Make this rich and creamy sugar free condensed milk with just 3 ingredients! My easy recipe is naturally dairy-free and and only 0.6g net carbs per tablespoon. Use it in your keto baking and any dessert that calls for condensed milk.

This silky sugar-free sweetened condensed milk is a life-saver! I love to have a batch in the fridge for those moments when I get the urge to make something sweet'n'special.
You can use it in a bunch of delicious low carb desserts, from cheesecake to magic cookie bars. I especially love it in my Keto Key Lime Pie recipe!
It is the perfect replacement for regular sweetened condensed milk, which sadly is packed with sugar and not suitable for anyone on a low carb or sugar free diet. Even better, my version is not only keto friendly, but also dairy free because it uses coconut instead of regular cream and butter.
This way, the recipe is lighter, easier on the stomach and I think it also tastes better!
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Why You'll Love It
- Easy - Just 3 ingredients
- Naturally Dairy-free - Made with coconut milk
- Low Carb - Only 0.6g net carbs per tablespoon
- Keeps fresh for up to 4 weeks
- Works as a 1:1 substitute in any recipe that calls for traditional condensed milk
Ingredients

Here are the ingredients I used:
- Canned coconut milk - full-fat coconut milk from a can. We are using both the coconut cream and the liquid. Don't use the coconut milk you drink. Canned coconut milk has a higher fat content, which is essential for creating thick and creamy condensed milk. Option to use dairy cream (heavy cream) instead.
- Powdered allulose - the best sugar substitute for this recipe, I'll explain further below.
- Vanilla extract - optional, but lends a lovely mellow flavor.
Why I prefer using coconut milk over dairy cream:
I love the flavor, and it contains less fat. Coconut milk has a fat content of 18g per 100g as opposed to the punchy 47 grams per 100g in double (heavy) cream.
Coconut is also naturally sweet, which means you need less sweetener.
Instructions
This section contains step-by-step instructions and photos that show how to make this recipe. See the recipe card for full information on ingredients and quantities
It's really simple! First, empty all ingredients into a saucepan.
Stirring regularly, bring the mixture to the boil over a medium heat. It will become a smooth liquid.

Reduce the stove to a very low heat and let the mixture simmer for about 30-45 minutes. Continue to stir in regular intervals and wait until the liquid has reduced by half.
The mixture should have thickened and will coat the back of a spoon.

Fill the keto condensed milk into a glass jar and let it cool to room temperature.
Once it has cooled fully, store it in the fridge.
Recipe Tips
#1 Keep the heat low. If the sugar free sweetened condensed milk becomes too hot, it will burn. It's important to stir regularly and stick to a low heat.
#2 Reduce the liquid by half. Wait until the mixture has reduced by half. Only then take it off the heat. It thickens further as it cools.
#3 Pot size matters. As a rule of thumb, the larger the pot, the quicker the milk will cook. If it's still liquid, it needs to cook longer.
#4 Let it cool slowly. Don't put the hot condensed milk straight in the fridge as the cream will solidify into little gloops of fat. Give it time to cool naturally until it reaches room temperature. to roo.
Why Allulose is the best Sweetener
Allulose is perfect for any sugar free recipe where creaminess is essential - like condensed milk! No other sugar substitute sets as smooth. Allulose does not re-crystallize and behaves just like sugar.
I now use allulose in all recipes where smoothness is key, such as my Keto Sugar Free White Chocolate, this Vegan Keto Caramel Sauce or my Keto Flan.
Can I use another sweetener?
Yes, you can - just make sure it is powdered.
Especially with erythritol sweeteners (such as Swerve), the condensed milk texture turns a little gritty once it has been in the fridge. Bocha Sweet and xylitol set smoother than erythritol, but still not as smooth as allulose.
When I first published this recipe in 2018, allulose was not available and I used powdered erythritol. It absolutely works, if you don't mind a bit of graininess around the rim of the jar.
Here is a tip: Adding a pinch of xanthan gum reduces the re-crystallization and makes the condensed milk more gooey.

Can I use this as a 1:1 substitute for sweetened condensed milk?
Yes! Use this keto condensed milk like a 1:1 replacement for regular sweetened condensed milk.
Use it like this:
- As a topping. Drizzle it over berries or drizzle it over cakes like this Coconut Flour Cake.
- Swirl it into sugar free ice cream.
- Make a Vietnamese coffee. Simply add the condensed milk like a coffee creamer.
- Tres Leches cake. I have a tres leches cake recipe in my Keto Desserts Cookbook where this condensed milk shines.
- Keto Key Lime Pie - A must make from the blog!
- Almond Joy cookie bars
- Dulce de Leche
- Keto fudge. Simply mix with chocolate chips!
Variations
How to make unsweetened condensed milk
When I first published this recipe, I only used 2 tablespoons of sweetener and twice the amount of coconut milk. The result was tasty and surprisingly sweet, because coconut contains a fair amount of natural sweetness.
Therefore, it is entirely possible to omit the sweetener altogether and simply cook down the coconut milk.
Just keep in mind that recipes with condensed milk generally require it to be sweet.
Sugar Free condensed milk with dairy
You can replace the coconut milk with heavy cream. This makes the condensed milk taste like classic condensed milk. The recipe steps are the same.
Recipe FAQs
You did not cook it for long enough. You need to reduce the liquid by 50%. This is is the sweet spot for the condensed milk to thicken.
Either the cooking temperature was too high or you cooked it for too long! This causes the allulose sweetener to brown and instead of condensed milk you end up with caramel sauce.
Yes. Since this sugar free condensed milk is made with coconut milk, you can detect a gentle coconut flavor.
Yes, that will work. With canned coconut cream (the thick part of a can of coconut milk), the condensed milk will take less time to cook.
Storage
Refrigerator. Store in an airtight container or mason jar the fridge for up to 4 weeks. If it becomes too firm to use, simply let it come to room temperature or re-heat gently.
Don't microwave as it can separate.
Freezer. Alternatively, freeze for up to 3 months. Defrost overnight in the fridge and give it a good stir to loosen it up.
More Dairy Free Keto Desserts
Interested in dairy free sweets and desserts? Check out my Dairy Free Sugar Free Custard (Keto) or this extra-creamy Keto Creme Brulee.
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Recipe

Sugar Free Sweetened Condensed Milk
Ingredients
- 14 oz coconut milk from a can, 400ml
- ¼ cup allulose powdered, 45g. Increase to up to ½ cup or 90g for a sweeter condensed milk.
- ½ teaspoon vanilla extract
Instructions
- Empty all ingredients into a saucepan. Stirring regularly, bring the mixture to the boil over a medium heat. It will become a smooth liquid.
- Reduce to a very low heat and let the mixture simmer for about 30-45 minutes. Continue to stir in regular intervals and wait until the liquid has reduced by half. The mixture will thicken and coat the back of a spoon.
- Fill the keto condensed milk into a glass jar and let it cool to room temperature. It thickens further as it cools. Once it has cooled fully, store it in the fridge.











Kristina
Thanks for yet another great idea, cant wait to try it for both us grown ups on low carb and son that is dairy free... and another thanks for bringing up some memories, as the edible paper was a thing in Slovakia too
Katrin
Edible paper... it was huge in the 70s over in Germany!!!! Hope you'll like this recipe 😉
Jenny Taylor
How do you store the Condensed Milk? In a fridge or pantry shelf? and how long does it last after making it?
Katrin
I store mine in in the fridge. It was fine for a few weeks - but how long you're comfortable storing it, that's a call you'll have to make for yourself 🙂
Paul
Can this be used for a flan or key lime pie?
Katrin
Yes, that's possible!
Shirley Korson
Hey, I'm Diabetic , and i LOVE your recipe !
Katrin
Hi Shirley, you should try my sugar free ice cream!
Garvelle D Grant
I love you! This was so good
Ce
What about monk fruit as a sweetener?
Katrin
Hi, I've only ever used the erythritol based monk fruit sweetener by Lakanto, which would work fine here. I know there's pure monk fruit, but I've never tried it so I would not know what quantities to use
Katrin
I believe for yoghurt you need some kind of bacteria? I've never made coconut yoghurt and I don't own an instant pot, so I'm afraid I don't have an answer for you 🙂
Katrin
I'm glad it hit the spot!
Andrea
Can it be made with actual milk instead of coconut milk?
Katrin
I'm not sure that would work so well as it's so much more watery. There are recipes out there using double/heavy cream. This, however, makes the end product VERY calorie heavy.
Gail
think a stevia sugar blend can be used instead. erythritol doesn't agree with me
Katrin
I'm sure you could try that. When you buy granulated stevia, be sure to check the ingredients though - many include erythritol. Also, I"ve had a stevia blend once that was twice as sweet as sugar. Erythritol generally has a 1:1 sweetness compared to sugar
Heather Vickery
Hi Katrin,
I am wondering if you could make this condensed milk with Almond Milk
instead of coconut milk.
Thanks for your great recipes.
Heather
Katrin
Hi Heather, I don't think that will work. The coconut milk I'm using is from a can and it is high in fat. It's the type that will separate into a firm and a liquid part if you put it in the fridge. I have never seen almond milk like that. The only one I know is used as a milk replacement and normally contains up to 6% fat only. It's too liquid.