Are you ready to give your baking a healthier twist? Making your own DIY Coconut Powdered Sugar is an excellent way to do just that. This “better for you” substitute to a traditional powdered sugar. It not only adds a toasty caramel flavor, but it is also incredibly simple to make. Whether you’re prepping for holiday baking, or searching for a wholesome substitute for powdered sugar… this recipe is your ticket to just that!
What is Coconut Sugar?
Coconut sugar is also known as coconut palm sugar and is popular with the paleo lifestyle. It is a natural sweetener harvested from the sap of coconut palm tree flowers. Made by collecting the nectar, boiling it down to create a syrup, and then crystallizing it into granules. It has rich, caramel-like sugar has a flavor profile similar to brown sugar with subtle hints of toasty coconut.
Coconut sugar adds a depth of flavor to your glazes, frostings, and more. It also has a lower glycemic index compared to regular table sugar. This means it has a slower effect on blood sugar levels. It does contain SMALL amounts of essential minerals like iron, zinc, and potassium. However, it should still be used in moderation because sugar is sugar, right? Versatile and tasty, coconut sugar can be used as a substitute for brown sugar in some recipes. So why not make powdered sugar!

How does it taste?
- Adjust Sweetness: Coconut powdered sugar is slightly less sweet than regular powdered sugar, so you may need to adjust the quantity based on your taste preferences and recipe requirements.
- Flavor Profile: This has a completely different flavor. If you are new to coconut sugar, it has a lovely caramel flavor. Perfect for pairing with desserts such as, Simple Overnight Cinnamon Rolls, Bakery Style Vanilla Bean Scones, and more!
What You’ll Need:
Coconut Sugar- I find mine at a local grocery store that has a bulk section.
Arrowroot Powder- Cornstarch, Tapioca Starch, and, Potato Starch will all work well as a 1:1 substitute.
Blender or Food Processor- I use a high powered blender. Using a good one is what I recommend, but use what you have. A food processor also works.
Ways to Use Coconut Powdered Sugar
Homemade coconut powdered sugar is a delightful ingredient that can be used in various ways to enhance both sweet and savory dishes. Here are some ideas:
- Baking: Substitute coconut powdered sugar in your favorite baking recipes for a healthier option. It works well in cookies, cakes, and pastries. Keep in mind to use it where the flavors pair well with the warmth of coconut sugar.
- Frostings and Glazes: Use it to make frostings and glazes. Its fine texture blends smoothly, giving your desserts that same velvety finish.
- Dusting: Lightly dust desserts, fruit, or even pancakes, and waffles for a touch of sweetness.
- Beverages: Stir it into hot beverages like coffee or tea.
- Baking: Substitute it for regular powdered sugar in recipes for cakes, cookies, or cupcakes. It works especially well in recipes that complement coconut flavors, such as coconut macaroons or coconut cake.
- Energy Balls and Bars: Mix it into homemade energy balls, granola bars, or protein bars for added flavor and sweetness.
- No-Bake Treats: Use it in no-bake recipes like raw energy bites or coconut-based treats for a quick, sweet fix.
- Homemade Candy: Incorporate it into homemade candy recipes or chocolate truffles for a unique twist.
How to Make Coconut Powdered Sugar
1. Prepare the Ingredients
Start by measuring your coconut sugar and arrowroot powder. The arrowroot helps to prevent clumping.
2. Blend the Coconut Sugar
Place the coconut sugar arrowroot powder into a high-speed blender or food processor. Secure the lid tightly and cover with a clean cloth or towel to prevent powder from escaping.
3. Blend Until Fine
Pulse or blend on high speed for about 30 seconds. It shouldn’t take much longer than that, but it will depend on the type of blender you are using. You want to achieve a fine, powdery texture similar to traditional powdered sugar, this will help it dissolve and blend well in your recipes. Also be careful not to over blend, as this can cause the sugar to heat up and clump.
4. Store Properly
Transfer the coconut powdered sugar to an airtight container. Store it in a cool, dry place. It should keep well for several months.
Looking for more PANTRY STAPLE recipes? Check these out!
Easy DIY Blackstrap Molasses Brown Sugar
Homemade Cajun-Style Spice Blend for Soups, Rubs, and More
Homemade Ranch Seasoning Mix for Dips, Dressings, & More
The Perfect Homemade Honey Mustard Dressing
5-Minute Creamy Maple Dijon Dressing & Marinade
If you try this DIY Coconut Powdered Sugar or any of my other recipes, comment & rate below.
You can also find me on Facebook & Pinterest!

Subscribe today for FREE weekly recipes sent directly to your inbox!
Be sure to check your email to confirm.

DIY Coconut Powdered Sugar
Equipment
- 1 Blender or Food Processor
Ingredients
- 1 cup coconut sugar
- 1 tablespoon arrowroot powder, SEE NOTES for substitutions
Instructions
- Add the coconut sugar and arrowroot powder (or your substitution) to a blender or food processor. You can double the measurements if needed. If you need a larger batch, I recommend working in batches.
- Put the lid on and make sure it is sealed. You can also use a clean towel or cloth to wrap around the seal of the lid to prevent any powder from escaping.
- Pulse or blend on high speed for about 30 seconds. It shouldn't take much longer than that, but it will depend on the type of blender you are using. You want to achieve a fine, powdery texture similar to traditional powdered sugar, this will help it dissolve and blend well in your recipes. Also be careful not to over blend, as this can cause the sugar to heat up and clump.NOTE: If you need to turn off the blender, take the container off of the base in intervals to give it a slight shake, sometimes that is helpful. Do not take off the lid or the aerated powder will escape.
- Once you are done "blending", wait a few minutes for the powder to settle before opening the lid and spooning into an air-tight container.
- Store your coconut powdered sugar in an air-tight container in a cool dry place.Use as a 1:1 swap for regular powdered sugar in any recipe that this toasty, caramel flavor would work well in.


Leave a Reply to joymakersandcoCancel reply