Global Food Colorants Market by Type (Synthetic and Natural), By Application (Beverages, Confectionery, and Others), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, and Forecast 2023-2032

Report Overview

In 2022, the Global Food Colorants Market was valued at US$ 4.20 billion and expected to grow around USD 10.0 billion between 2023 and 2032, this market is estimated to register the highest CAGR of 9.3%.

Food coloring is a dye, pigment, or substance that gives color when added to food or beverages. Food colors are available in a variety of forms, including liquids, powders, gels, and pastes, and are used in meat products, beverages, dairy products, bakery, confectionery products, processed foods & vegetables, and oils & fats. Food coloring does not necessarily mean that the ingredients are organic, but in some cases, it means that fewer of the ingredients are used.

The fewer ingredients you add, the more natural the food becomes. The food coloring market includes natural and artificial colors. Natural food colors are derived from a wide range of plants, vegetables, minerals, fruits, and other edible natural sources. These colors are physical and/or Obtained by a chemical process. Artificial colors are chemical compounds used to add flavor to food, improve its appearance, or enhance the flavor properties of food.

The growth of the global food coloring market is driven by increasing demand for natural colors from various end-use industries such as food & beverages, bakery & confectionery, dairy, meat & poultry, and seafood. This should have a positive effect on the use of natural sources of curcumin, carotenoids, anthocyanins, carmine, etc.

Natural colors are free of genetically modified organisms (GMOs) and allergens. They act as antioxidants and pigments, protecting the body against cellular damage, chronic disease, and signs of aging. For example, red sandalwood offers wound-healing properties and is used in Ayurvedic treatments. Thus, growing awareness of the health benefits of natural colorings is driving the growth of the food colorings market.

Drivers:

Increased Consumption of Processed Foods and Beverages

The increasing number of workers and modernization are driving the consumption of processed and packaged foods. Increased consumption of processed foods such as instant snack foods, soft drinks, ready-to-eat foods, and processed dairy products has increased the use of various food colorings. These colors are mixed and blended into processed foods and beverages to give them an attractive appearance.

Food attractiveness is equally important to consumers as it is to the raw materials used to manufacture the food. Pigments and dyes are the most commonly used food colorings in food. , and fFor beverages, liquid colorants and gels are used. The use of these colors varies by product. The majority of soft drinks and carbonated beverages contain more food coloring than food.

In the coming years, the food coloring market will grow rapidly due to the growing consumption of soft drinks in developing countries. Make it possible. Consumers are aware of the harmful effects of various synthetic ingredients used in food, and regular consumption can lead to a variety of health hazards. Allergy problems arise.

As such, consumers prefer to purchase products made with plant-based ingredients. The use of natural colors and pigments has come into the limelight as consumers become more aware of their various health benefits.

Natural or plant-based colors are becoming more popular due to their health benefits. This creates a market opportunity. It reduces consumer allergy risk and creates opportunities for manufacturers in the natural color market.

Restraints:

Severe Regulations Restraining Food Coloring Market Growth

Synthetic food colors have carcinogens and other allergens. To overcome this, there are various strict regulations imposed by various national associations to overcome this. Artificial colors such as Red 40, Yellow 6, and Yellow 5 have been tested for carcinogens that can cause cancer.

A study conducted by the British government concluded that the consumption of artificial and synthetic colorings leads to hyperactivity in children aged 8 to 9. A common coloring agent in soft drinks, caffeine, can cause palpitations. According to the FDA (Food and Drug Administration), animal studies have shown that the synthetic colors Red 40, Yellow 6, Yellow 5, Blue 2, Blue 1, and Green 3 exhibit cancer properties in laboratory animals.

COVID-19 Impact Analysis

The Importance of Safe, Healthy, and Nutritious Diets Impacts the Global Market

The market is expected to be impacted by the COVID-19 pandemic, which highlights the importance of safe, healthy, and nutritious diets. Ingredients are sold all over the world, but major food coloring manufacturers are building local production and research and development, and sales departments are optimizing their supply chains to distribute raw materials.

Following the outbreak of COVID-19, natural food color and flavor manufacturers face significant challenges in meeting the demand for an increasing number of specialty foods to reflect changing consumer tastes and preferences.

Type Analysis

Synthetic Type of Food Colorant Drives the Market Growth

On the basis of type, the global food coloring market is divided into synthetic and natural types. The market is expected to grow at an accelerated pace due to the wide acceptance of these coloring agents in major economies and developing countries.

By type, synthetic colorants are expected to hold the largest market share due to their low cost and ready availability in the market. There are several types of synthetic food colors used in foods and beverages that help increase attractiveness, appetite stimulation, and consumer appeal. Over the years, with various strict rules and regulations from various federal agencies, the demand for synthetic chemical colors is expected to grow slowly.

On the other hand, natural colors are expected to grow at the fastest CAGR of 9.67% due to a high consumer preference for natural ingredients. Nature-identical food dyes are chemically produced but have the same molecules that are present in natural food dyes. Due to low consumer awareness of this type of food coloring, CAGR is slowing. Caramel is commonly used in candy-making because of its color and flavor. Consumer acceptance of these types of paints is a key growth factor in the global market.

Application Analysis:

The Beverage Segment Domiates the Market Growth

Beverages, dairy & frozen products, bakery, meat, poultry, seafood, confectionery, sauces, condiments, and others make up the application-based food colorants market segmentation. In 2022, the beverages sector was the most dominating in the market.

The beverage industry is experiencing a significant shift in innovation to meet newer consumer trends as attention shifts to convenience foods and beverages. Along with the rapid demand for ready-to-drink and on-the-go drinks, consumers are becoming increasingly curious about the ingredients and where they come from.

Key Market Segments:

Type

• Synthetic
• Natural

Application

• Beverages
• Confectionery
• Processed Foods
• Bakery Products
• Dairy Products
• Pet Foods

Opportunity:

Rising Demand for Natural Food Products

The growing demand for natural foods has led food manufacturers to make extensive use of natural colors to restore the appeal of processed food and beverage products. The demand for organic food is constantly increasing due to the increasing health consciousness of consumers and awareness of the negative effects of conventionally grown foods.

Many natural food colors are used in organic foods to increase shopper appeal and influence purchasing decisions.

Trends:

Increasing Consumer Shift Towards Clean Label Products and Ingredients

Demand for clean-label raw materials creates demand for this market. It is clear that consumers are shifting away from chemical ingredients to completely natural and chemical-free products. This shift is clearly due to consumer perceptions of the different health hazards these chemical ingredients pose compared to plant-based ingredients.

This tremendous change from consumers has led various food and beverage manufacturers to consolidate the production of clean-label ingredients and the use of clean-label ingredients in finished food products. Producing food in this way brings clear transparency to the supply chain and its production practices.

Regional Analysis

North America Dominates the Global Food Colorant Market

The global food coloring market is mainly driven by robust consumption of packaged foods in major economies such as North America, Europe, and Asia Pacific. The market for natural and synthetic colors is growing across North America as consumers purchase more carbonated beverages. The European region has a similar market to North America, with the highest sales of natural food colors in particular. The growing ban on synthetic dyes for ecological and toxicological reasons has increased the demand for natural food coloring.

Increased urbanization and westernization have increased the consumption of packaged food. These foods contain natural, synthetic, or artificial food coloring, depending upon requirements. Consumer awareness of natural ingredients in food and beverages. Consumers’ knowledge of label reading and ingredients in this region contributes to the growth of the natural food coloring market.

The high population density in the Asia-Pacific region has led to the consumption of a variety of ready-to-eat snacks, creating demand for these colors. The increasing labor force in the region is a major driver of market growth. In South America, on the other hand, growth is slowing throughout the forecast period due to factors such as regulatory challenges, deteriorating economic conditions, and consumer health concerns. However, the region is expected to see a high preference for packaged foods.

Key Regions and Countries Covered in this Report:

• North America
  • The US
  • Canada
  • Mexico
• Eastern Europe
  • Russia
  • Poland
  • The Czech Republic
  • Greece
  • Rest of Eastern Europe
• Western Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Portugal
  • Ireland
  • Austria
  • Switzerland
  • Benelux
  • Nordic
  • Rest of Western Europe
• APAC
  • China
  • Vietnam
  • Japan
  • Indonesia
  • South Korea
  • India
  • Australia & New Zealand
  • Singapore
  • Thailand
  • Malaysia
  • Philippines
  • Rest of APA
• Latin America
  • Colombia
  • Chile
  • Brazil
  • Argentina
  • Costa Rica
  • Rest of Latin America
• Middle East & Africa
  • Algeria
  • Egypt
  • United Arab Emirates
  • Saudi Arabia
  • Kuwait
  • Nigeria
  • Israel
  • South Africa
  • Turkey
  • Rest of the Middle East and Africa

Recent Developments:

• In January 2021, GNT Group added a new pink colorant under the EXBERRY® brand called EXBERRY Shade Pink – OD, designed for fat-based applications. There are also red, yellow, orange, blue, and green variations.
• In October 2020, Chr. Hansen Natural Colors established an R&D center in Montpellier, France, to expand its pigment, formulation, and application capabilities and introduce new natural color solutions, especially in shades of green, blue, and brown.
• In January 2020, Azelis and BASF agreed on a partnership for health ingredients and colorants in the Greek food and beverage and nutraceutical market segments.

Market Share & Key Players Analysis:

The structure of the global food coloring market is highly organized as a result of the dominance of several key players in the market. The manufacturer is working to increase the transparency of his supply chain and manufacturing companies. The market is dominated by Dohler Group, ADM Company, Ingredion Inc, and Sensient Technologies.

It is expected that these players will hold the largest share of the food collar market. Symrise AG is one of the leading manufacturers of flavors and fragrances. Our line of food colorings is manufactured within the Flavors & Nutrition segment. The company operates in multiple locations in his more than 40 countries across the United States, Latin America, Asia Pacific, the Middle East, Africa, and Europe.

Market Key Players:

• DDW The Color House
• IFC Solutions
• Natural Food Color
• Neelikon Food Colours & Chemicals
• Accurate Color & Compounding
• Northwestern Extract Co
• KIK Danville
• Sensient Colors LLC
• WILD Flavors and Specialty Ingredients
• Kolor Jet Chemical Pvt
• Food Ingredient Solutions LLC
• Other Key Players

Report Scope: