The food colors market is expected to witness major growth, thanks to rising demand for key products like juice drinks, chips, soft drinks, and ice-cream cones, among others. The demand for these products in key countries of North America region remains highest. For example, in 2017, US produced over 711,000 bearing acreages of just fresh, and processed citrus. Among this, 70% went into processed orange supply, and only 30% was sold as fresh fruit. Moreover, in 2017, the per capital consumption increased to 41.75 pounds, according to the US Economic Research Cervice (ERS). Moreover, despite the covid-19 pandemic, demand for other household products like potato chips remain robust. In 2020, the demand for potato chips rose by 4.6% to reach a valuation of US$8 billion. Products like Lays witnessed even great growth, with rise of 7.2%, and ruffles rising by 2.7% to reach US$1.1 billion. The promise of vaccination programs, and rising trend of economic recovery in key markets, and necessary home remedies like potato chips will drive major growth for the food colors market.
Growing Demand in Europe Remains a Major Promise for Growth
According to the European Ministry of Foreign Affairs, the food and beverage industry generated over $1.2 trillion in valuation in 2018. Moreover, the high disposable income, and growing demand for organic, and natural food in this region remains a major driver for the food colors market. The food colors market is witnessing a growing tussle between artificial flavouring, and natural flavouring. For example, Germany, the third-largest importer, and exporter of agricultural food products worldwide, leads Europe with highest demand for organic foods reaching over $12 billion in 2018. The organic food is also easy to access for German consumers, with over 60% sold through the mainstream retailers. The demand for natural colors remains high in Germany, France, UK, driving tremendous growth for food colors in the global food color market. The meat & sausage products remain a major area of growth, as it leads the agricultural products with 24% share of the industry.
Growing Demand for Color-based Meat Products Remains Key to Growth
The meat industry is witnessing major shifts in demand as consumer patterns for key products like beef, poultry, and other forms of meat remains under pressure to growing demand for organic products. In such a scenario, retailers continue to demand for more preservation, and longer shelf life for meat products. This has led to advancement in packaging including products like skin-packs, which can increase life for meat products by as much as 21 days. Moreover, in studies in Norway’s meat industry, the advanced packaging like nitrogen packed products remained as low as 2.5% as compared to 8.7% in conventional packaging methods. Hence, these packaging methods will likely remain a key advancement, and change the face of meat packaging in the near future. However, there is a challenge to adoption of methods like skin-based packaging. This remains less consumer or advertiser friendly in retail, as consumer associated red color with quality beef, and meat products. Hence, despite challenges with meat products, the new packaging methods will provide a major burst of growth for the food colors market with advancements in colouring methods.
Some key players in the food colors market are DSM (Dutch State Mines), CHR Hansen Holding A/S, Sensient Technologies Corporation, Dohler Group, Archer Daniels Midland Company.
The Food Colors Market is Segmented as Below:
Bakery & Confectionary
Processed Food & Vegetables
Oils & Fats
Rest of Europe
Rest of APAC
Rest of South America
Middle East & Africa
Rest of MEA
InsightSLICE adopts a research methodology which is highly meticulous and comprehensive, yielding accurate research results. Our research methodology utilizes data triangulation model which helps in the precise collection and validation of information. Our set processes for problem solving and paid primary tools guarantee that any client requirement is met with utmost diligence and accuracy. Some of the primary components that are consequential to our research approach are:
Secondary Research or Desk Research
Distinctive Data Model
Secondary Sources include but are not limited to:
Past Published Research
Historical Data and Information
Primary Sources include but are not limited to:
InsightSLICE also leverages three types of data triangulation approaches as follows:
Data Source Triangulation
Extracting data and validation from multiple type of secondary and primary sources
Combining various methodologies to validate data inputs
Applying different theories to check credibility of data sets