Palm shortening is a solid cooking fat made entirely from palm oil, with no water or additives. Unlike traditional vegetable shortening, which relies on hydrogenation to turn liquid oils solid, palm shortening gets its firm texture through a physical separation process that isolates the naturally solid portions of palm oil. This makes it 100% fat with no trans fats, and it has become a popular choice for bakers looking for a plant-based, hydrogenation-free alternative to both conventional shortening and lard.
How Palm Shortening Is Made
Palm oil straight from the fruit is a semi-solid mixture of different fat molecules, some that stay liquid at room temperature and some that solidify. To make shortening, manufacturers use a process called dry fractionation to separate these two portions. The oil is slowly cooled in large crystallization tanks (holding up to 100 tons per batch) at a carefully controlled rate of just 0.2 to 3°C per hour. This gradual cooling causes the higher-melting fats to form crystals while the rest stays liquid.
Once crystallization is complete, the solid fraction (called stearin) is separated from the liquid fraction (called olein) using membrane press filtration. The stearin is what becomes palm shortening. Because the entire process is mechanical, no chemical solvents or hydrogen gas are involved. The result is a naturally firm, white fat that holds its shape at room temperature without any of the trans fats created during hydrogenation.
Why It Works So Well in Baking
Palm shortening performs unusually well in baked goods, and the reason comes down to crystal structure. Fats can crystallize in different forms, and the tiny, needle-shaped crystals known as the beta-prime form are the gold standard for baking. These microscopic crystals (roughly 1 micrometer across) are excellent at trapping air bubbles during creaming, which is what gives cakes their lift and cookies their tender texture. Palm oil naturally promotes and stabilizes this beta-prime crystal form. Hydrogenated soybean and canola oils, by contrast, tend to shift into larger, plate-shaped beta crystals over time, which are far less effective at holding air.
This crystal stability is so valuable that palm oil has long been added to shortening blends specifically to prevent this unwanted crystal transformation. In palm shortening, you get that benefit in its purest form. The fat coats gluten strands in dough, interrupting the protein network that would otherwise make baked goods tough and chewy. This “shortening” effect is where the product gets its name: it literally shortens gluten strands, producing tender, crumbly results.
Palm shortening is 100% fat, compared to butter’s 80% (the remaining 20% in butter is mostly water and milk solids). That difference matters in pastry. The water in butter creates steam during baking, which contributes to flakiness in pie crusts but can also activate gluten and make some recipes tougher. Palm shortening’s lack of moisture gives you more consistent, predictable results in cookies, crumble toppings, and quick breads where tenderness is the priority.
Melting Point and Heat Stability
Depending on which fraction of the palm oil is used, palm shortening can have a wide range of melting points. Commercial palm shortenings typically melt between 33°C and 60°C (roughly 91°F to 140°F). Most products sold for home baking fall somewhere in the middle of that range, staying solid at room temperature but melting easily in your mouth and in the oven. Higher-melting versions exist for applications like frostings and food manufacturing, where you need fats that hold their shape even in warm conditions.
This relatively high melting point compared to butter or lard means palm shortening keeps its structure well during mixing and shaping. Pie dough made with it is easier to handle in a warm kitchen, and frosting holds up better on a summer day.
How It Compares to Butter and Lard
Each of these fats brings something different to baking. Palm shortening and lard are both 100% fat, while butter contains about 20% water and milk solids. That water content in butter contributes flavor and creates steam for flaky layers, but it also means you’re getting less actual fat per tablespoon.
Flavor is the biggest trade-off. Butter brings a rich, dairy taste that palm shortening simply cannot replicate. Lard, particularly leaf lard (the highest grade, rendered from fat around the kidneys), has a neutral flavor and produces exceptionally flaky, delicate pastry. Palm shortening is also flavor-neutral, which makes it versatile but means you may want to boost flavor with extracts or other ingredients.
For pie crusts, lard is often considered the gold standard for flakiness. For crisp cookies, crumble toppings, and frostings that need to hold their shape, palm shortening excels. Butter wins when flavor is the main event. Many experienced bakers combine two of these fats to get the best of both worlds: butter for flavor and shortening or lard for texture.
Storage and Shelf Life
Palm shortening is shelf-stable and does not need refrigeration. The USDA recommends storing unopened solid shortening at room temperature for up to 8 months. Once opened, it keeps for about 3 months at room temperature for best quality. Keep the container sealed and away from heat and light, since exposure to both accelerates oxidation.
You’ll know palm shortening has gone rancid by its smell and taste. Fresh shortening should be virtually odorless. If it develops a stale, paint-like, or soapy smell, the fats have oxidized and the shortening should be discarded. A yellowish discoloration can also signal degradation.
The Sustainability Question
Palm oil production is one of the leading drivers of tropical deforestation, particularly in Southeast Asia. This makes sourcing a real concern for many buyers. The Roundtable on Sustainable Palm Oil (RSPO) certifies palm oil produced under standards designed to limit deforestation and protect biodiversity. If sustainability matters to you, look for RSPO certification on the label, which ensures the oil came from plantations meeting these criteria.
Several brands of palm shortening sold in natural food stores carry RSPO certification or source from small, sustainable farms. The certification covers the full supply chain, from the plantation through processing to the final product, so a certified shortening means the palm oil was tracked at every stage. Not all palm shortening carries this certification, so checking the label or the manufacturer’s website is worth the extra step.

