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Market Overview
the global natural food color ingredients market will grow at a high CAGR of 7.79% to account for a higher market value of nearly USD 1.9 billion by the end of the forecast period (2017-2022).
Market Dynamics
The global market for natural food color ingredients is growing at a rapid rate, owing to an increase in health awareness among people in all regions, as well as an increase in personal disposable income, which has resulted in increased spending on natural food color ingredients, driving the market's development. The demand for natural food colors is being fueled by rising customer understanding of health and wellness, as well as a growing desire to use natural colors instead of synthetic colors. This can be due to raising disease incidence and consumer health concerns in both developed and emerging economies in recent years. Furthermore, multiple reports revealing the negative effects of food colors have prompted a slew of government agencies to enact regulations in the best interests of consumers' wellbeing. Natural food colors will be in higher demand than synthetic food colors as consumers seek alternatives to synthetic colors and their desire for clean label products grows. Furthermore, as consumers become more conscious of the harmful effects of non-synthetic ingredients, the trend is turning toward clean-label goods, boosting the market's growth.
Natural food color ingredients market are increasingly being used in dairy and frozen desserts, snack foods, bakery and confectionery, and meat products, providing a variety of growth opportunities in the global market over the forecasted period.
On the other hand, some factors limit its expansion, such as a scarcity of raw materials, which drives up the cost of natural food coloring ingredients. Furthermore, the production and availability of raw materials used in natural food color ingredients are highly reliant on seasonal variations, limiting the market's growth. Natural food prices are likely to increase during the COVID-19 crisis as a result of economic uncertainty. However, this price increase is only expected to last a short time. The demand for natural food products is expected to fall during this period.
Segmental Analysis
The market is divided into paprika extract, spirulina, cartenoids, curcumin, chlorophyll, anthocyanin, and several other types depending on the type. The cartenoids dividend, which is forecast to rise at a CAGR of 32.8 percent, has the largest market share. Furthermore, spirulina is on the rise and is projected to expand at an annual rate of 8.35 percent over the forecasted period.
The natural food color ingredients market has been segmented into bakery and confectionery, drinks, savory and snacks, meat products, dairy products, and other applications in the global market. The drinks dividend has the largest market share, as it is projected to rise at a high CAGR of 6.75 percent over the forecasted period.
The natural food color ingredients market has been categorized into gel form, paste form, liquid form, and powder form in the global market.
The global demand for natural food color ingredients has been divided into lakes and dyes based on their solubility.
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Regional Analysis
The natural food color ingredients market has been segmented into four regions: Europe, Asia-Pacific, North America, and the rest of the world in the global market.
Due to increased urbanization, economic growth, and the middle-class population in the European region during the forecasted era, the European region holds the largest market share in this market.
Due to a rise in personal disposable income in the Asia-Pacific region, the Asia-Pacific region has the second-largest market share in the global market for natural food color ingredients. The pervasiveness of food safety controversies in the area can be due to the rapid use of natural food colors in new product production.
Another factor driving the growth of the natural food color ingredients market in this region is consumer concern about their wellbeing. This is followed by the North American region, which is projected to expand at a CAGR of 6.16 percent over the forecasted period. Natural food colors emerged in North America as a result of strict regulations prohibiting the use of toxic synthetic colors containing lead, arsenic, and mercury. Continuous attempts by North American confectionery brands to eliminate all artificial colors from their product portfolio will continue to benefit market players.
Competitive Analysis
The key players profiled in Natural Food Ingredients are as Chr. Hansen S/A (Denmark), Archer Daniels Midland Company (U.S.), Sensient Technology Corporation (U.S.), D.D. Williamson & Co. Inc. (DDW) (U.S.), Kalsec Inc. (U.S.), Doehler Group (Germany), and FMC Corporation (U.S.) among many others.
NOTE: Our Team of Researchers are Studying Covid19 and its Impact on Various Industry Verticals and wherever required we will be considering Covid19 Footprints for Better Analysis of Market and Industries. Cordially get in Touch for More Details.
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