Rising Demand for Natural Food Colors Reinforced by Increased Health Concerns : Report Fact.MR

Health-conscious consumers have consistently eschewed artificial/synthetic food colors, insisting on buying food products with natural food colors. The movement towards natural food ingredients pushed the natural food colors industry to surpass US$ 7.5 billion in 2018, according to a Fact.MR study.

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The study predicts that the natural food colors market will continue to witness robust growth with a mounting number of consumers as well as industry players replacing artificial dyes with their natural counterparts. Leading stakeholders in the natural food colors market are shifting their focus on research & development to discover advanced procedures to improve shelf life of odorless and flavorless natural food colors to scale higher on the competitive landscape of the market.

The customer-focused food industry is undergoing significant changes are consumers critically focusing on food ingredients to gauge their nutrition quotient. Manufacturers in the natural food colors market are picking up on the consumer move-away from synthetic food colors as well as artificially colored food products to capture more sales opportunities.

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The Fact.MR study assesses the impact of the latest consumer trends in the food industry along with other macro and microeconomic factors on growth of the natural food colors market during the period 2018-2028. Some of the valuable insights about growth of the natural food colors market that are featured in the Fact.MR study include,

Intensifying consumer resistance to products containing synthetic food colors presents a major driving force for the natural food colors market.
Increasing growth of the clean label movement is making consumers label-conscious. Thereby, food manufacturers are resorting to natural food colors as artificial colors are posing an acute risk to their brand value.
Natural food color market players need to conform to high standards and gain approvals from governing bodies through complex certification procedures. Stringent quality regulations from regional and international organizations may create temporary manufacturing challenges for natural food colors market players.

As most consumers relate the color intensity and the outer appearance of food products with greater taste and flavor, the demand for unique natural food colors is likely to surge in the foreseeable future.

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Natural Food Colors Market in APEJ Region Dominated the Global Market with Over 30% Revenue Share

The Fact.MR study attributes the increasing growth of the food & beverage industry in the Asia Pacific region excluding Japan (APEJ) for a significant upsurge in demand for natural food colors in the region. Rapidly-expanding scope of the food & beverage industry in the APEJ region is becoming an important factor to be reckoned with for natural food colors market players.

The Fact.MR study predicts that the demand for natural food colors will pick up in the latter years of the assessment period. The study also projects that yellow will be the most popular natural food color in the APEJ region, as the carotenoid pigment accounts for nearly 35% revenue share of the natural food colors market in the APEJ region. With a variety of new food and beverage products being launched, the APEJ region will create more lucrative opportunities for natural food color manufacturers in the upcoming years.

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Natural Food Colors Becoming a Part of Beverage Manufacturers’ Most Popular Strategies

The Fact.MR study finds that natural food colors are witnessing burgeoning applications in the beverage sector as it accounts for the largest revenue share in the natural food colors market. With a mounting number of new beverages being introduced each year, the beverage industry is likely create growth potential for natural food colors market, predicts the Fact.MR study.

Application of natural food colors is becoming a part of leading beverage manufacturers’ strategies. Beverage manufacturers are aiming to put their products in the spotlight with the applications of attractive natural food colors, and capitalize on the increasing demand for packaged beverages among the millennial population. As color vibrancy has found place in popular strategies of many beverage companies’, natural food colors are likely to witness amplified demand in the beverage industry; this is laying the groundwork for an emerging trend in the natural food colors market.

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The Fact.MR study provides valuable information about how the natural food colors market will grow during the period 2018-2028. The study predicts that the market will grow at an incremental 6.5% value CAGR, exceeding US$ 14 billion by the end of the forecast period.

Competition Deepdive

Archer Daniels Midland
Naturex S.A.
Döhler GmbH
Symrise AG
Chr. Hansen Holding A/S
McCormick & Company
Kalsec Inc.
DDW The Color House Corporation
ROHA Dyechem Pvt. Ltd. (JJT Group)
Aakash Chemicals and Dyestuffs
AFIS (Australian Food Ingredient Suppliers)
San-Ei Gen F.F.I Inc.

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