1. Mix 3 cups flour, baking powder, and salt.
2. In a bowl, with a mixer on high speed, beat lard, 2/3 cup sugar, and anise seed until fluffy.
3. Beat in egg until blended.
4. On medium speed, mix in sherry.
5. Add dry ingredients. Stir to combine, then beat until well blended.
6. On a plate, mix remaining 2 tablespoons sugar and Chinese five spice.
7. Divide dough in half. Pat each half into a ball. On a well-floured board, roll dough, a portion at a time, 1/4 inch thick. With a flour-dusted cookie cutter (plain or a simple design, about 1 1/2 in. wide), cut dough into shapes.
8. One at a time, dip top of each cookie in spiced sugar, pressing lightly so sugar sticks. Set cookies, sugar side up, about 1/2 inch apart on ungreased baking sheets. Gather dough scraps into a ball, roll out, and cut more cookies.
9. Bake cookies in a 325° oven until bottoms are golden, about 10 minutes (if using 1 oven, switch pan positions after 5 min.). Transfer to racks to cool. Serve, or let cool and package airtight.
Nutritional analysis per cookie.