Cold plasma is an emerging, economical and environment-friendly technology with potential applications in food and bioprocessing industry, including microbial decontamination, enzyme inactivation, shelf-life extension, and physicochemical modification. These advantages stem from the cocktail of reactive species and the physical processes that are associated with gaseous electrical discharges. However, when oxygen is present as a component of the gas in which plasma discharges are made, the reactive oxygen species (ROS) could result in decreased food quality. The lipids oxidation induced by an oxygen-containing cold plasma process can eventually affect the acceptability and shelf-life of foods. Product safety and quality are crucial considerations for the industrial adoption of cold plasma technology, necessitating a comprehensive review. This review critically analyses the oxidative impact of this novel technology on lipids, highlights the practical implications, and proposes strategies to mitigate the challenges. Cold plasma in oxygen-containing inducer gases affects the lipids in several food materials including cereals, edible oils, dairy, and meat products. Therefore, it is necessary to understand and address its oxidative effects in different foods. Processing the appropriate food types under optimized process conditions along with the careful handling of the plasma-treated foods are among the key considerations to minimize the negative impacts on food lipids. Display omitted •When unchecked, the reactive species in plasma could promote lipid oxidation.•Processing of selected foods under optimized conditions is recommended.•Intelligent product reformulation enables suppressing plasma induced oxidation.•Reducing the input power, process time and temperature is recommended.•Accelerated lipid oxidation via plasma can be leveraged for rapid stability testing.