Natural Food Colors Market size is valued at $ 1.7Bn by 2019 and is estimated to grow at a CAGR of 6.8% during the forecast period 2020-2025. The Natural Food Colors Market’s growth can be attributed to the burgeoning consumer awareness for clean label products, health hazards in contrary to that of synthetic food colors, and the health benefits achieved by using natural food colors. From companies investing in development of advanced ingredients, and modified formulations for application in beverages, bakery and confectionery, and dairy products is anticipated to have a positive impact on utilization of carotenoids, curcumin, anthocyanin, and carmine. In addition, initiatives taken by the regulatory bodies such as FDA for amendments of color additive regulations and several multinational companies taking up regulations like filing Color Additive Petition (CAP) for the safe use of natural food colors is anticipated to take the growth rate to a much higher level in the forecast period 2020-2025.   

Key Takeaways
North America dominated the Natural Food Colors Market a regional share of 37.4% in 2019.
Increasing consumer awareness about the benefits of natural ingredients over harmful artificial products is poised to augment product demand in the forecast period 2020-2025.
Research & Development activities are focusing on finding new sources of natural food color with a developed and improved shelf-life and reduced instability of the colors  thus set to drive the market during the forecast period 2020-2025.

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By Geography - Segment Analysis

In 2019, North America dominated the Natural Food Colors Market with a regional share of 37.4%. The sector for Natural Food Colors has shown a good growth pace which might be attributed to the facts of strong and growing consumer knowledge of various natural food colors, which has led to the change in preference of consumer base; who are very much aware of their dietary habits to lead a healthy lifestyle and fight against the various negative effects on the health owing to the consumption of synthetic foods. In addition, rising demand for natural coloring agents are projected to give strong growth potential for the market development in this region during the forecast period 2020-2025.

Drivers – Natural Food Colors Market
Escalate in the demand of natural food color over synthetic ones
There has been an escalation in the demand for natural food colors over synthetic food colors specially in food & beverages industry due their origin being original thereby, appealing to consumers as a safe to use product reducing the cause of life-threatening diseases by the use of synthetic food color chemicals.
Continuous Innovation and Technological advancements are to boost the Market
Technological advancements like reducing the instability of the color and innovation like improving the life of the food colors used to prevent fading during processing are to being taken care of. Ongoing researches are focusing on finding new sources of natural food color with a developed and improved shelf-life and reduced instability of the colors. The developments made to achieve the desired properties are estimated to augment the growth of natural food color market in the forecast period 2020-2025.

Natural Food Colors Industry Outlook: Natural Food Colors Market share is fragmented by Sensient Technologies, Chr. Hansen, Döhler Group, Kalsec, ADM, DSM, Naturex, DowDuPont, DDW, Fiorio.

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