The market for food colours worldwide was valued at US$ 4.7 billion in 2022. IMARC Group projects that the market will grow...reach USD 13.4 billion in 2028
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"The Global food colors Market 2018-2028 (USD Billion)")
There are about 2000 businesses specializing in trade and plant extraction, with thousands of items sent to foreign nations each year. Furthermore, it boosts the popularity of processed and crisp foods.
Food Colors Market Scope
| Metrics | Details |
| Base Year | 2023 |
| Historic Data | 2018-2022 |
| Forecast Period | 2024-2028 |
| Study Period | 2018-2028 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2028 | US$ 13.4 billion |
| Growth Rate | CAGR of XX% during 2018-2028 |
| Segment Covered | Type, Application, Form, Regions |
| Regions Covered | North America, Europe, Asia Pacific, South America, Middle East and Africa |
| Key Players Profiled | Allied Biotech Corporation, DIC Corporation, BioconColores, DDW, The Color House, Dohler Group, GNT International B.V., Kalsec, DSM, Naturex, ROHN, San-Ei Gen, Sensient Colours, and other companies |
Market Definition
Food color, often known as food coloring, is any dye, pigment, or material that, when applied to food or drink, lends color to it.
Meal coloring is utilized in both professional and household food production. Food colorants are widely used in non-food applications such as cosmetics, pharmaceuticals, home crafts, and medical equipment maintenance .
Food coloring comes in two varieties: natural and artificial. Natural food coloring is made from plants, minerals, etc. Beetroot juice, turmeric, spirulina, and cochineal extract are examples of common natural food colors. Artificial food colors are synthetic colors created in a laboratory.
Key Market Segmentation:
Insights on Type:
Natural food is growing at the fastest rate.
The natural food color sector is expected to grow at the fastest CAGR over the forecast period. Natural food colors are derived from plants, animals, or minerals and are thought to be safer than synthetic food colors.
Synthetic biology hues that are chemically equal to natural food colors are known as natural-identical food colors. They are frequently used as a replacement for natural food colors that are either unavailable or prohibitively expensive. The natural food color market is expected to grow more quickly than the synthetic food color market throughout the projected timeframe. Some studies have linked artificial food colors to hyperactivity in children, and there is some evidence that they may be carcinogenic.
Insights on Applications:
The beverage segment is boosting
The beverage segment is expected to grow at the fastest rate, followed by the processed food segment, bread and confectionary goods, oil and fat segment, dairy products segment, and meat, poultry, and seafood segment.
Because of rising demand for colorful beverages such as soft drinks, juices, and energy drinks, the beverage industry is expected to grow at the fastest CAGR. As a result of increased demand for colored processed meals such as snacks, desserts, and sauces, the processed food business is predicted to expand rapidly. The bakery and confectionery products market is expected to grow steadily due to rising demand for colored bakery products like cakes, cookies, and pastries, as well as confectionery products like candies, chocolates, and sweets. The oil and fat industry is expected to grow slowly due to rising demand for colored oils and fats such as margarine, shortening, and cooking oil.
Insights on Region Analysis:
North America: Ample Financing Opportunities
North America is expected to grow at a 7.3% CAGR during the projection period. The United States is North America's largest market for food colors, followed by Canada. The growing demand for processed foods, bakery and confectionery goods, and beverages is driving the growth of the food color industry in North America.
The food color market is anticipated to grow at a 6.8% CAGR over the course of the projected period. The regions with the fastest predicted growth include Asia Pacific, North America, Europe, Latin America, the Middle East, and Africa.
Company Profiles:
To get a market advantage, these corporations have heavily invested in initiatives such as new product development, mergers and acquisitions, collaborations, agreements, and alliances.
Allied Biotech Corporation, DIC Corporation, BioconColores, DDW, The Color House, Dohler Group, GNT International B.V., Kalsec, DSM, Naturex, ROHN, San-Ei Gen, Sensient Colours, and other companies are the market leaders in food color.
COVID-19 Impact and Market Status
Decline in demand for food color
The COVID-19 outbreak has had a significant impact on the food color industry. The market was already experiencing difficulties due to rising raw material costs and more regulatory scrutiny, but the epidemic has compounded these issues.
One of the most noticeable consequences of the outbreak has been a decrease in the demand for food coloring. This is due to a variety of factors, including the closure of restaurants and other foodservice businesses, the shift to home cooking, and the increasing popularity of clean-label products.
Food coloring pricing has decreased as demand has decreased. Food color manufacturers are fighting to stay profitable as a result of this. In certain circumstances, manufacturers have been compelled to lay off people or close factories.
The outbreak has also had an impact on the supply chain for food coloring. As a result, manufacturers have found it difficult to secure the raw materials they require, resulting in supply delays.
The pandemic's long-term impact on the food color industry is uncertain. However, it is obvious that the market will need to respond to the new reality of lower demand and disrupted supply chains.
Aside from the previously mentioned issues, the pandemic has caused customers to place a higher premium on health and safety. As a result, there is a greater demand for natural, vegan, and gluten-free food coloring. As a result, food color makers are shifting their focus to supplying these types of solutions. The market is facing headwinds, but it is also seeing some opportunities. The pandemic's long-term impact is unknown, but the market is expected to continue to change in response to changing client needs.
Latest Trends and Innovation:
• The creation of new natural food colors Natural food colors are becoming increasingly popular as customers become more aware of the health risks associated with synthetic food colors. Corporations are developing new natural food colors from plant-based sources, such as fruits, vegetables, and spices, in response to this demand.
• The creation of new, sustainable food colors There is a growing need for environmentally friendly food colors as people become more concerned about the environmental impact of food production. Corporations are developing new sustainable food colors from renewable resources such as algae and insects in answer to this requirement. Food colors, in addition to providing color, can also provide functional benefits such as antioxidant and anti-inflammatory properties. Companies are exploring new functional food colors that can help customers' health.
• The creation of novel food color delivery systems Food colors are available in a number of forms, such as powders, liquids, and concentrates. Firms are investigating new delivery systems for food colors that can boost the colors' durability and solubility, making it easier for manufacturers to incorporate the colors into their products.
Significant Growth Factors:
Processed foods and beverages are often vividly colored to make them more enticing to consumers.
Demand for prepared foods and beverages has increased. To attract customers, processed foods and beverages are usually vividly colored.
Natural food coloring is getting more popular. Consumers are becoming more aware of the health risks linked to the use of artificial food coloring. This increases the desire for natural food colors, which are seen to be healthier.
Food color demand is increasing in emerging markets. India and China are also seeing tremendous economic growth. This raises the demand for processed foods and beverages, which raises the demand for food coloring.
Food colors are increasingly being used in functional foods. Functional foods are those that provide health benefits in addition to nourishment. Food colors are increasingly being employed to make functional foods more appealing to customers.
These are only a handful of the elements driving the food color market's expansion. As the market grows
Restraining Factors:
Governments around the world are progressively controlling the use of food colors. This is due to worries regarding the safety of some synthetic food colors.
Increased regulatory scrutiny. Governments all across the world are gradually restricting the use of food colors. This is due to concerns about the safety of some synthetic food colors.
Natural food colors are becoming increasingly popular. Consumers are becoming more aware of the health risks linked to the use of artificial food coloring. This increases the desire for natural food colors, which are believed to be healthier.
High cost of basic materials. The cost of raw materials used to make food colors is rising. This is due to reasons such as increased food color demand and a scarcity of certain raw resources.
Emerging market participants pose a threat. Emerging market enterprises are gradually entering the food color industry.
Frequently Asked Questions (FAQ) :
North America accounted for a maximum share of the global market owing to high consumption of food colors in the U.S. Increasing number of bans on synthetic colors for ecological and toxicological reasons is expected to drive the industry demand in this region.
The global food colors market size is predicted to reach over US$ 13.4 billion by 2028.
The food colors market is projected to grow at a CAGR of XX during the forecast years 2022-2028
The food colors market is segmented into Type, Application, Form and Region.
The major players of the global food colors market are Allied Biotech Corporation, DIC Corporation, BioconColores, DDW, The Color House, Dohler Group, GNT International B.V., Kalsec, DSM, Naturex, ROHN, San-Ei Gen, Sensient Colours, and other companies
Over the past few decades, the rising number of working professionals and modernization has led to the consumption of processed and packaged food products. Due to the increase in the consumption of processed food products such as ready-to-eat snacks, soft drinks, and others have led to the increased usage of various food colors.
Moreover, growing health concerns is also a key factor influencing market growth. These food colors have less or no adverse effects on the human body, which makes them one of the best component. It is therefore the food & beverages industries are incorporating food colors in their products, which consequently is boosting the growth of global food colors market.
Furthermore, the increased intake of energy and sports drinks in confluence with the mounting efforts by manufacturers to finance advertising campaigns for these drinks are strengthening the growth of the beverage industry which is thereby expected to boost the sales in the region.
The market is consolidated as several major market players currently hold the major market share. However, the market is expected to become fragmented in the forthcoming years as several new market players are emerging from developing countries such as India, Japan, China, and other countries.
Type Segment
Based on the Type segment, the market is bifurcated into Natural, Synthetic, and Natural-Identical. In 2020, the Natural segment accumulated the maximum market share and it is likely to continue its dominance throughout the forecast years. This growth is due to the demand for natural food colors owing to rise in consumer preference and awareness regarding their health benefits associated with natural colors. For instance, carotenoid-based colors offset age-related muscular degradation and turmeric-based colors aid in preventing cognitive decline. Furthermore, implementation of stringent food & beverage norms regarding the use of synthetic food colors is expected to have a positive impact on the growth of the market.
Application Segment
Based on the Application, the market is segmented into Beverages, Bakery & Confectionery Products, Processed Food, Oils & Fats, Dairy Products, Meat, Poultry, and Seafood. The Meat products segment gathered the major market share in 2020 and it is likely to continue its dominance throughout the forecast years. This growth can be attributed to the increase in consumption of meat products. Carmine, annatto, curcumin, and betanin are some of the major colors used in meat products to enhance appearance, texture, and taste. Color manufacturers are continuously developing innovative solutions to replace artificial colors in meat products, which is further expected to contribute toward the growth of the food colors market.
Form Segment
Based on the Form, the market is segmented into Gel, Powder, Liquid, and Paste. The Gel segment gathered the major market share in 2020 and it is likely to continue its dominance throughout the forecast years. This Form is widely used for fruit-based juices, carbonated drinks, and other beverages. As the Gel Form is easy to carry, they are a preferred choice over the more substantially-sized food colors.
North America accounted for a maximum share of the global market owing to high consumption of food colors in the U.S. Increasing number of bans on synthetic colors for ecological and toxicological reasons is expected to drive the industry demand in this region. In addition, increasing urbanization and westernization has led to the consumption of packaged food products. However, Asia Pacific is likely to gather noteworthy growth through the forecast years 2021-2028. The growth of the food colors market in this region is mostly ascribed to the consumption of various ready-to-eat snacks, which creates a demand for these colors. The rise in the working population in the region is also a major driver for the growth of the market in the region.
.png "North American Food Colors Market 2019-2028 (USD Million)")
The major players of the global food colors market are AromataGroup SRL (Fiorio Colori SPA), Givaudan (Naturex S.A.), Kalsec, Inc., Archer Daniels Midland Company, Chr. Hansen A/S, D.D. Williamson & Co. Inc. (DDW), Dohler Group, International Flavors & Fragrances, Koninklijke DSM N.V., and Sensient Technologies Corporation. These major players in this market are focusing on increasing their presence through expansions & investments, mergers & acquisitions, partnerships, joint ventures, and agreements. Renowned companies are offering new and modern food colors. Besides, the previously recognized as well as new market players are approaching the market with advanced and new strategic services and solutions and to remain competitive in the global market.