An article with an abradable dry powder coating thereon comprises an abradably coated article with a substrate surface and having at least one coating of a liquid primer on the substrate surface and then coating with at least one abradable dry powder coating on the surface of the liquid primer. The sequence of layers may also be reversed, or additional layers may be useful. The abradable dry powder coating is formed of a dry powder coating composition including a thermoset resin having a cure temperature combined with at least one filler material, wherein the filler is formed of a material which does not melt substantially at or below the cure temperature of the resin, whereby an abradable coating results employing a filler to make the coating. A method of making a composition for coating an article with a coating curable into an abradable coating is also disclosed, comprising melt-mixing an evaporative carrier-free mixture of a dry powder thermoset resin having a cure temperature, to form a mass composite, wherein the filler is formed of a material which does not substantially melt at or below the cure temperature of the resin, cooling the mass composite, and breaking the cooled mass composite into powder particles, thereby forming the composite powder composition.