Making Annatto Oil from scratch couldn’t be easier. This bright red-orange oil will add a pop of color and some solid flavors to countless Filipino, Latin, and Caribbean dishes. I’ll show you how to make it at home using just four ingredients.

I’ve been lucky enough in my career to make a few friends who have shown me how to make some seriously good Filipino dishes. I’m a huge fan of the cuisine and have learned that each dish begins with simple basics. Did you know that the best way to eat breakfast is to pile Garlic Fried Rice onto your plate, and a fantastic Beef Kaldereta always needs Beef Liver Spread?
Annatto Oil Recipe
Annatto oil (or achiote/atsuete oil) is an infused oil with a vibrant red-orange color used mostly throughout the Philippines, the Caribbean, South and Central America, and other countries. It’s made by toasting the seeds from the achiote tree in oil. These small seeds (called annatto or achiote seeds) are known for their color and don’t have much flavor on their own. This makes the oil a natural food coloring agent, bringing pops of red, orange, and amber hues wherever it’s used.
I made my achiote oil with just 4 ingredients: the seeds, a neutral high-heat oil, and two simple aromatics. Most of the time, this recipe is made only with the seeds and oil, but I wanted a bit more flavor, which is where a sauteed shallot and a few garlic cloves came in.
With its extra savory notes and amazing color, annatto oil becomes an essential ingredient in my rich and smoky Chicken Inasal Recipe (Filipino marinated and grilled chicken). That’s not all, though. You’ll always find a jar of homemade annatto oil in my pantry because it’s the very best way to add more color to curries, marinades, sauces, stir fries, and countless other dishes.
Ingredients and Substitutions

- Oil – I’ll use any high-heat neutral-flavored oil I have in the kitchen. My go-tos are usually avocado oil, olive oil, and vegetable oil.
- Annatto Seeds – These small red seeds come from the spiky pods on the achiote tree. They release their color when fried in oil, which is why they’ve been coined as a natural food coloring agent. I buy whole annatto seeds from my local Asian grocery store, but you should also be able to find them at Latin markets or online.
- Aromatics – I seasoned the oil with sautéed garlic cloves and a shallot.
How to Make Annatto Oil
Combine: I start by adding all of the ingredients to a medium-sized pot.

Simmer: Over low to medium heat, I lightly fry the seeds and aromatics in the oil for 10 minutes. The shallots and garlic should be a little crispy when done.

Strain and cool: I strain the oil through a fine-mesh strainer to separate the remaining seeds and aromatics from the infused oil. To finish, I set the strained oil aside to cool to room temperature.

Chef Tip + Notes
Be careful of stains! This is my #1 tip for anyone who wants to tackle this recipe. That red color in the oil sure is impressive, but it isn’t fun to clean from your white or light-colored countertops, clothing, etc. I wear culinary gloves and an apron, and I keep the heat on low-medium when making this to avoid any splatter.
- Use whole seeds: Remember to buy whole annatto seeds, not annatto powder or achiote paste. Annatto powder can be used (more on this below), but it’s harder to strain. Furthermore, achiote paste is usually already seasoned, which will throw off the flavors in your oil.
- Annatto powder: You can technically make annatto oil with ground achiote/annatto seeds the same way as if you used whole seeds. You’ll just need to strain the oil through cheesecloth or a nut milk bag instead. Do this a couple of times or until the oil is smooth.
- Don’t burn the seeds: It only took me 10 minutes to simmer the seeds in the warm oil. I keep an eye on them to make sure they don’t burn, too. Burnt annatto seeds tend to taste bitter.
- Annatto substitute: The oil will be different, but if you need a substitute for annatto seeds, try a 1:1 mix of paprika and turmeric.
- More flavors: When I’m feeling creative, I’ll add a bay leaf, chile peppers, black peppercorns, or oregano sprigs to the oil mixture for more layers of flavor.
Serving Suggestions
My annatto oil recipe makes just enough for my chicken inasal recipe (marinated Filipino chicken). I add it to both the chicken marinade and the basting sauce to make sure every inch of the chicken has that beautiful orange tint.
I highly recommend making a double batch because the oil comes in handy anywhere. Its savory, nutty flavor is subtle enough to drizzle into sauces, condiments, side dishes, or meals that could use a pop of color without overpowering the final flavors.
I’ll add it to chicken marinades, light-colored sauces, coconut rice, and curries when I want to make my plate pop.
Make-Ahead and Storage
Make-Ahead: You can make annatto oil up to 1 hour ahead of time.
How to Store: Annato Oil keeps well for up to 1 month in a sealed glass container at room temperature.
More Condiment Recipes
Annatto Oil Recipe

Ingredients
- 1 cup neutral-flavored oil
- ¼ cup annatto seeds
- 3 smashed garlic cloves
- ½ peeled, thinly sliced shallot
Instructions
- Add all the ingredients to a medium-sized pot and simmer over low to medium heat for 10 minutes. The shallots and garlic will start to fry slightly.
- Strain through a fine-mesh strainer and cool to room temperature before using.



Annatto Oil Recipe