The United States food colorants market is projected to grow at a CAGR of 4.54% during the forecast period (2020 - 2025).

  • The United States processed food market holds a significant share of the global market. The visual appeal of food is highly essential to entice the consumer base and color of food is a significant factor while deciding its acceptability of the product, thus, color plays a key role in food and beverage industry of the country by influencing taste thresholds, sweetness, perception, food preference, pleasantness, and acceptability.
  • The stringent regulation in the country regarding food colorant restricts the market by reducing the application of synthetic colors owing to their ill effects on human consumption. The government imposed certain synthetic colors to be subject to certification such as FD&C Blue No. 1, FD&C Blue No. 2, FD&C Green No. 3, Orange B, and others.



Key Market Trends

Natural Colorants Dominate the Market

The use of natural ingredients such as natural food colorants has seen a tremendous increase in the United States food & beverage industry in recent times driven by regulations restricting the use of synthetic colors. Moreover, as most consumers of the country are turning health-conscious after witnessing a surge in the obesity level and numerous health problems, they are looking for natural ingredients in their products. This is pushing manufacturers to use natural colorants. Additionally, the manufacturers are witnessing huge opportunities for food innovation in the country as a natural colorant industry is still in its nascent stage.

Beverage Application Fuels the Market

The United States is one of the most developed nations and consists of consumers with high disposable income, which drives the beverage market. The increasing application of food colors in beverages, such as flavored drinks, nutritional drinks, and soft drinks, is driving the food colorants market. In CSD (carbonated soft drinks) and non-alcoholic beverages segments bright, vivid, and unusual colors entice the younger generation looking for “extreme” flavor. Strong and unusual colors in alcoholic beverages also appeal to the United States’ consumers. Thus, catering to the application of synthetic as well as natural food colorants in the beverage segment. Numerous research and development of food colorants further cater to the United States beverage market.

Competitive Landscape

The United States food colorants market is highly competitive with the presence of numerous global players trying hard to maintain their position in the market. Major companies have an extensive range of product offerings. The players with a natural colorant portfolio are majorly dominating the market. Other players are also trying to incorporate natural colorants into their product ranges, thus, tending towards partnership, mergers, and acquisitions.

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