Abstract: There is disclosed an aqueous dispersion comprising a) inorganic particles b) at least one fatty acid or a salt thereof, c) a polymeric binder, and d) water, wherein said aqueous dispersion is free of organic solvent. There is also disclosed use of an aqueous dispersion comprising a) inorganic particles, b) at least one fatty acid or a salt thereof, c) a polymeric binder, and d) water, as a coating on a substrate surface, wherein said surface after coating displays an equilibrium contact angle higher than 120° degrees, preferably more than 135°, most preferably more than 150° for a drop of water on the surface. There is also disclosed a method for coating a substrate comprising contacting said substrate with the aqueous dispersion. The coating allows application in one step, it is non-toxic, safe for food packaging, and environmentally friendly as well as inexpensive.