Global Natural Food Colours Market Industry Analysis & Opportunity Assessment (2018 – 2028) Approval

Published: Mon Jan 07 2019

In order to study the various trends and patterns prevailing in the concerned market, Market Research Reports Search Engine (MRRSE) has included a new report titled "Natural Food Colours Market" to its wide online database. This research assessment offers a clear insight about the influential factors that are expected to transform the global market in the near future.

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Natural food colours are derived from a plethora of sources such as fruits, vegetables, plants, and other natural sources. These source materials are processed to extract various pigments or dyes in the form of powders, pastes, liquid, gels, etc. The market growth for natural food colours is estimated at a healthy CAGR of 6.5% in terms of value over the forecast period of 2018 through 2028. Growth is anticipated to remain robust in APEJ (Asia Pacific Excluding Japan) owing to shifting consumer preference from chemical and synthetic ingredients towards natural ingredients coupled with increasing demand for clean label products. The general "health and wellness" trend will also continue to influence the demand for natural food colours in the region. Also, there has been an increase in the number of petitions filed by natural food colour manufacturers for use of natural colours in various countries. This, in turn, has led to a rise in initiatives undertaken by governments across the globe for the inclusion of exempted natural colour pigments. With the increasingly stringent regulations imposed by governments of various countries for clean and eco-friendly products, demand for natural food colours is expected to expand significantly in the near future. Approval of natural food colours is intended to close the gap between end-use companies and natural colour manufacturers to seamlessly adopt various formulations ideal for a range of applications.

APEJ Key Market for Global Natural Food Colour Market Revenues

The global natural food colours market is expected to observe a significant growth coming from the APEJ market. In terms of value, the natural food colours market in APEJ is expected to expand at a CAGR of 8.3% over the forecast period, to reach a market value of US$ 5,106.5 Mn by 2028. APEJ accounts for almost 30% of the total share of the global natural food colours market in terms of revenue, which is expected to increase significantly by 2028 end. Increasing government support for encouraging the adoption of natural food colours in various food and beverage applications, in turn, is expected to boost the growth of the natural food colours market in APEJ.

Demand for natural food colours in China & India is expected to increase during the latter years of the forecast period. This is primarily attributed to the launch of new products with natural ingredients. In Asia Pacific, for red colour, carmine is the most preferred pigment, while for orange and yellow colour, beta-carotene and carotenoid are preferable.

Asia Pacific Natural Food Colours Market– Segment-wise Overview

By the pigment type, the natural food colour market will witness a major contribution from the carotenoid segment. In terms of volume, the carotenoid segment holds the largest share and accounts for over 34.9% of the total APEJ natural food colour market. However, in terms of value growth, spirulina extract is expected to register comparatively significant growth during the forecast period.

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In APEJ natural food colours market, beverages application segment is estimated to account for more than 36.6% value share by 2018 end, which is expected to increase further by 2028 end. Demand from packaged food/frozen products and confectionery and bakery products segment is expected to grow at a lucrative CAGR over the forecast period.

Increasing stability and functionality of the existing natural food colours is the key trend in the market. In addition, for the Asian market, creating natural food colours, especially in yellow, orange, and brown in powdered form is the key target point of the manufacturers. This is due to the usage of a large quantity of seasonings in ready-to-eat meals, sauces, and instant noodle. Manufacturers are looking forward to developing a new source of natural food colour at a low cost. They are to focusing on developing new drying methods and materials which allow for innovation in powder stability at a competitive price. To expand in highly regulated countries, manufacturers are also seeking approval and petition for these newly developed natural food colours. Additionally, sustainability, effective supply chain management are some of the key differentiating strategies which are adopted by the manufacturers of natural food colours.

Middle East & Africa is another significant regional market which is projected to register yet another significant growth trend among other regions in the global natural food colours market during the forecast period. Rising awareness and shifting consumer preference towards clean label products is expected to support the market growth in the region.

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