Much of the regular powdered milk produced for North America is used by the food manufacturing industry. It's used in commercial baking mixes, pancake and waffle mixes and myriad of foods found in the supermarkets. Look at the ingredient label. If it includes milk, there's a really good chance the ingredient was actually powdered, regular milk. In your baking at home, substitute 1/8th the amount of regular powdered milk for the liquid milk called for in your recipe. Add the powdered milk to your other dry ingredients. Then increase your water measurement to include the measurement of liquid milk called for and add this water to your recipe when you add your other liquid ingredients. For example, if your recipe calls for 2 cups of liquid milk, (2 cups divided by 8) use 1/4 cup of regular powdered milk and two cups of water.
Regular powdered milk doesn't mix easily in water. This is the reason instant milk was developed. However, regular milk can be mixed up in water without too much trouble. Mix your regular powdered milk the night before you plan on using it. After a quick mix, there will still be lots of lumps. Just throw it in the refrigerator. By morning the lumps will have all dissipated into the liquid. Before serving, give it another quick stir and serve. We have found that regular milk isn't that hard to mix up for immediate use. Fill your glass about 1/8 full of the regular powdered milk. While quickly stirring, fill your glass about 1/3 full with cold water. Mix until creamy then fill the glass the rest of the way with water. The mixing process only takes about 15-20 seconds and gets rid of almost all the lumps.
Regular milk does have a couple of advantages over instant milk. It's less expensive and less bulky. Regular milk is right at 15% less expensive per pound than instant milk and takes up about 10% less space.
The question is often ask if instant or regular milk tastes better. With the new drying process that's being used, you will be hard pressed to taste any difference between our instant and regular milks. There's one other advantage with the new, compact drying towers. Your powdered milk during the drying process is subjected to higher heats for only about 1/3 the time of the older spray dryers. This translates into a product with an improved flavor and longer storage life.