This tip thanks to Chevalier Jeffrey Steingarten, author of one of my all-time treasures, It Must've Been Something I Ate.
The best way to store Parmesan to keep it from drying out is to wrap it first in wax paper (to prevent the moisture from seeping out) and then in aluminum foil (to prevent light getting to it). Then stash it in your fridge's vegetable crisper. I can attest to how well it works. My Parmesan no longer dries out before I can use it all up.
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