Used in confectionary, food, pharmaceutical and cosmetics, Gum Arabic is a pure natural additive that has been a preferred ingredient in many industries. This study was an effort to explore the potentials of Gum Arabic as a halal food additive focusing on its emulsifying and encapsulating properties. The parameters used were the amount of emulsifier used and the inlet temperature of the spray dryer and were evaluated by the morphology, the particle size, and the moisture content of the resulting powdered milk. The effects of various processing parameters of the amount of emulsifier, the standing temperature as well as the oil to aqueous phase ratio on the emulsification activity were investigated. The encapsulating properties of Gum Arabic were applied in the production of milk powder. Emulsions are prepared by vigorously shaking the mixtures of oil phase and aqueous phase containing this emulsifier. Gum Arabic becomes the ideal food additive due to its natural purity and halal features.