Abstract: A clouding agent for dry beverage mixes is prepared by first forming a mixture of titanium dioxide and water and then subjecting the mixture to high speed shear. A spacing agent and suspending agent are then added to the mixture and the mixture is again subjected to a high speed shear, followed by spray drying. The resultant clouding agent may contain higher quantities of titanium dioxide than conventional clouding agents to thereby provide increased opacity without increased sedimentation. Further, the method of the invention provides higher throughput through the spray dryer and better yields than conventional methods of preparation.