This study aims to comparatively analyze butter, ghee, and margarine fatty acid profiles and their implications for healthier fat and oil group choices. In this cross‐sectional study, 60 samples from best‐selling brands of butter, ghee, and margarine were randomly selected from five food chain stores in Tehran, Iran. Then, all the samples were coded, packed in cool conditions, and sent to the laboratory to determine the fatty acid profiles by using gas chromatography (GC). Based on the authors' experiences and the available literature, a policy dialogue session was held with stakeholders about oil and fat challenges, followed by a Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis. The mean ± SE of total fatty acids in butter, ghee, and margarine was 94.07 ± 0.17, 94.49 ± 0.61, and 99.00 ± 0.18; total saturated fatty acid (TSFA) 66.69 ± 0.39, 64.26 ± 0.63, and 40.36 ± 0.87; trans fatty acid (TFA) 2.43 ± 0.09, 3.60 ± 0.29, and 0.83 ± 0.15 g/100 gfat, respectively. The predominant TFAs in butter and ghee were vaccenic acid (animal source) (2.06 ± 0.07 and 2.41 ± 0.17), while in margarine, it was elaidic acid (plant‐based source) (0.32 ± 0.12 g/100 gfat), respectively. Also, the SWOT findings showed being TFAs in the acceptable range (as the main strength), mismanagement (Weakness), reducing taxes based on lower TFA content (Opportunity), and sanctions (as the main Threat) were the most important criteria affecting fat choices in the Iranian food basket. The results of the study found that butter, ghee, and margarine contain relatively low levels of TFAs; however, butter and ghee were rich in beneficial fatty acids, which have been shown to have health‐protective properties. Policymakers can implicate the proposed strategies and opportunities from the SWOT analysis for healthier fat and oil choices to promote public health.