Step 1: The Recipe
1/4 c. clear soda (Blue Sky, Cream Soda, Sierra Mist, 7-UP)
3/4 t. gelatin
3-4 c. powdered sugar, plus more for rolling
2 t. citric acid
1/2 t. each of lemon and orange zest - optional
In a small non-reactive bowl combine gelatin and soda. After about 5 minutes, set the bowl over a pot of simmering water to dissolve the gelatin completely - until you can't see any granules. Remove from heat.
Using a hand or stand mixer - mix 1/2 c. powdered sugar and the citric acid into the gelatin mixture. Keep adding the powdered sugar 1/2 cup at a time until you have stiff fondant-like dough. It will be somewhat sticky. Turn dough out onto a work surface covered with powdered sugar. Knead until dough is less sticky and can be easily rolled with a rolling pin.
This is the basic recipe. Now you can add what ever flavorings and colors you wish.