The invention relates to a process for producing a substantially stable dispersion without manufacturing aids, where the dispersion consists essentially of a hydrophobic plant sterol and an aqueous material, wherein the plant sterol is selected from plant sterols and plant stanols. The process comprises mixing the plant sterol with the aqueous material to form a first dispersion The next steps involve heating the first dispersion to form a heated mixture, followed by homogenizing the heated mixture to obtain a second dispersion of particles wherein the particle size of the hydrophobic plant sterol particles in the first dispersion and the second dispersion is from about 0.1 micron to about 30 microns. In one embodiment, the aqueous material consists essentially of a beverage concentrate, which includes a juice concentrate, such as a citrus juice concentrate, e.g., an orange juice concentrate. The invention also relates to a product produced by this process and a composition of matter which is a substantially stable dispersion of a hydrophobic plant sterol and an aqueous material wherein the plant sterol is selected from plant sterols and plant stanols, where in order to substantially avoid a powdery taste in the dispersion, the particle size of the plant sterol particles is from about 0.1 micron to about 30 microns and the majority of hydrophobic plant sterol particles within this range will be from about 0.2 microns to about 10 microns and will substantially follow a bell curve distribution. This composition may be made by the process of the invention, or may further include manufacturing aids selected from food grade emulsifiers, gums, starches and pectins.