Food Colorants Market Worth Will Be $2.46 Billion By 2020: Grand View Research, Inc.
The global market for food colorants is expected to reach USD 2.46 billion by 2020, according to a new study by Grand View Research, Inc. Food colorants demand is expected to grow with increasing applications in confectionery and bakery items, medicines and pharmaceutical drugs, beverages, cosmetics and toiletries, meat, sea food and pet food. Rising consumer awareness for natural ingredients is expected to drive natural colorant demand over the next six years.
Dairy foods were the largest application market for food colorants, with demand estimated at 19,154.5 tons in 2013. Food colorants are added in foodstuffs to retain color lost during processing which adds appeal to the product. Food colorants are also extensively used in beverages, particularly CSDs & non alcoholic kinds, in order to make the product visually more attractive to the younger population.
Further key findings from the study suggest:
- Global food colorants demand was 51,510.0 tons in 2013 and is expected to reach 67,724.0 tons by 2020 growing at a CAGR of 4.0% from 2014 to 2020.
- Synthetic food colorants were the largest product segment, with demand estimated at 17,907.7 tons in 2013; owing to increased consumption of processed foods which use synthetic colors in emerging markets
- Europe was the largest regional market for food colorants, with revenue exceeding USD 590 million in 2013. Increased consumer preference towards functional foods and beverages, particularly with natural or organic colorants is a key factor responsible for the regional market growth.
- Dairy and non dairy food applications are expected to be the fastest growing application markets, at an estimated CAGR of 4.1% from 2014 to 2020. Increasing demand for foods containing natural products is expected to drive demand for the application.
- Key Companies in the market include CHR. Hansen, Danisco, BASF, DSM, and Sensient Technologies Corporation. The global market is significantly consolidated with somewhat oligopolistic characteristics. While the market is expected to continue moving towards consolidation, R&D spending is expected to increase as participants focus on naturally derived food colorants with nutraceutical benefits.
For the purpose of this study, Grand View Research has segmented the global food colorants market on the basis of product, application and region:
• Food Colorants Product Outlook (Volume, Tons; Revenue, USD Million, 2012 - 2020)
• Natural Identical
• Food Colorants Applications Outlook (Volume, Tons; Revenue, USD Million, 2012 - 2020)
• CSDs & Non Alcoholic Beverages
• Alcoholic Beverages
• Food Colorants Regional Outlook (Volume, Tons; Revenue, USD Million, 2012 - 2020)
• North America
• Asia Pacific
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