Iron deficiency affects approximately 2 billion people worldwide, especially young women and children. Food fortification with iron is a sustainable approach to alleviate iron deficiency but remains a challenge. Water-soluble compounds with high bioavailability (e.g. the “gold standard” FeSO4) usually cause unacceptable sensory changes in foods, while compounds that are less reactive in food matrices are often less bioavailable. Solubility (and therefore bioavailability) can be improved by increasing the specific surface area (SSA) of the compound, i.e. decreasing its particle size to the nm range. Here, iron oxide-based nanostructured compounds with Mg or Ca are made using scalable flame aerosol technology. Addition of either element increased iron solubility to a level comparable to iron phosphate. Furthermore, these additions lightened the powder color and sensory changes in fruit yoghurt were less prominent than for FeSO4.