Sales of natural food colours have overtaken sales of their artificial counterparts for the first time, according to a report by Mintel and Leatherhead Food Research.
Natural colours accounted for US$600 million (AUD 587.7 million) in global sales in 2011 – 29 per cent higher than in 2007 – and accounted for nearly 39 per cent of the total food colours market, the report researchers found.
In comparison, sales of artificial colours grew by just four per cent between 2007 and 2011. This segment is now only worth about US$570 million (AUD 558.3 million), which equates to 37 per cent of the total food colours market, down from 40 per cent in 2007. The remainder of the market is made up of nature-identical colours and caramel.
The use of natural colours in new food and drink launches now outweighs the use of artificial colours globally by a ratio of 2:1, they reported, and the preference for natural colours is expected to be especially strong in the premium food and drink segments and in products positioned for children.
However, the report highlights significant differences between regions in the migration to natural colours. Europe has led the charge, using them in 85 per cent of new product launches between 2009 and 2011.
According to Mintel's senior global food and drink analyst, Chris Brockman, Europe's preference for natural colours had been accelerated by the Southampton Six study, a 2007 research paper by the University of Southampton that was published in the Lancet and found that some artificial colours increased hyperactive behaviour of children. In the EU, products using these colours must now carry a health warning.
“The results of the Southampton Six study has really accelerated the move toward natural colours in Europe, but other regions are also following suit as the consumer demand for more natural formulations builds and as key produces are retailers look to phase out artificial ingredients,” said Brockman.
According to the principal technical advisor at Leatherhead Food Research, Rachel Wilson, the trend is not likely not abate any time soon.
“The drive for natural food formulations will endure in the global food and drink industry as consumers continue to seek simplicity and purity in food and drink ingredients' lists. The use of natural colours in new food and drink launches will thus continue to outpace artificial colours globally in the foreseeable future,” she said.
According to the report, the food industry accounts for a 70 per cent share of the natural food colours market while the soft drinks and alcoholic beverages industry accounts for 27 per cent and 3 per cent respectively.
Natural flavours are also increasingly stealing the march on their artificial counterparts. According to an RTS Resource report released last year, natural flavours are expected to overtake the global synthetic market by 2020. Australia has seen stronger than average growth of 11 per cent a year in its use of natural flavours, according to the report.
