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Butter Oil Manufacturing: A Modern Guide for the Food Industry
Butter Oil Manufacturing: A Modern Guide for the Food Industry


What is Butter Oil?


Butter oil, also known as anhydrous milk fat, is a clarified form of milk fat containing a minimum of 99.3% fat. It is traditionally used for both culinary and industrial purposes and remains a vital product in the dairy processing ecosystem.

Its rich golden-yellow color (especially when derived from cow’s milk) and low moisture content make it highly shelf-stable. This product is popular in food manufacturing due to its long shelf life, high smoke point, and clean taste.


As a food processing consultant or a food manufacturing consultant, recommending butter oil can be a game-changer in formulation for shelf-stable dairy or fat-rich products.


Regulations and Standards


According to Codex Standards, butter oil and anhydrous milk fat must:


  • Be made exclusively from milk or milk products.
  • Contain ≥99.3% (butteroil) or ≥99.8% (anhydrous butteroil) milk fat.
  • Be almost completely devoid of water and non-fat solids.
  • Be made from cream or butter of various ages.
  • Allow use of alkali for neutralizing free fatty acids.


Key Characteristics of Butter Oil


Understanding the general properties is essential for food industry consultants and food technologists:


  • Pure fat and resistant to oxidation
  • Moisture ≤0.1%
  • Golden yellow if from cow milk; white with green tinge from buffalo milk
  • Neutral or bland aroma
  • Fine crystalline texture
  • Must be packed in clean, odorless containers


These qualities ensure compatibility with both household and industrial food applications.


Principles of Butter Oil Production


Butter oil can be made using two main methods:


  1. Directly from cream
  2. From reworked butter


Let’s explore both.


1. Butter Oil from Cream


  • Raw cream (35–40% fat) is pasteurized and separated to raise fat to ~75%.
  • Cream undergoes homogenization to break fat globules and release fat.
  • Product is passed through a centrifugal concentrator to reach ~99.5% fat.
  • Then it's heated to 95–98°C in a plate heat exchanger.
  • Moisture is reduced to 0.1% in a vacuum chamber.
  • The product is cooled and prepared for packaging.


2. Butter Oil from Reworked Butter


  • Butter is melted (60–80°C) in melting vats.
  • Held for 20–30 mins to allow protein aggregation.
  • Fat is separated using a centrifugal concentrator.
  • Then heated, dehydrated under vacuum, and cooled before packing.


Food business consultancy professionals can help identify the best method depending on plant capability and raw material access.


Packaging and Storage


  • Packed in airtight containers to exclude oxygen.
  • Sizes range from 1 kg to 20 kg for homes and restaurants.
  • For industrial use, 180 kg drums are standard.
  • Often flushed with nitrogen to prevent oxidation.


Conclusion


Butter oil is a concentrated dairy fat used for both preservation and culinary applications. With its high fat purity, resistance to spoilage, and clean taste, it’s a preferred product for many in the food industry.

Whether you're a startup or an established player in the dairy business, engaging with food consultancy services can help optimize your butter oil production lines. From regulatory compliance to process optimization, an experienced food technology consulting team can elevate your operations and ensure consistent quality.

PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering Butter oil manufacturing 2 Butter oil manufacturing Competent People. Smarter Work Systems. Exceptional Customer Interactions. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 1 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering Agenda What is Butter Oil ? Regulations and Standards General Characteristics Principles of Production Butteroil Vs Ghee Conclusion 1. 2. 3. 4. 5. 6. Competent People. Smarter Work Systems. Exceptional Customer Interactions. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 2 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 1. What is Butter Oil? • Butter oil is basically clarified milk fat. • It is also known as Anhydrous milk fat. • They have ancient traditional roots in many cultures. • A good quality Butter oil is grater than or equal to 99.3% milk fat. • A good quality butter oil is identified by it’s rich golden yellow colour Competent People. Smarter Work Systems. Exceptional Customer Interactions. 3 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 2. Regulations and Standards (Codex Standards) • Butteroil are fatty products derived exclusively from milk and/or products obtained from milk by means of processes which result in almost total removal of water and non-fat solids. • Anhydrous butteroil must contain at least 99.8 % milk fat but can be made from cream or butter of different ages. Use of to neutralize free fatty acids is alkali permitted. • Butteroil must contain 99.3 % milkfat. Raw material and processing specifications are the same as for anhydrous butteroil. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 4 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 3. General Characteristics. • Fat should be pure. • Stable against oxidation • Moisture content should not exceed 0.1%. • Product should have deep yellow colour if it is form cow milk fat and white with green tinge from buffalo milk fat • • It should have characteristic bland smell. It should have fine crystalline texture. • The packaging material odourless and flavorless. should be clean, Competent People. Smarter Work Systems. Exceptional Customer Interactions. 5 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 4. Principles Of Production. • There are two methods of production : 1. Direct from cream (milk) 2. From Reworked butter. 4.1. Production of butteroil from cream • Raw cream(35 – 40% fat) is pasteurized and is passed through cream separator to achieve a fat percent level of around 75%. • Cream is then fed to homogenizer for phase inversion (breaks the fat globules to release the fat). • After phase inversion product again pass- through centrifugal concentrator where the cream fat level is rise to 99.5%. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 6 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 4. Principles Of Production. • There are two methods of production : 1. Direct from cream (milk) 2. From Reworked butter. 4.1. Production of butteroil from cream • Raw cream(35 – 40% fat) is pasteurized and is passed through cream separator to achieve a fat percent level of around 75%. • Cream is then fed to homogenizer for phase inversion (breaks the fat globules to release the fat). • After phase inversion product again pass- through centrifugal concentrator where the cream fat level is rise to 99.5%. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 7 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering • Heating is to be done at 95 to 98°C in a plate heat exchanger. • The moisture content is the reduced to 0.1% in vacuum chamber followed cooling to ambient temperature through PHE. 4.2 Production of Butteroil from Butter • Butter is transferred to butter melting vat, where it is heated to 60°C to 80°C. • Transferred to holding tank, where it is hold for 20- 30 min to facilitate protein aggregation. • Then butter melt is transferred to centrifugal concentrator, where light phase is concentrated to 99.5% fat. • Concentrated light phase is then pumped through plate heat exchanger (PHE) where it is heated to 90-95°C. • Then to vacuum chamber for final moisture adjustment then back to PHE for cooling to 35 – 40°C for packing. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 8 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 5. Process Flow chart. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 9 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 4.3. Packing and storage of butter oil • Butteroil is filled in containers of various sizes. • Filling should be done up to the brim in the container in such a manner as to exclude maximum oxygen. • For households and restaurants containers of 1 kg to 20 kg are available. • For industrial uses drums of minimum 180kg are also available. • An inert gas, nitrogen, is used for packing to prevent oxidation Competent People. Smarter Work Systems. Exceptional Customer Interactions. 10 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 6. Butter Oil and Ghee. Ghee is traditional Indian Product. Ghee is used in cooking and other dietary purposes. Traditional Ghee has got rich flavour and aroma of diacetyl. Butteroil is a western name for ghee. The purpose of butter oil was storage. It is often used for recombination of milk. It has a bland flavour and no aroma. Competent People. Smarter Work Systems. Exceptional Customer Interactions. 11 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering 7. Conclusion. • Butter oil is essentially a milk fat saturated dairy product. • • • It is used as a technique for the preservation of excess milk, and it is used as edible oil. It is rich is vitamin K2 and other anti oxidants. The operation flood program of India was started with the recombination of butter oil and of skimmed milk powder over a projected period which was gifted by the European Economic Committee Competent People. Smarter Work Systems. Exceptional Customer Interactions. 12 PMG Engineering Private Limited The End-to-End Engineering Company in Food Industry info@pmg.engineering | www.pmg.engineering About PMG Engineering 13 Competent People. Smarter Work Systems. Exceptional Customer Interactions. Competent People. Smarter Work Systems. Exceptional Customer Interactions. We deliver End-to-End Engineering Design and Construction Management Projects in Food and Beverage Industry. Meeting Global Benchmarks In ENGINEERING DESIGN and PROJECT MANAGEMENT for FOOD and BEVERAGE Industry with SINGLE POINT ACCOUNTABILITY Process Engineering | Project Management | Mechanical | Electrical | Automation | Food Safety Key Clients We deliver End-to-End Engineering Design and Construction Management Projects in Food and Beverage Industry. Meeting Global Benchmarks In ENGINEERING DESIGN and PROJECT MANAGEMENT for FOOD and BEVERAGE Industry with SINGLE POINT ACCOUNTABILITY Process Engineering | Project Management | Mechanical | Electrical | Automation | Food Safety Key Clients We deliver End-to-End Engineering Design and Construction Management Projects in Food and Beverage Industry. Meeting Global Benchmarks In ENGINEERING DESIGN and PROJECT MANAGEMENT for FOOD and BEVERAGE Industry with SINGLE POINT ACCOUNTABILITY Process Engineering | Project Management | Mechanical | Electrical | Automation | Food Safety Key Clients

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