Acacia powder easily dissolves in water. Acacia, also known as gum Arabic, has many health benefits and serves the purpose of medicine as well. It helps with weight loss. Acacia is also used to treat throat or stomach inflammation. Acacia fiber can soothe stomach upset and relieve constipation. Acacia power is used in lozenges and pills to stabilize the emulsion. It is used in several edibles, such as ice cream.