Emulsification of fats Takes place in the liver. The liver secretes bile juice. Bile is a yellow liquid made in the liver which is normally stored in the gall bladder. Bile is alkaline in nature and contains salts which help to emulsify the fats. Emulsification is the process of breaking down the fat into smaller globules making it easy for the enzymes to act and digest the food. Emulsification of fats helps in digestion of fats into fatty acids and glycerol which can be easily absorbed by the small intestine.