This research investigated the possibility of producing zero-trans packet margarines from virgin coconut oil (VCO). VCO was mixed with palm stearin (PS) and/or palm oil (PO) in six weight proportions in order to prepare feedstocks for the production of experimental margarines. The fat blends included two binary blends of PS/VCO (40:60 and 30:70) and four ternary blends of PS/VCO/PO (30:40:30, 20:40:40, 30:50:20 and 20:50:30). The six fat blends and the experimental margarines produced from the blends were characterized and compared with commercial trans- (CTM) and zero-trans (CZTM) margarines in terms of microstructure, polymorphism, solid fat content, melting and crystallization behavior, textural and sensory properties. It was found that the binary fat blend which contained 30% PS and 70% VCO was the most suitable blend to be used as feedstock for the production of zero-trans packet margarine. The blend exhibited a tendency to crystallize into β’ structure with a good cooling effect and a low SFC value at body temperature, indicating that it would not cause waxy mouthfeel when consumed. In addition, the margarine produced from the blend demonstrated good consistency with a hardness characteristic close to that of a commercial trans-packet margarine and also received the highest score for overall acceptability.