KTC - Alternative Ice Cream Fats

The Inside Scoop: Why Sustainable Oils are the Future of Ice Cream

By - Gary Lewis, Head of Business Development and Sustainability at KTC Edibles and President of the National Edible Oils Association

Big changes are happening in the ice cream and dessert industry.

Driven by surging consumer demand for vegan, deforestation-free and ethically produced products, the market is evolving quicker than you can say ‘mine’s a 99, please.’

At the same time, manufacturers are navigating significant economic pressures, with volatile dairy pricing a key recent trend that’s set to continue.

This volatility, coupled with the growing shift toward vegetarian and vegan diets, is driving a massive increase in demand for dairy replacements and specialised vegetable oil blends.

But as the industry makes this switch, the spotlight is firmly shifting. It’s no longer just about offering a plant-based option; it’s about ensuring the sustainability, traceability and quality of the ingredients behind it, and, importantly, offering a point of difference to customers.

The Alt-Dairy Boom

Achieving the perfect scoop of dairy-free ice cream used to be a highly technical challenge, but today’s modern consumer makes zero concessions when it comes to taste or texture. They want the same creamy, luxurious mouthfeel they expect from traditional dairy fats.

Offering a truly luxurious, plant-based ice cream or shake isn’t just about ticking a vegan box - it’s a powerful point of difference. It promotes menu inclusivity and eliminates the ‘veto vote,’ ensuring large groups don’t take their custom elsewhere just because one person needs a dairy-free dessert.

What this means for the industry and retailers is that many leading ice cream brands supplying the fast-food sector are increasingly turning to specific, high-performance edible oils. These bespoke vegetable oil blends act as a like-for-like dairy replacement. Crucially for operators, they also help shift the supply chain towards less volatile commodities, allowing retailers to stabilise their input costs, protect their margins and confidently satisfy the growing appetite for plant-based ice creams and desserts.

Traceability as a Standard

Just as the ice cream industry has come to champion the whereabouts of its dairy, even down to the farm, it’s high time the same scrutiny was applied to the origins of its alternative fats and oils.

After all, today’s consumers are highly eco-conscious. They scrutinise ingredient lists and expect the brands they trust to use ethically produced, traceable ingredients.

That consumer demand is also being matched by legislative changes. Despite yet another delay from the EU, the market is already pressing ahead with implementing the EU Deforestation Regulation (EUDR), due to come into effect at the end of 2026, with the UK set to follow with its Forest Risk Commodity Regulation, which is likely to align on several key points.

Those two sets of regulations mean the direction of travel is certain: transparency is no longer optional. By the end of this year, businesses will need to prove their supply chains are deforestation-free. Relying on untraceable commodity oils is a risk that manufacturers can no longer afford to take.

Future-Proofing the Supply Chain

Working with these changing sustainability regulations and the shift toward mandatory reporting can seem daunting. While the heaviest burden of proof falls on manufacturers, fast-food professionals and retailers should look to protect their own brand by ensuring they purchase from compliant suppliers.

The most effective way to future-proof your menu is to buy from brands that have already done the heavy lifting. At KTC, we didn’t wait for legislation to force our hand. We have long supplied 100% RSPO-certified, segregated sustainable palm oil, and work with several ice cream manufacturers.

Whether you are designing a new dessert menu or reviewing your current suppliers, choosing products made with certified, traceable ingredients is essential. Seek out ice cream brands backed by rigorous testing, BRCGS accreditation and recognised industry certifications.

For fast-food professionals, buying products made with certified sustainable edible oils is the next logical step. It gives your range more options while still offering a premium customer experience, bypasses volatile dairy prices and keeps your brand’s reputation secure in a rapidly changing market.

Additional information can be found at https://www.ktcfoodgroup.co.uk/