Oil Dispersible Color Market Size, Share & Trends Report

Oil Dispersible Color Market Size, Share & Trends Analysis Report By Product (Natural, Synthetic), By Application (Food & Beverages, Cosmetics, Pharmaceuticals), By Region, And Segment Forecasts, 2019 - 2025

  • Published Date: Aug, 2019
  • Base Year for Estimate: 2018
  • Report ID: GVR-3-68038-451-2
  • Format: Electronic (PDF)
  • Historical Data: 2015 - 2017
  • Number of Pages: 80

Industry Insights

The global oil dispersible color market size was valued at USD 812.2 million and is expected to expand at a CAGR of 5.8% over the forecast period. Increasing demand for the bakery and confectionery products is a major reason driving the market for oil dispersible color. Growing population across the globe is anticipated to result in increased demand for food and beverages, which may further drive the demand for oil dispersible color over the forecast period.

Oil dispersible colors are largely lakes that are made by mixing dyes with salts to get insoluble compound. These colors are widely used in doughnut, cake, hard candies, soaps, chewing gums, shampoos, and many other products. Rising consumption, coupled with changing preferences, is expected to transform the cake industry across the world. Moreover, increasing penetration of small organized players in the cake market will have a positive impact on the growth of market. Many small players are entering the cake market, which is expected to intensify the competition. Biscuit manufacturers such as Britannia and ITC have entered the cake market, which is expected to fuel demand for oil dispersible color over the forecast period.

U.S. oil dispersible color market

Technological advancements in the past few years have fueled the demand for oil dispersible colors. For instance, in 2013, D.D. Williamson, a prominent vendor in burnt sugar, natural colors, and caramel color, had developed a line of oil dispersible colors that can be used in liquid oil, which are non-genetically modified and have better functionality in product coating. This oil technology broaden the scope of coloring sources that can now be added to lipid systems.

Growing consumer awareness related to harmful effects of artificial additives has led to increase in demand for naturally-colored bakery products. Natural colors are free of genetically modified organisms (GMO) and allergens. In addition, usage of these products allows vendors to meet strict food safety regulatory standards. As a result, demand for oil dispersible colors is expected to grow substantially over the forecast period.

Product Insights

The natural oil dispersible color was the largest product segment, accounting for 81.8% share of the total revenue in 2018. Demand for this product is growing across the globe due to increasing awareness among consumers related to health benefits of natural food colors. Demand for natural products in the bakery industry is anticipated to increase due to growing demand for non-synthetic alternatives such as oil dispersible color in the making of muffins, cupcakes, and pastries. Furthermore, use of natural colors for frosting and icing purpose is anticipated to aid market growth.

The synthetic oil dispersible color is expected to expand at a CAGR of 4.9% over the forecast period owing to increasing product use by consumers in the developing countries. Furthermore, demand for synthetic colors like blue and green is anticipated to be drive the market. Increase in the product penetration is anticipated to fuel the growth of the synthetic oil dispersible color segment in the upcoming years.

Application Insights

The food and beverages segment was the largest segment, accounting for a share of 58.9% in 2018 owing to growing demand for oil dispersible color from soft drinks, juices, and alcoholic drinks manufacturers. Favorable government policies in Asia Pacific, along with growing preference for flavored beverages, is expected to have a positive impact on the growth of the food and beverages industry. This, in turn, is expected to fuel demand for oil dispersible color.

Increasing demand for flavored dairy products is expected to fuel demand for natural oil dispersible color. Frozen dairy products are consumed nearly on a day-to-day basis and consumers are increasingly made aware regarding the health hazards associated with the existing food colors used by manufacturers.

Global oil dispersible color market

Companies are involved in the development of modified formulations and advanced ingredients. They are focusing on building transitional and new brand stories to grab the attention of consumers and meet their demand. Consumers are not only interested to use natural color but also wanted to have hygiene and healthy foods. As a result, manufacturers are focusing on developing new products with natural ingredients and that do not affect health.

The pharmaceuticals segment is anticipated to witness growth during the forecast period owing to increase in cough syrups and other syrups medicine. Growing demand for the protein powder and health related drinks like Horlicks and Bounvita has also fueled the market growth. The personal care segment is expected to witness growth during the forecast period. Increase in demand for personal care products like shampoos and soaps is likely to drive the segment in the upcoming years.

Regional Insights

Europe was the largest regional market, accounting for a share of 32.3% in 2018. Increasing demand from the food and beverage industry in Europe, coupled with rising application of oil dispersible color in bakery, beverages, and confectionery, may boost the market growth in the upcoming years. Presence of a large number of beverage manufacturers in the region is anticipated to have a significant impact on the market growth over the forecast period.

Asia Pacific is expected to register the highest CAGR of 7.0% from 2019 to 2025 owing to growing consumer awareness related to negative effects of synthetic colorants and increase in the spending power of the people in the region. China has been the world’s biggest consumer market for food and beverage over the past few years, thus making this industry highly appealing for foreign players and brands in the food and beverage industry. Moreover, stringent government regulations on the use of synthetic colors are anticipated to have major impacts on the adoption of many alternatives including oil dispersible color by manufacturers in the Chinese food and beverage industry.

Oil Dispersible Color Market Share Insights

Some of the key players operating in the global oil dispersible color market are DDW The Colour House; Archer Daniels Midland; Naturex; Chr. Hansen Holding A/S; Symrise; GNT International B.V.; Sensient Technologies Corporation; McCormick; Kalsec, Inc.; San-Ei Gen; and Colour Garden.

Diana, Doehler, Sensient, and Roha are some of prominent players focusing on product innovation and R&D. Companies are also focusing on launching new products and improving existing products in terms of pH and thermal stability. The companies mostly compete on the basis of range and price of products from a single source. For example, oranges are a pure source of carotenoids, whereas cochineal insects are a pure source of natural carmine.

Report Scope



The base year for estimation


Actual estimates/Historical data

2015 - 2017

Forecast period

2019 - 2025

Market representation

Revenue in USD Million and CAGR from 2019 to 2025

Regional scope

North America, Europe, Asia Pacific, Central & South America, and Middle East & Africa

Country scope

U.S., Germany, U.K., China, India, and Brazil

Report coverage

Revenue forecast, company share, competitive landscape, and growth factors and trends

15% free customization scope (equivalent to 5 analyst working days)

If you need specific information, which is not currently within the scope of the report, we will provide it to you as a part of the customization

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For this study, Grand View Research has segmented the global oil dispersible color market report based on product, application, and region:

  • Product Outlook (Revenue, USD Million, 2015 - 2025)

    • Natural

    • Synthetic

  • Application Outlook (Revenue, USD Million, 2015 - 2025)

    • Food & Beverages

    • Personal Care

    • Pharmaceuticals

  • Regional Outlook (Revenue, USD Million, 2015 - 2025)

    • North America

      • U.S.

    • Europe

      • Germany

      • U.K.

    • Asia Pacific

      • China

      • India

    • Central & South America

      • Brazil

    • Middle East & Africa

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