Global Natural Food Colors and Flavours Market

Natural Food Colors and Flavours Market Insights

Colors and flavors both play a critical role in the success or failure of any finished product. Colors are used as an additive for food development for making it more appealing and also balance out the possible color loss by improving the naturally occurring texture of the product. On the other hand, flavor additives impart flavor to the product along with offering some functional role to the product such as masking off-notes, improve excessive bitterness from natural ingredients such as fibers, certain proteins, vitamins, and minerals.

According to the report published by GME, the global natural food colors and flavors market is projected to show impressive growth at a CAGR of 5.4% between 2020-2026 period.

The rising demand for natural colors and flavors in confectionery and bakery products is the prime factor fueling the growth of the product. The growing demand for food with natural ingredients with clean labels is gaining popularity among various regions of the globe due to improving healthcare awareness, increasing food adulteration cases, and raising the investment of consumers. Therefore, manufacturers are inclined towards upgrading their regular natural food and beverage portfolio. As a result,  the customer is more likely to read the label before investing money in any product which is a major factor building the market of natural food colors.

Natural Food Colors and Flavours Market: By Type

Caramel, carotenoids, colors, anthocyanin, copper chlorophyllin, curcumin, annatto, others [betanin, spirulina, lutein, chlorophyll, gardenia, and canthaxanthin], natural extracts, flavors, aroma extracts, essential oils, and others [spices, & microorganisms] are the types of natural food colors and flavors market. Among the mentioned market segments, carotenoids are the largest revenue builder of the natural food colors and flavors market. The significant growth of the segment is due to its properties such as antioxidants, protection against cellular damage, and chronic diseases. Also increase in the popularity of the segment in different end-users such as frozen products, non-alcoholic beverages, and bakery items has led to the growth of the carotenoids market.  

Natural Food Colors and Flavours Market: By Form

The two forms of natural food colors and flavors are liquid & gel, and dry. Out of the two, the dry colors and flavors are expected to account for the largest market share in the coming years owing to high demand from the food producers, as they are easy to get mix with different food products. Easy storage as compared to liquid colors and flavors is another factor creating the demand for the dry segment of the product.

Natural Food Colors and Flavours Market: By Application

The application segmentation of the color and flavor additives as follows flavor [food, and beverages], flavor [food (confectionery, dairy & dairy products, bakery products, savory & snacks, meat products, frozen products, and Others [fruits & vegetable extracts, breakfast cereals, soups, dressings, condiments & spices, and sauces], beverages.

Beverage products have gained immense revenue for the natural colors and flavors owing to the rising demand for alcoholic drinks, juice, and soft drinks, especially in the young population. The growth of beverage industries in economically stable regions such as Asia-Pacific and Europe is another factor responsible for the impressive market of the beverages segment.

Natural Food Colors and Flavours Market: By Region

Asia-Pacific has topped the market share table and is expected to grow at the highest CAGR percentage duration in the mentioned period. Growing awareness of the negative impacts of synthetic and its associated health hazards of synthetic colorants has uplifted the demand for natural colors and flavors in the region. Increasing beverage industries in the region is another reason for the growth of the colors and flavors market. Improving consumer abilities towards investing in the products has created a huge demand for products in recent past years.

Natural Food Colors and Flavours Market: By Region Share and Competitor Analysis

The key players operating in the market include Takasago, Seluz Fragrances & Flavors Company, Gulf Flavors and Food Ingredients FZCO, Aromata Group, Besmoke Ltd, The Foodie Flavors Ltd, Taiyo International, Amar Bio-Organics India Pvt. Ltd., Synergy Flavors, Robertet, and Archer Daniels Midland (ADM)  among others.

Please note: This is not an exhaustive list of companies profiled in the report.

In March 2020, IFF  announced its collaboration with a biotech firm Evolva (Switzerland), to further expand vanillin commercialization. As per the agreement, IFF will take for  the vanillin commercialization is developed by Evolva

In June 2029, Kerry Group expanded its market in India by launching a new producing facility of taste and nutrition profile.