts are made to study the biocatalytic route to surface active lipid including various factors affecting synthesis of such compounds. The surface active lipids produced may have distinct self assembling property and find useful application in surfactant industry.