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Trends in the Annatto Market 2017-2027

07-31-2017 11:21 AM CET | Advertising, Media Consulting, Marketing Research

Press release from: Future Market Insights

Annatto is the dried seed derived from Bixa Orellana L. Annatto plant which is mostly grown in tropical countries. Annatto is primarily used as a condiment and food coloring in food industry and also have application in textile and cosmetic industry. Annatto is used to impart red or orange color in the food products, it is depends upon the form of usage. Demand for annatto is increasing in the global market due to its property of good heat stability and solubility in oil and water, it provides flexibility to use in varieties of applications such as spices, dairy products, culinary food, cosmetic products, dye etc. In addition, the demand for annatto is also increasing as a natural colorant in food and beverage industry due to stringent regulations of government on the use of synthetic or artificial food colors as it contains chemicals. In terms of consumption, U.S. accounts to highest market share in the global market and in terms of production Brazil and Peru are the major annatto producing countries in the world.

Global Annatto Market: Market Drivers

Some of the key factors which are driving the demand for annatto in the global market are due to its natural color as it is directly extract from plants. Increasing demand for dairy products and beverages in developed and developing regions has also led to increase in demand for natural colors as to give natural flavor and aroma. Increasing number of health conscious consumers and stringent regulations of government towards usage of chemicals and artificial ingredients in food and beverage industry has increased the demand for natural food colors in the global market. Demand for annatto is also driving from textile industry for dye purpose. Textile manufacturers use annatto as a natural dying ingredient and in the cosmetic industry it is gaining demand as natural ingredient especially among brands which uses all-natural ingredients in their cosmetic products.

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Global Annatto Market: Market Segment

Annatto market has been segmented on the basis of form and application. On the basis of form, its market segment includes powder and liquid. In form of powder and liquid, it has usage on the basis of type of solubility which includes water soluble and liquid soluble. Further, annatto segment is segmented on the basis of an application which includes food and beverage industry, cosmetics and in the textile industry. Among this segment, food and beverage industry is expected to show robust growth over the forecast period. The majority of its application in food and beverage industry such as in culinary, bakery products, beverages, dairy products such as cheese, butter etc. Demand for annatto is also expected to grow in near future due to increasing demand for natural color ingredients in cosmetics products, especially in developed countries such as America and Europe. A primary powdered form of annatto is used in products such as soaps, skin care, lotions, blush powders etc.

Global Annatto Market: Regional Segment

On the basis of the regional segment, the market for annatto is segmented in seven different regions including North America, Latin America, Western Europe, Eastern Europe, Asia-Pacific, Japan and the Middle East & Africa. It is expected that highest demand for annatto is from North America, Western Europe, and Asia Pacific countries. It is expected that North America accounts for highest market share in terms of both value and volume over the forecast period. In terms of production, Latin America region is the highest producer of annatto in the global market.

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Global Annatto Market: Key Players

Some of the key players operating in the global annatto market are Wild Flavors, Amerilure, Inc., Monterey Bay Spice Co., Vinayak Ingredients (India) Pvt. Ltd., Chr. Hansen Holding A/S, DDW The Colour House, FMC Corporation, AICA COLOR SAC, Kalsec Inc. and Aarkay Food Products Ltd.

About Us – Future Market Insights is the premier provider of market intelligence and consulting services, serving clients in over 150 countries. FMI is headquartered in London, the global financial capital, and has delivery centers in the U.S. and India

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