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It is not so much about being better than being a different type of setting agent. For starters, agar tends to set more firmly than gelatin, meaning that they have different uses and texture outcomes. Agar is a lot stronger than gelatin too, so you need to use a lot less. If you're vegetarian or vegan, then gelatin is not appropriate and you'll need to use agar instead. Each one requires practice to use well, and you may find you prefer the usage and/or texture of one over the other or be quite happy to use both for different dishes, especially since agar can set without refrigeration.

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