Ingredients in Food Coloring Market Research

Ingredients in Food Coloring Market Research

The global ingredients in food coloring market is expected to have a 5.7% CAGR, growing to $ 3,568.6 million in 2028 from $ 2,710.1 million in 2023. By volume, the market was 294.5 thousand tons in 2023 and will reach 342.1 thousand tons by 2028, primarily through conversion from synthetics to natural colors globally. The food coloring market is witnessing several drivers that are contributing to its growth and evolution. One significant driver is the rising consumer awareness regarding the impact of synthetic colors on health and the environment. Consumers are becoming increasingly conscious of the potential risks associated with artificial ingredients, including synthetic colors, and are thus showing a growing aversion towards them. As a result, there is a surging demand for natural colors derived from plant and mineral sources.

Furthermore, the Natural Color Ingredients segment is anticipated to exhibit the highest CAGR of 6.9% during the forecast period from 2023 to 2028. This trend is expected to continue during the forecast period, with natural colors projected to exhibit strong growth. However, the growth of natural colors will primarily occur in emerging markets rather than developed markets. In developed markets, such as North America (NA) and Europe, there is a declining demand for synthetic colors. Consumers in these regions are increasingly seeking clean-label products and are becoming more aware of the potential health risks associated with synthetic additives. As a result, there is a higher conversion to natural colors in these markets, leading to a decrease in demand for synthetic alternatives.

The Beverages segment generated USD 878.6 million in revenue in 2022. It is projected to reach USD 1,225.6 million by 2028, representing a CAGR of 5.9% over the forecast period of 2023 to 2028. The food coloring market caters to various end users, and the beverages segment holds the largest share in the market. Within the beverages segment, non-alcoholic beverages, particularly soft drinks, drive a significant portion of the demand for food colors. However, there is a notable shift towards the use of natural colors in this segment. Consumers are increasingly seeking clean-label and natural alternatives, including vibrant and visually appealing colors in their beverages.

In terms of geography, Europe has emerged as the dominant player in the ingredients in food coloring market studied in 2022. Following closely behind are North America and Asia-Pacific. According to the Tanalyze, European ingredients in food coloring industry, in terms of revenue, increased from USD 747.6 million in 2020 to USD 867.1 million in 2023 at a CAGR of 5.1% and is expected to reach USD 1,059.6 million in 2028 at a CAGR of 4.1% from 2023 to 2028. Europe, being the most mature market in terms of the adoption of natural colors, is currently focused on sourcing ingredients that meet the requirements of clean-label products. Clean-label products, which emphasize transparency and the use of recognizable ingredients, have gained significant traction among European consumers who are increasingly conscious of their food choices.

The global ingredients in food coloring market is dominated by tier 1 players, including Sensient Technologies Corporation, Oterra A/S, Koninklijke DSM N.V., Givaudan SA, International Flavors & Fragrances, Inc., Dohler Group, and Symrise AG. These companies play a significant role in shaping the competitive landscape of the market.

Additionally, there are other prominent vendors that contribute to the competitive dynamics of the market. These vendors include Archer-Daniels-Midland Company, GNT Group B.V., AromataGroup SRL, ROHA Group, ChenGuang Biotech Group Co., Ltd., San-Ei Gen F.F.I., Inc., Sinochem Group Co., Ltd., Qingdao Scitech Biotech Co., Ltd., Yuan Longping High-Tech Agriculture Co., Ltd., Extractos Vegetales SA, Kancor Ingredients Limited, Synthite Industries Private Ltd., Plant Lipids Private Limited, and several others.

This study aims to analyze the global market for various segments of ingredients in food coloring, including:

Product Type: Synthetic Color Ingredients and Natural Color Ingredients (Anthocyans, Betanin, Caramel, Carotenoid, Cochineal, Curcumin, Paprika, and Other Natural Color Ingredients.)
End-User: Bakery, Beverages, Confectionery, Dairy Products, Meat, Meat Alternative, and Other Products.
Region: North America, Europe, Asia-Pacific, Rest of World (Latin America, Middle East, and Africa).