Physicochemical characteristic and compatibleness of palm mid fraction, perhydro palm kernel olein and cocoa butter, as base oils and fats in chocolate coating, were studied. The result showed that, when content of palm mid fraction in the blend of palm mid fraction and hydrogenated palm kernel olein was below 30%, there was slight eutectic. The blend was suitable as chocolate coating without trans fatty acids. The addition of cocoa butter caused serious eutectic among the ternary system (palm mid fraction and hydrogenated palm kernel olein and cocoa butter); therefore it was inadvisable to add cocoa butter in the blend.