Carmine Market

Carmine Market Overview

The Global Carmine Market size is expected to be worth around USD 91.8 Billion by 2032, From USD 50.8 Billion by 2023, growing at a CAGR of 6.10% during the forecast period from 2023 to 2032.

Carmine is a natural food colorant and is made from the shells of female cochineal insects. Dactylopus Coccus Costa attaches to certain species of cactus in the semi-arid regions of Peru, Chile, and Bolivia, as well as Mexico. The Carmine market report has been divided based on its form, application, end users, and location.

This market can be divided into liquid, powder, and crystal, based on their form. It is divided into food & beverage manufacturers (dairy & frozen), cosmetics, bakery & confectionery, and meat products. This market can be divided into three categories: food processing companies, beverage products, and catering industries, as well as cosmetics & pharmaceutical industries.

Key Takeaways

• Market Growth: The Carmine Market demonstrates a significant growth trajectory, projected to elevate from USD 50.8 billion in 2023 to USD 91.80 billion in 2032, showcasing a Compound Annual Growth Rate (CAGR) of 6.10%.
• Regional Dominance: Europe emerges as the dominant region, commanding a substantial 35% share, showcasing significant market presence and demand within the European market.
• Segmentation Insights:
  • Application Focus: Carmine usage in Dairy and frozen Products holds a significant share at 32%, indicating its prevalent use within this segment.
  • End-User Preference: Food Processing constitutes a substantial 38% of market demand, highlighting the essential role of carmine in food processing applications.

Market Dynamics and Industry Analysis:

• Steady Market Expansion: The market displays consistent growth dynamics, propelled by increased adoption in various food processing applications and the prevalence of carmine in dairy and frozen products.
• Regional Influence in Europe: Europe’s dominance signifies a strong market landscape and substantial demand for carmine within the European region.
• Significant Usage in Food Processing: Carmine’s significant use in food processing endorses its role as a crucial ingredient in the food industry, particularly in dairy and frozen product applications.

This analysis underscores the Carmine Market’s consistent growth, driven by its widespread use in food processing, especially in dairy and frozen products, and Europe’s dominance as a pivotal market region. The steady growth rate and segmentation dominance indicate a robust market with the potential for sustained expansion and continued relevance in the food industry.

Driving Factors

Carmine is used extensively in the personal care industry in lipsticks, eye makeup, and lip gloss. Carmine is used to lending a reddish hue to cosmetic products. It can also be used to increase the wearability or intensity of cosmetics. Although Carmine is completely natural, there has been controversy over its widespread use in cosmetics. Carmine is a cold-blue undertone dye that is used to make pink and red-tone cosmetics.

All-natural pigments and colors, such as iron oxides, have warm, rusty, or orange undertones. Some natural compounds are called “fruit pigments,” however, they lose their beautiful red or pink color over time. Organic is not the best for them.

All-natural fruit colors can darken in recipes as they oxidize. Carmine, although it is derived from a beetle, is the only natural constant that can provide the amazing variety of colors customers desire in organic beauty products.

Restraining Factors

Starbucks was criticized for using this substance in strawberry-flavored drinks, especially by vegans and those who don’t eat livestock for varying reasons. In a blog post, Cliff Burrows, Starbucks president, stated that the company would use lycopene (a tomato-based ingredient) and stop using Carmine in strawberry products. Campari, an Italian liqueur that is used in popular Negroni, was made with carmine dye.

However, they switched to a petroleum-based artificial product coloring agent after several years. Carmine companies have often justified the use of the chemical. These are the key restraints in the carmine market.

Growth Opportunities

Research has shown that cochineal products can cause serious health problems. It is known to trigger severe anaphylactic reactions, contact sensitivities, and even asthma. The FDA started requiring manufacturers of Carmine-containing cosmetics and the food industry to include the ingredients on their respective labels.

Others claim that Carmine is more beneficial for the environment than synthetic alternatives because it is completely natural. Synthetic colorings are often made from petroleum or coal byproducts. Studies have shown that even the most popular colors can cause hyperactivity in children, as well as allergic reactions and other adverse effects.

Trending Factors

A key market growth driver is the significant expansion of the global food & beverage sector. Carmine is used extensively in confectionery and bakery products, soft drinks, and strawberries, as well as in jams. This is in line with the growing demand for colorants from meat industries, which in turn is driving market growth.

Moreover, various product innovations, such as the launch of vegan Carmine, which is the wide range used in ready-to-drink beverages, hard candy, and jelly gums, are providing a considerable boost to this market’s economic growth.

This market is also being positively influenced by the increasing demand for cosmetics, and personal care products, among others. Complementary factors such as the increasing demand for Carmine from the pharmaceutical industry, as well as various government initiatives across countries concerning the cost-effective extraction of Carmine, and surging demand for processed foods, are also positive impacts on this global market. These are the key trends in the Ceramic market growth report.

Application Analysis

Over the forecast period, the demand for dairy products and frozen foods is expected to grow. Strict regulations have been implemented by authorities to ban the use of artificial synthetic food colors, and this has led to a significant decrease in the use of synthetic colors in dairy products like flavored chocolate milk or flavored frozen yogurt.

This market is expected to grow due to increasing demand for color in processed meats and meat products like sausages and bacon. Market growth is anticipated to be driven by the increasing use of Carmine to form a film on sausages to enhance their aesthetic appeal, as well as the growing demand for meat products from developed economies like the US, the UK, and Canada. Over the forecast period, oil and fat applications are expected to index a 5.4% CAGR in revenues.

Market growth is also expected to be driven by the increasing use of cooking oils like chili oil and palm oils, as well as the high utilization of colored oils for various sauces. Changing consumer lifestyles and a greater awareness concerning the health risks associated with synthetic products have led to an increase in the consumption of vegetables and fruits.

Growing regulatory frameworks regarding the use of synthetic colors in fruits are expected to have a positive influence on the demand for Carmine. There is a rising demand for natural food colors by food processing industries to substitute colorants to reduce health impacts.

End-User Analysis

Food processing companies accounted for 36.2% of the total market share in 2021. This is due to the growing demand for natural carmine extracts in processed foods and a growing sense of health consciousness of individuals across the world. The 2023-2032 forecast period will register pharmaceutical and cosmetic industry growth at a CAGR of 7.1%.

The fastest-growing fact within the application segment over the forecast period is anticipated to be the cosmetics sub-segment. Cosmetics use carmine mainly to enhance color vibrancy and intensity. It is used as a natural color for personal care products, and can also be used to color cosmetic formulations and as a natural component in makeup applications.

Market growth is expected to be driven by the increasing consumption of cosmetics, personal care products, and other beauty products worldwide over the forecast period.

Key Market Segments

By Application

• Dairy & Frozen Products
• Food & Beverage
• Cosmetics
• Other Applications

By End-User

• Food Processing
• Beverage
• Catering
• Cosmetics & Pharmaceutical

Advantages of Carmine

Carmine is a natural red food coloring derived from the Cochineal insect. It has been used as a food dye for centuries and imparts a beautiful red hue to foods and beverages. Carmine is safe for most people to consume, but there are a few potential side effects to be aware of. Overall, Carmine provides many advantages as a food coloring agent.

• Carmine is a natural dye that does not contain any synthetic ingredients.
• Carmine is non-toxic and does not cause any skin irritation or allergic reactions.
• It is very concentrated, so a small amount goes a long way.
• Carmine does not fade or bleed when used in fabrics or cosmetics.

Disadvantages of Carmine

Carmine has been used as a coloring agent for centuries, but it has come under scrutiny in recent years due to its potential health risks. Carmine is made by crushing cochineal insects and extracting their acid. This acid is then turned into a pigment called carmine or cochineal extract.

While Carmine has been used safely for centuries, there are some concerns about its safety. Some people may be allergic to Carmine, and it can cause anaphylactic shock in severe cases.

Regional Analysis

In 2022, Europe accounted for 35% of this global market’s share in terms of revenue. Over the last few years, the US has registered a high level of consumption of meat products due to the presence of large meat processors like Tyson Foods or JBS USA Holdings Inc. There are strict regulations that limit the use of artificial colors in bakeries, confectionery, dairy, and other beverages across Europe. This has prompted the rapid adoption of natural food coloring products like Carmine, carotenoids, and curcumin.

The Asia Pacific is expected to experience a significant increase in revenues over the forecast period. Regional market manufacturers have adopted Carmine and natural additives quickly due to a variety of growth factors, including increased media exposure, consumer outrage, improved regulatory frameworks, and a loss in market value and shares.

Global food & beverage companies have significant growth potential in South and Central America. This is mainly because North America and Europe are entering a phase of maturity and a general slowdown. Consumer demand is anticipated to grow as manufacturers focus more on natural colors to comply with regional food regulation standards/norms. The North American market has been able at a quick pace to expand the market growth.

Key Regions and Countries Covered in the Report:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Spain
  • Rest of Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Rest of Asia-Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• MEA
  • GCC
  • South Africa
  • Israel
  • Rest of MEA

Market Share & Key Players Analysis:

Manufacturers now face difficulties as numerous companies in the application industry are restricting their use of food and drink products. Manufacturers are now searching for the perfect replacement for cochineal carmine.

Vertically integrated businesses, like Chr. Hansen, use their manufactured carmine color in dairy products to increase the aesthetic appeal of ice creams and yogurts,whey-based drinks, as well as cheese alternatives. They also offer their extensive product ranges to other players in food processing industries and manufacturing.

Market Key Players:

• Amerilure
• The Hershey Company
• DDW The Color House
• Sensient Colors LLC
• Proquimac
• Chr. Hansen Holding A/S
• Naturex
• colorMaker Inc.
• Biocon
• Roha
• Danone
• Other Key Players

Report Scope: