Caramel Colour Market Overview:
Caramel Colour Market was at USD x.xx billion in 2019 and is anticipated to reach over USD x.xx billion, recording a CAGR of x.xx% throughout the outlook period 2021-2026.
Caramel is a pastry product obtained by heating sugar. It has a medium to dark orange color and is used as a flavoring, topping, coloring, garnishing and icing agent in various food and beverage applications such as bakery and confectionery, beverage, snack, product dairy and frozen desserts and pet food. It is a natural product that is used primarily as an ingredient in various food and beverage products. Market growth is driven by the growth of the application industries. Also, the functional diversity of caramel is also driving market growth. However, the growing awareness of the harmful effects of excessive consumption of caramel is hampering the growth of the market.
Caramel colour is the most widely used food colour and it is used in many foods and beverages, syrups like brown bread, beer, batters, cookies, cough drops, buns, chocolates, spirits, rum, whisky and brandy. It is also used in chocolate-flavoured confectionery and coatings like potato chips, dessert mixes, doughnuts, custards, fruit preserves, glucose tablets, ice cream, pickles, sauces and dressings. Globally it is more used in soft drinks especially colas, vinegar and sweets. It is approved in food globally but regulations vary by country.
People preference towards appearance and colour above all other factors, increasing demand from food and beverage industries, improved the appeal of hundreds of different foods, including baked goods, soft drinks, and even alcoholic beverages, increase in disposable income and technological advancements are driving the global caramel colour market. However, increased cost of caramel and it acts as an allergic agent which may hamper the growth of the market.
In September 2011, the Kerry Group (Ireland) acquired SuCrest GmbH (Germany), which is a leading supplier of sweet ingredients to the bakery, ice cream, confectionery, cereals and snacks industries in the European market. This strategy is helping to develop its ingredients and flavors business in the EMEA region.
Roquette, a supplier of plant-based ingredients, completed the purchase of Sethness Products, a company that offers caramel colors for food and beverages. In July, Roquette signed the agreement to acquire 100% of Sethness, for an undisclosed price.
D.D. Williamson, the world leader in caramel color, has acquired Cargill's Cerestar caramel plant in Manchester, England. The deal with Europe's largest glucose manufacturer strengthens D.D.'s global sourcing operations. Williamson and expands its product line, promoting an existing supplier partnership between Cargill and D.D. Williamson.
Market Drivers and Restraints:
The global Caramel Colour Market is primarily driven by the growing demand for bakery and beverage products due to changing consumer preferences for food and lifestyle, which is expected to increase the demand for the products worldwide. Rising per capita income and the growing adoption of the urban lifestyle are factors that are driving the food and beverage industry globally. This is due to the inclination of customers' eating habits towards frozen and ready-to-eat bakery products rather than traditional slow cooker products. This trend in the food and beverage industry is likely to drive the size of the caramel colour market during the forecast period. There is also significant growth in the beverage industry, which includes both alcoholic and non-alcoholic products. Product types such as caramelized sugar syrups and powdered and liquid caramel dyes are used in the production of alcoholic and non-alcoholic beverages such as lemonade, tea, fruit drinks, beer, powdered drink mixes, etc. The main obstacle to the size of the global caramel colour market is the constant increase in the prices of raw materials, which subsequently translates into higher prices for the product. Furthermore, shifting consumers' eating habits towards healthier products, minimizing the use of confectionery products in their daily routine, is a potential threat to the demand for products in the future.
Based on the product form, the Caramel Colour Market is classified into solids, powders/granules, and liquids. Among all, liquid caramel dominated the overall market share of caramel colour due to its heavy use in the beverage industry. The powders/granules segment is expected to see significant gains over the forecast period as caramel powder has a better shelf life and is widely used in bakery products and packaged foods.
Depending on the product, the market for caramel colour is segmented into colors, toppings, aromas, and others. Of these, the colors segment had a significant share of the caramel colour market, followed by the flavor segment. Caramel-colored ingredients are mainly consumed in food coloring and are mainly needed in the food and beverage industry. The toppings segment is expected to be the fastest growing market for caramel colour. This can be attributed to the growing consumer preference for restaurant meals, which in turn stimulates the need for food decoration (intended to make it more attractive) and ultimately increases the demand for the products.
The leading industries in which the product has vital applications are beverages (alcoholic and non-alcoholic), confectionery, bakery, and ice cream and desserts. Other applications of the caramel colour include sauces, malted foods, breakfast cereals, and more with new flavors fueled by changes in consumer food preferences.
Impact of covid-19 on Caramel Colour Market
Uncertainty about employment increases with the coronavirus spread, with the probability that a point of sale was used in the store that closed. The return of migrant labor to their home country will also affect the availability of skilled labor and there may be a shortage of people who are well suited to the limited jobs available. It will be a two-sided problem for F&B operators and employees. According to industry experts, this phase is survival of the fittest. So many operations deteriorate, while some merge with larger companies. By being forced to endure this challenge, the F&B industry does so for the benefit of the entire community, although it will take some time to recover from the losses incurred during the closure phase. While the strong performance in the last quarter will be austere, expectations of a strong rebound in the days after the close are not predictable and will be a daunting task. The path to profitability will not be easy and companies will need to adopt innovative and more efficient methods of doing business and creating new sources of income to maintain their presence in the market.
The global Caramel Colour market has been categorized by geography into North America, Asia Pacific, Europe, Latin America, and the Middle East and Africa. Asia-Pacific accounted for the lion’s share of about 34.07% in this market in 2017, and it is foreseen to record a substantial CAGR of about 6% during the conjecture period. China is one of the main markets in the region and represents the largest share of revenue during the review period. However, the Indian candy market is expected to show the highest growth rate during the outlook period from 2020 to 2025. North America is also expected to generate a significant share of Caramel Colour Market revenue. The growing demand for natural ingredients over synthetic ingredients in various food and beverage products is driving the growth of the regional market.
Cargill Inc. had the largest share of the global Caramel Colour Market in terms of sales and revenue in 2019.
Key players in the Caramel Colour Market include Nigay, Metarom, Cargill Inc, Mars Inc., Nestle, Puratos Group, Göteborgsfood Budapest Limited, Sethness Caramel Color, Sensient Technologies Corporation, DDW The Color House, Ferrero, and Kerry Group PLC.
1.1 Market Definition
1.2 Scope of the report
1.3 Study Assumptions
1.4 Base Currency, Base Year and Forecast Periods
2. Research Methodology
2.1 Analysis Design
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Data Modelling
2.2.4 Expert Validation
2.3 Study Timeline
3. Report Overview
3.1 Executive Summary
3.2 Key Inferencees
4. Market Dynamics
4.1 Impact Analysis
4.2 Regulatory Environment
4.3 Technology Timeline & Recent Trends
5. Competitor Benchmarking Analysis
5.1 Key Player Benchmarking
5.1.1 Market share analysis
5.1.3 Regional Presence
5.2 Mergers & Acquistion Landscape
5.3 Joint Ventures & Collaborations
6. Market Segmentation
6.1 Caramel Colour Market, By Type
6.1.1 Class I Caramel Colour
6.1.2 Class II Caramel Colour
6.1.3 Class III Caramel Colour
6.1.4 Class IV Caramel Colour
6.1.5 Market Size Estimations & Forecasts (2019-2024)
6.1.6 Y-o-Y Growth Rate Analysis
6.1.7 Market Attractiveness Index
6.2 Caramel Colour Market, By Application
6.2.1 Bakery Goods
6.2.2 Soy Sauces & Seasonings
6.2.3 Alcoholic Beverages
6.2.4 Soft Drinks
6.2.5 Market Size Estimations & Forecasts (2019-2024)
6.2.6 Y-o-Y Growth Rate Analysis
6.2.7 Market Attractiveness Index
7. Geographical Landscape
7.1 Global Identity Governance and Administration Market, by Region
7.2 North America - Market Analysis (2018 - 2024)
7.2.1 By Country
7.2.2 By Type
7.2.3 By Application
7.3.1 By Country
188.8.131.52 Rest of Europe
7.3.2 By Type
7.3.3 By Application
7.4 Asia Pacific
7.4.1 By Country
184.108.40.206 South Korea
220.127.116.11 South East Asia
18.104.22.168 Australia & NZ
22.214.171.124 Rest of Asia-Pacific
7.4.2 By Type
7.4.3 By Application
7.5 Latin America
7.5.1 By Country
126.96.36.199 Rest of Latin America
7.5.2 By Type
7.5.3 By Application
7.6 Middle East and Africa
7.6.1 By Country
188.8.131.52 Middle East
7.6.2 By Type
7.6.3 By Application
8. Key Player Analysis
8.1 Cargill Inc
8.1.1 Business Description
8.1.4 SWOT Analysis
8.1.5 Recent Developments
8.1.6 Analyst Overview
8.2 Mars Inc.
8.5 Puratos Group
8.6 Göteborgsfood Budapest Limited
8.7 Sethness Caramel Color
8.8 Sensient Technologies Corporation
8.9 DDW the Color House
8.10 Kerry Group PLC
9. Market Outlook & Investment Opportunities
List of Tables
List of Figures