In 2023, the colorant market size was estimated to be worth
over $43 billion. The market is expected to expand at a
CAGR of over 6% from 2025 to 2030 and reach approximately
$65 billion. The textile industry is the largest user of
synthetic colorants, highly preferred by manufacturers.
This is because of their compatibility with various textile
materials, permanence, and ability to maintain rich as well
as uniform colors longer than their natural alternatives.
The food and beverage industry is the second-largest
consumer of synthetic colorants, especially in beverages,
where artificial colors improve product aesthetics to meet
customer expectations. In the paint and coatings industry,
colorants provide vibrant, long-lasting colors as well as UV and chemical protection, increasing durability in harsh
conditions. Pharmaceuticals, leather, and printing inks are
some other applications where colorants have a prominent
value. In the automotive industry, changing trends and
rising demand for new colorants are driving the demand
for paints with pearlescent and metallic effects. Consumers
are now looking for unique colors for their vehicles, forcing
automakers to innovate new shades to meet the diverse
needs of their customers.
Classification of Colorants
Pigments
This year the pigments market was valued around $30
billion and is expected to reach ~$35 billion by 2029, growing
at a CAGR of ~3%.
Pigments can be organic or inorganic. However,
inorganic pigments are used three times over as compared
to organic pigments because of their high opacity, high
thermal stability (>500°C), and high chemical solvent
resistance. Apart from sourcing pigments, the quality
of inorganic and organic pigments also makes a huge
difference when making a choice. Compared to inorganic
pigments, organic pigments yield more vivid and intense
colors, have a stronger tint, and tear less readily. High-performance organic pigments have similar lightfastness
(don’t fade easily) and heat stability to inorganic pigments
but are more expensive.
The demand for high-performance pigments is rising
because of the soaring growth of the automobile and ink
industries, especially in developing regions like APAC,
the Middle East, Central America, and South America.
This is all because of the great characteristics they offer,
for example, better durability and enhanced lightfastness.
Diketopyrrolopyrrole (DPPs), anthraquinone, and disperse
pigments are some of the most popular and high-performing
pigments.
Dyes
Dyes are classified as natural and synthetic dyes.
Natural dyes are made from plants (Rubia tinctorum,
Curcuma longa, Indigofera tinctoria), animals (Kermes
Murex Snails), and minerals (iron oxide, ochre). Over
a couple of years, there has been a shift from synthetic
to natural dyes in every industry, be it cosmetics, food,
or textiles. The demand for transparency and healthconscious choices has made natural dyes more attractive across the value chain.
Dyes can produce more color and density per unit
of mass than pigments. The dye-based inks can interact
chemically with other ingredients. Hence, they deliver
better prints than pigment-based inks when combined
with optical brighteners and color-enhancing agents.
These factors are anticipated to boost product demand
in the printing ink application segment.
Prominence of Colorants in Different Industries
Textile
The global market value of colorants in the textile
industry was ~$9 billion in 2023 and is expected to grow
at a CAGR of 5% from 2023-2030. The textiles segment
dominated the dyes market in 2021, accounting for
more than 62% of revenue. However, the printing ink
segment is estimated to register the fastest growth in
the coming 5 years.
Around 21% of the market is occupied by disperse
dyes, followed by direct dyes (16%) and reactive dyes
(11%). These dyes are perfect for synthetic fabrics
since they come in a wide variety of vivid colors and
have outstanding lightfastness, wash fastness, and
sublimation fastness qualities. Fast fashion frequently
uses azo dyes because they are cheap, easy to produce, and create bright, consistent colors. However, they are
also hazardous and have a lot of detrimental effects on
the environment and human health.
For direct-to-garment (DTG) and textile printing
on a variety of natural and synthetic materials, Kao
Collins manufactures high-quality piezo printing
inks. One formulation that Kao Collins offers is called
FIBRA, and it uses disperse dye (CMYK) and dyesublimation. A variety of piezo inkjet systems can be
used with these inks, and they can be customized to
meet certain print head needs.
Digital printing and pigment-based dyeing
processes are becoming popular amongst
manufacturers as they dramatically reduce water and
energy consumption while enabling faster turnaround
with on-demand dyeing capabilities. It can be tagged
as better alternatives to textiles made from screen
printing. Within the digital world, there are multiple
digital textile inks that can be used, each with their
own sustainability benefits. These include disperse
ink, reactive ink, acid ink, and pigment ink. The ink is
printed directly to the fabric, with only minimal drying
to fix the ink in place. There is no washing, steaming,
or finishing required.
Due to the presence of key manufacturing players
in NORAM, the industry is always on the lookout
for better alternatives to tap into a wider range of
audiences across all age groups., but it now has been
replaced by more natural alternatives such as plantderived, bio-based dyes, and low-impact synthetic
dyes in sectors like fashion and technical textiles.
MNK inks, produced by Epta Nova, are bio-based and
perfect for screen printing on a variety of materials,
such as cotton, blends, polyester (PES), and elastic
fibers. Less than 30% of the ink’s constituents come
from petroleum sources. However, due to the ease of
acquiring labor, Asia continues to be in the leading
lines for colorants in the textile industry and serves as
a hub for manufacturing for numerous large brands.
Natural dyes have been employed in the textile
industries for years, and their use is now increasing
rapidly. There is an interesting example of SeaDyes, a
Scottish startup developing fabric dyes from seaweed
to help the fashion and textiles industry become more
sustainable. Interestingly enough, there is no standard
or no criteria for textiles coloured with natural dyes,
despite the fact that individual and institutional
customers, textile brands, and other bodies have
been advocating for such standards. For this reason,
NODS (Natural Organic Dye Standard) guidelines
were laid out, and the list contains around 1546 dye plants. This standard includes two certifications:
GOTS (Global Organic Textile Standard) and OEKOTEX (International Association for Research and
Testing in the Field of Textile and Leather Ecology).
For manufacturers in the textile industry, adhering
to the NODS is crucial to ensure compliance with
sustainability and safety standards. Although these
guidelines are relevant on a global scale but are mostly
followed in Europe.
The European Union (EU) has specific regulations
for synthetic dyes used in various end applications.
Azo Dyes (Congo Red), widely used in the textile
industry, are regulated by the EU under REACH. Dyes
that release these chemicals in amounts greater than 30
mg/kg are restricted and cannot be used in products
that have direct and long-term contact with skin or the
mouth.
Azo dyes are toxic to humans as they can break down
into aromatic amines, which are chemicals linked to
cancer. These are not biodegradable, and if they come
in contact with water, they can contaminate water
supplies and harm aquatic life. Hence, it continues to
be a highly regulated dye. Last year, India revised its
import regulations for textiles, requiring products from
China to be tested for azo dyes. Previously, Chinese
textiles were exempt from this testing, but now they
also must go through the process.
Food and Beverage
The market of food colorants was over $3.5 billion
in 2022 and is expected to grow at a CAGR of ~8.5%
in the next 5 years. Natural colorants will hold the
largest market share of over 5%. Natural colorants are
derived from fruits such as berries and vegetables like
beets, as well as other botanical sources like turmeric.
Companies have been constantly trying to find better
sources and combinations to offer a wide range of color
palettes to customers.
Pigments such as Phycocyanin, derived from
Spirulina, a type of cyanobacteria (blue-green algae),
are the most popular in the food and beverage
industry, experimenting with shades of blue. This
pigment is trending in the industry, primarily due to the clean label wave. In 2022, GNT launched Exberry
Green powder, which was derived from spirulina and
turmeric. Another company that explores the hues
of blue and purple is California Natural Colors; they
use purple butterfly peas, which is a Taiwanese flower
without scent or flavor, making it highly compatible
for product applications. Similarly, Beet Red (beet
juice concentrate) is also in demand as a colorant in
the food industry because of its natural source, which
makes it relevant to the clean label trend. Earlier this
year, Oterra collaborated with VAXA Technologies to
develop a sustainable, carbon-neutral natural color
from Icelandic microalgae.
In synthetic food colorants, tartrazine (lemon-yellow) and sunset-yellow (orange-yellow), which
give hues of yellow and orange, are some of the most
preferred dyes by food manufacturers as they are
low in cost. These synthetic colors require fewer raw
materials, are easier to produce consistently on a large
scale, and have a longer shelf life, which makes them
the most convenient dye option for manufacturers.
Tartrazine is a particular dye that is approved in
many major economies, including the US and the
EU. However, in some instances, the usage is printed
because it can cause allergic reactions.
North America has the largest food colorant market
share, accounting for approximately 20%. However,
it is import-dependent when it comes to natural
colorants from regions like APAC. With a never-ending
discussion of phasing out certain synthetic colorants,
natural colorants have been very dominantly talked
about recently. For instance, the FDA mandated
companies to get approval on the color additives used
in food production before they go out in the market.
The FDA requires evidence that a color additive is safe
at the intended level of use and if accurate labeling of
color additives is printed on the products.
Recently, California decided to ban six food
colorants, which are Red No. 40, Yellow 5, Yellow 6,
Blue 1, Blue 2, and Green 3. These colorants, commonly
used in food manufacturing, are being banned under
the California School Food Safety Act due to health
concerns.
Many companies across the value chain have been
launching a portfolio of natural colors and collaborating
to access a wider market share. For example, Ginkgo
Bioworks collaborated with Israeli firm Phytolon to
develop natural food colors using the fermentation
process. They’ve developed yeast strains that produce
vibrant colors ranging from yellow to purple, known
as betalain pigments.
When it comes to consumption, the European
market is leading the trail. Two years ago, the natural
colorant market was more than twice as big as the
synthetic colorant market. This shows the prominence
of natural colorants in the European market, primarily
because of strict regulations. Just like NORAM, Europe
also imports natural raw materials from countries like
India and China.
Synthetic food colorants are dominant in APAC
because of lenient regulations and compliances.
Specifically, in India, the Food Safety and Standards
Authority of India (FSSAI) has clear rules about
how food colorants can be safely used. These clear
guidelines make the approval process faster and
simpler for companies to use synthetic food colorants
in the current context. That is why manufacturers from
countries like China and India are more export-focused
when it comes to natural colorants.
Paints and Coatings
Inorganic and organic pigments are used in the
paints and coatings industry. Organic pigments
are derived from carbon-based compounds and are
popular for their bright colors, strong tinting power,
and transparency. For instance, quinacridones for
imparting red and violet hues and phthalocyanines
for blue and green hues. Organic pigments offer rich
colors and excellent dispersion capabilities, which
makes them an excellent choice for automotive finishes
and consumer electronics. However, organic pigments
are not able to match up in terms of heat and chemical
stability, which is why they are not perfectly suitable
for industrial environments where high durability is
required.
Inorganic pigments are derived from minerals and
metals, such as iron oxides, chromium oxide green
(excellent heat stability) and titanium oxide (high
opacity and brightness). As they offer great opacity,
lightfastness, and weather resistance, inorganic
pigments become a great choice for coatings in endapplications like architecture and industrial set-ups.
However, it cannot be denied that inorganic pigments
usually offer a dull shade as compared to organic
pigments. That is why the usage of inorganic or organic
pigments is highly dependent on the desired output
and the end-industry where it is to be used.
With a push from governments and restrictions by
organizations like REACH, popular choices like Lead
Chromate were heavily restricted because of being
classified as carcinogenic and reproducing toxins.
Manufacturers then came up with safer alternatives
such as bismuth vandate, which was capable of
offering similar opacity and weather resistance,
minus the associated health risks. Azo pigments
and encapsulated pigments have replaced cadmium
pigments, which can effectively prevent the leaching
of harmful ions.
In terms of technology, the pigment industry
is adopting nanotechnology to improve pigment
properties without sacrificing environmental impact
or safety. For example, nanopigments have special
optical qualities such as increased color strength, high
transparency, and UV resistance. These characteristics
make nanopigments appropriate for coatings on
electronic devices and automotive topcoats. However,
concerns about nanoparticle toxicity have prompted
extensive testing and regulatory supervision to ensure
safe usage. Apart from nanotechnology, biotechnology
and green extraction techniques are getting traction in
the pigments industry.
The development of functional pigments—
pigments with additional properties like conductivity,
self-cleaning ability, and thermal regulation—has
surged recently. Thermochromic and photochromic
pigments are becoming more and more common in
interactive designs, consumer electronics, and safety
indicators. Using these pigments, which alter color
in response to light or temperature, is a novel way to
make coatings that are responsive and dynamic.
Another intriguing idea is conductive pigment,
derived from carbon nanotubes and conductive
polymers, allowing improved electrical properties
while retaining the desired color strength and finish.
These pigments provide protection from static
discharge and electromagnetic interference when
applied to automotive and electronic component
coatings. For instance, MG Chemicals has an entire
category of conductive paints such as acrylic paints,
epoxy paints, spray paints, and more, which can be
used for electroplating plastics, grounding surfaces,
etc.
There appears to be a growing trend toward the
use of sustainable alternatives and high-performance
pigments (HPPs). High-performance pigments, such as
DPP (diketopyrrolopyrrole) pigments, quinacridones,
and perylenes, provide exceptional chemical stability,
heat resistance, and durability, making them appropriate for demanding applications like industrial
and automotive coatings. Because of their improved
safety profile and comparable performance, DPP
pigments—which come in vivid reds and oranges—
are now frequently used in place of conventional
cadmium pigments in a variety of applications.
In North America and Europe, there is a prominent
trend of low-VOC (volatile organic compounds)
colorants because of the strict regulations in both
regions. Due to regulatory pressures and consumer
demand, the market is also witnessing a shift toward
eco-friendly pigments and bio-based pigments.
Clariant’s EcoTain® range of sustainable pigments and
BASF’s Lucirin® line of eco-friendly colorants fit this
trend. These products are formulated without heavy
metals and other harmful substances, making them
compliant with regulations like the European Union’s
REACH.
For the Indian paint and coatings market, LANXESS
has just unveiled a new line of color pigments. The
synthetic colorants in this line include Colortherm®,
Bayferrox®, and Bayoxide®. DIC Corporation and Sun
Chemical have been at the forefront of encapsulated pigment technology innovation. These developments
guarantee sustainable offerings that can be used in
high-performance applications without posing a risk
to the environment or to workers. These kinds of
innovations are critical to delivering the performance
characteristics demanded by industrial applications
and staying in compliance with changing regulations.
Conclusion
The global shift toward sustainability will impact
the colorant market significantly. This has pushed
businesses to replace synthetic dyes with safer, more
natural alternatives, leading to a focus on innovation.
The new and stricter regulations as well as changing
consumer behavior are expected to accelerate this shift.
However, this transition will also lead to price parity,
performance issues, and required adjustments along
the supply chain. Manufacturers have undivided attention on reducing carbon emissions, so there will be
structural changes when it comes to using pigments
and dyes in the product formulation. In industries
where regulations are strict, the shift towards sustainability will be swift; however, in other industries it will
be slow but for sure steady.
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This article was originally published in the November edition of Chemical Industry Digest.
