What is industrial margarine, and how is it made?

Margarine has long been a staple in both retail and industrial food production, valued for its versatility, texture, and functionality. While consumer margarines are designed for direct use – as spreads or table products – industrial margarines serve a very different purpose.

Formulated specifically for bakeries, foodservice, and large-scale food manufacturing, industrial margarine is an essential functional ingredient that shapes the texture, stability, and performance of countless baked goods, pastries, and processed foods. Its precise composition and processing determine how doughs rise, how layers form, and how finished products retain their structure and freshness.

In this article, we’ll explore what industrial margarine is, how it’s produced, and the key equipment and processes that ensure consistent, high-quality results in large-scale food manufacturing.

Industrial margarine is a specially formulated fat designed primarily for use as a functional ingredient in food manufacturing, rather than for direct consumption like table margarine or consumer spreads.

Unlike retail products, which focus on taste, texture, and appearance for the end consumer, industrial margarine is engineered to deliver consistent performance in baking, confectionery, and other large-scale food production applications.

Among other properties, industrial margarine is known for its controlled plasticity, consistent fat crystal structure, and predictable behaviour under heat and mechanical processing. These characteristics ensure doughs and batters rise correctly, laminated pastries maintain their layers, and fillings or coatings remain stable during production and storage.

Common applications include:

• Baked goods: Cakes, cookies, puff pastry, and laminated doughs benefit from the improved volume, tenderness, and flakiness offered by industrial margarine.
• Confectionery and fillings: Industrial margarine provides smooth texture, stability, and mouthfeel in creams, pralines, and other fillings.
• Industrial food production: Used as a functional fat for frying, layering, or as an ingredient in large-scale formulations where consistency and reliability are essential.

Industrial margarine bridges the gap between raw fats and the finished product, giving manufacturers precise control over texture, structure, and process efficiency.

Industrial margarine is primarily made from vegetable oils and fats. Unlike shortening, which is composed entirely of fat, industrial margarine typically contains approximately 20% water.

Key properties such as plasticity, consistency, and stability are carefully controlled to ensure predictable behaviour during mixing, laminating, and baking. Depending on the formulation, optional ingredients like antioxidants or flavouring agents may be included to enhance stability, extend shelf life, and maintain uniform performance.

Controlling the solid fat content (SFC) is especially important, as it directly influences product structure, spreadability, and the texture of the finished baked goods or processed foods.

Producing high-quality industrial margarine requires precise control at every stage. Each step affects the fat’s functionality, texture, and performance in baked goods or other applications:

1. Oil blending and melting: All oils and fats are mixed and fully melted to create a uniform base for the emulsion.
2. Emulsion incorporation: Once the fat phase is completely liquefied, emulsifiers are added to stabilise the mixture and support the formation of a consistent emulsion.
3. Water phase addition: After thorough blending for approximately 5-10 minutes, the water phase – typically consisting of water, dairy powder, and salt – is introduced and carefully emulsified with the oil phase.
4. Final adjustments: When the emulsion is stable, flavouring and colouring agents (often beta-carotene) are added, and the pH is adjusted as needed. At this stage, the product is ready for the crystallisation and cooling process.
5. Plasticising and texturing: At this stage, the hot emulsion is pumped through the Polaron SSHE, where controlled cooling initiates the crystallisation of the fat phase. The newly formed fat crystals are then worked and divided in the pin rotor machine, developing the desired plasticity, smooth texture, and uniform structure in the final margarine. This combination of precise cooling and mechanical working ensures a stable, homogeneous product with excellent spreadability and consistency.
6. Resting and conditioning: The margarine rests, allowing the fat crystals to stabilise, which helps maintain predictable behaviour in doughs, batters, and other applications.
7. Packaging: Once fully conditioned, the margarine is packed, ready for shipment or direct use in production lines. Most industrial margarine products are filled directly into bag-in-box systems or packed in blocks immediately after the crystallisation line. If conditioning or tempering is required, this process typically takes place after packaging to ensure the shortening achieves the desired texture and stability before use.

By carefully managing each step, manufacturers can ensure industrial margarine performs consistently – whether it’s used in laminated doughs, cakes, cookies, or other processed foods.

You might also be interested in: What is shortening, and how is it made?

In industrial margarine production, precision at every stage of the process is critical to achieving a consistent, high-quality product. Temperature control, pressure, and mechanical working all influence the formation of fat crystals, which in turn determines texture, spreadability, and structural integrity.

Insufficient control can lead to graininess, phase separation, or uneven consistency – problems which compromise both functionality and finished product performance.

Modern processing lines are engineered to maintain tight control over these variables. By ensuring repeatable crystallisation and uniform working of the fat blend, these systems help manufacturers deliver reliable, consistent margarine suitable for a wide range of industrial applications.

The margarine industry continues to evolve in response to shifting consumer expectations, sustainability goals, and efficiency demands. Modern production is shaped by a range of key trends and challenges, including:

• Reformulation for healthier profiles: Manufacturers are reducing trans fats and saturated fats to meet health regulations and consumer demand while maintaining the texture and functionality required in baking and food manufacturing.
• Growing demand for plant-based and sustainable oils: The transition towards responsibly sourced and plant-based ingredients is reshaping fat formulations, requiring adaptable processing equipment that can handle a wide range of oil blends.
• Focus on energy-efficient production: Technologies such as CO₂-based cooling systems are being adopted to reduce environmental impact, lower energy costs, and support corporate sustainability goals.
• Increasing quality expectations: Industrial customers are demanding higher consistency, stability, and performance across large production batches, making precise process control and reliable equipment more important than ever.

Together, these trends are driving continuous innovation in margarine production, where efficiency, sustainability, and product performance must go hand in hand. Producers that invest in flexible, energy-efficient systems are best positioned to meet future market and regulatory demands.

Gerstenberg Services is a trusted partner to margarine producers worldwide, delivering complete crystallisation and texturing solutions built on decades of process expertise. The Polaron line – including the Scraped Surface Heat Exchanger (SSHE), Pin Rotor Machine and Plasticator, and Margarine Pilot Plant – covers every stage of production, from R&D to full-scale industrial manufacturing.

Our systems are designed for scalability, enabling producers to move seamlessly from pilot testing to continuous, high-volume operation while maintaining the same product quality and process precision. Each unit is engineered for hygienic design, energy efficiency, and long-term reliability, ensuring consistent results – even under demanding production conditions.

To keep operations running at peak performance, Gerstenberg Services also provides comprehensive service and maintenance support. From installation and commissioning to preventive maintenance and spare parts, our experts help maximise uptime, extend equipment life, and ensure dependable performance year after year.