Agricultural Colorant Market Size

Agricultural Colorants Market Overview

Agricultural Colorants Market Size was valued at USD 1,782.39 million in 2023. The agricultural colorants market industry is projected to grow from USD 1923.377049 million in 2024 to USD 3,815.30 million by 2032, exhibiting a compound annual growth rate (CAGR) of 8.94% during the forecast period (2024 - 2032). The increasing government investment to strengthen the agricultural sector coupled with the growing population across various regions are driving the market growth.

 Figure 1: Agricultural Colorants Market (USD Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Agricultural Colorants Market Trends

• Increasing government investment to strengthen the agricultural sector

The growing government investment across the globe to strengthen the agriculture sector has eventually increased the demand for agricultural colorants owing to their wide usage for seed treatment, and crop protection in order to yield better quality crops, which is eventually contributing to its overall market growth. For instance, according to the India Brand Equity Foundation (IBEF), India received about USD1 billion in agritech funding between 2017 and 2020. India stands in the third spot in terms of agricultural technology start-ups and financing, with significant investor interest. By 2025, it is projected that Indian companies that are into agricultural technology will be attracting investments amounting to about $30–$35 billion. Furthermore, the increasing government strategies to support the agricultural sector are also propelling its market growth. For instance, the Indian government incentivizes farmers to start projects in particular regions by paying a portion of the project's overall cost. These initiatives aim to increase capital investment, steady revenue flow, and employment in crucial national regions. In March 2021, a new PLI program for the food processing industry was approved by the central government, with a budget of INR 109 billion. The program's incentives will be given out for six years, through 2026–2027. The PLI grantees are expected to increase industrial capacity to produce processed food worth USD 4.4 billion and 250,000 jobs, as well as increase exports. The scheme's ultimate goals include increasing sectoral investment, accelerating agri-exports, promoting an increase in farmer incomes and compensation for farm output, and leading to the development of globally competitive Indian food brands.

Agricultural Colorants Market Segment Insights:

Agricultural Colorants Type Insights

Based on type, the Agricultural Colorants Market segmentation includes dyes and pigments. The pigments segment held the majority share in 2022 contributing to around a market value of USD 1,017.42 million of Agricultural Colorants Market revenue. Pigments refer to the colors that are made up of fertilizer, seed treatments, and other agricultural products. These pigment colorants are used in the agriculture industry to transform the product which can make the inspection process easy of the crops. Pigment act as an essential part of agricultural industries that can be used in different applications such as seed coating, fertilizers, and so on. Moreover, the recent strategies adopted by major players across the region are contributing to its segmental growth. For instance, the acquisition of Clariant's worldwide colorants division by Heubach Group and SK Capital Partners was finalized in January 2022. Both companies will operate under Heubach Brand, for creating a global pigment technology and industry leader. The newly combined brand offers comprehensive color solutions, organic, inorganic, and anti-corrosive pigments, pigment preparations, dyes, colorants, and specialty materials.  

Figure 2: Agricultural Colorants Market, By Type, 2022 & 2032 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Agricultural Colorants Category Insights

Based on category, the Agricultural Colorants Market segmentation includes organic and conventional. The conventional segment held the majority share in 2022 contributing to around ~80-85% of the Agricultural Colorants Market revenue. Conventional dyes and pigments that can be stimulated by light give a brighter and more aesthetic color than conventional dyes and pigments used in the agricultural industry. The production of conventional or in other words synthetic chemicals kinds of stuff becomes a big business, but on the other hand, it is polluting the environment also. These types of colorants are beneficial also for agriculture products but also have some limitations. A 2002 FOA study found that organic cultivation produces 12–13% more per unit of agricultural land than industrial fertilizers and pesticides do. The conventional segment is expected to grow at a market CAGR of 7.79%.

Agricultural Colorants Application Insights

The global market for agricultural colorants is segmented based on application into turf & ornamentals, fertilizers, pond & lake colors, and others. The seed treatment segment held the majority share in 2022 contributing to around ~35-40% of the Agricultural Colorants Market revenue. The concept of "seed treatments" refers to a strategy that uses biological, physical, and chemical procedures to safeguard the seeds. In order to rid them of seed-borne and storage insects, this treatment involves spraying them with an insecticide, fungicide, or a mixture of the two. These seed treatments are carried out to reduce soil insects, guard against storage insects, and stop the development of plant diseases. To produce stronger and healthier crops, there are numerous seed treatments available, including seed disinfection, seed disinfestation, and seed protection. The seed treatment segment is expected to grow at a market CAGR of 8.15%.

Agricultural Colorants Regional Insights

By Region, the study segments the market into North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific agricultural colorants market has held the largest market share among the region in the Agricultural Colorants Market. With 19% of worldwide food and agriculture exports and 31% of global food and agriculture imports, Asia is a critical node in the global food chain. Due to the region's rapidly expanding population, rising per capita income, and expanding middle class, Asia will continue to be a region with the highest demand for agricultural products and inputs. However, Asia is unable to sustain itself by agricultural output alone. Low agricultural yields, environmental and soil deterioration, insufficient infrastructure, and a lack of available arable land all contribute to production constraints. As a result, the demand for imports and investment in both domestic and international markets in Asia, particularly China agricultural colorants market, is expected to rise. With so much fertile land and such a large population, China and India agricultural colorants market are the biggest contributors to Asia and the Pacific's food output. Strong government financial support to drive mechanization and productivity in agriculture is expected to sustain the trend.

The major countries studied are the US, Canada, Mexico, the UK, France, Germany, Italy, Spain, China, India, Japan, Australia and New Zealand, South America, the Middle East, and Africa.

Figure 3: AGRICULTURAL COLORANTS MARKET SHARE BY REGION, 2022 & 2032 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

The US, Canada, and Mexico are the major markets of the North America agricultural colorants market, and the Canada agricultural colorants market and the US agricultural colorants market have a very high per capita income among the population. The agricultural colorants market in the region is mainly driven by surging applications in various sectors. At present, the increasing demand for agricultural colorants for the production of soft drinks is followed by dairy and sports nutrition products. Moreover, the agricultural colorants market in North America is also being supported by the various regulations associated with the taxation policies on sugary drinks along with increasing awareness regarding the negative health impacts associated with the consumption of conventional sugar-based products. Moreover, the region is also observing lucrative prospects for the agricultural colorants market owing to increasing product innovation by the manufacturers operating in the North American agricultural colorants market.

Europe agricultural colorants market is one of the prominent regions which includes Germany, France, Italy, Spain, the UK, and the Rest of Europe. In many ways, European farmers are pioneers, including in the areas of increased yields, environmental responsibility, and animal well-being. However, it seems they are slow to adopt new technologies; they rarely use the internet to purchase crucial inputs like machinery and agri-tech. The climate in Spain agricultural colorants market is famously arid. Irrigation is a crucial part of farming. When it comes to olive oil and wine, Spain and Italy are among the top three producers worldwide. Even in the realm of pear production, they are the undisputed leaders. France agricultural colorants market has more farmland than any other Western European country, at 48.2 million acres (35.5 percent). France is the greatest agricultural producer in Europe and the second-largest exporter to the United States agricultural colorants market. Due to its unsuitable climate and soil, Switzerland imports a significant portion of its food. Air pollution and acid rain damage have also weakened the country's timber industry.

Agricultural Colorants Key Market Players & Competitive Insights

Established companies are increasingly shifting their focus on various business strategies like collaboration and partnership with startups in the category offerings to expand their market presence and strengthen their position in the global market. Further, the manufacturers are launching a new range of dies and pigment offerings in some of the key agricultural regions including Latin America as a key strategy to gain a competitive advantage among the players in the global region. Merger & acquisitions strategy is quite predominant in the agricultural colorants industry as it aids in boosting the overall company’s growth with the additional research & development base, production facilities, and distribution locations.

One of the vital business strategies adopted by the companies in the market is to capitalize on the increasing demand for organic colorants by investing in the research and development of new Companies that are focusing on innovating new technologies and materials to develop organic dyes and pigments. This is expected to provide the players in the agricultural colorants market to stay ahead of the competition curve and gain a significant advantage over the unorganized players.

Sun Chemical is a producer of color and display technologies, packaging and graphic solutions, functional products, electronic materials, and products for the automotive and healthcare industries. The company also develops pigments for agriculture, and industrial coatings, among others. The company is a subsidiary business unit of the Sun Chemical Group Cooperative U.A. Sun Chemical is a global leader in the production of color and materials. The company's products are used by some of the world's leading brands, including Coca-Cola, PepsiCo, and Procter & Gamble. Sun Chemical is committed to innovation and sustainability, and the company is constantly developing new products and processes that meet the needs of its customers

Sensient Technologies Corporation is one of the leading manufacturers and developers in the colors and flavors industry. The company also produces specialty ingredients and its product portfolio includes flavors, flavor enhancers, ingredients, extracts, nutrients, technical colors, specialty colors, and specialty dyes & pigments, and much more. The company has three segments flavor & extracts group, color group, and Asia-Pacific group. The color groups operate under the trade names, sensient food colors, sensient pharmaceutical coating systems, sensient cosmetic technologies, and sensient industrial colors.

Key Companies in the Agricultural colorants market include

• Lanxess


• BASF SE


• Organic Dyes and Pigments


• Sensient Technologies Corporation


• Vivify


• Sun Chemical


• Milliken


• Arrmaz Products, Inc.


• Heubach GMBH


• Chromatech Incorporation

Agricultural colorants Industry Development

June 2022: The debut of BASF's Colours & Effects brand, which unites BASF's international pigments division, was announced. The wide range of colorants and effect pigments offered by BASF are grouped under the Colours & Effects brand. The new brand caters to clients in five important industries, including printing, coatings, plastics, cosmetics, and agriculture, and includes BASF's distinctive colorants and effect pigments portfolio.

May 2021: Clariant, a leading manufacturer and distributor of chemical specialty products across the world has launched a range of seed dyes in the Latin America region under the brand name Agrocer brand. These new pigments are in aqueous form that can aid in faster production of the seed treatment and pesticide preparations compared to their counterpart's powder.

September 2019: Clariant’s red pigment offering under the brand name Agrocery Pigment Red 112 after its launch in the US for seed treatment application has gained acceptance to market in the global locations as it was previously not approved by the EPA.

Agricultural Colorants Market Segmentation

Agricultural Colorants Type Outlook

• Dyes


• Pigments

Agricultural Colorants Category Outlook

• Organic


• Conventional

Agricultural Colorants Application Outlook

• Seed treatment


• Fertilizers


• Ponds & Lakes Colors


• Turfs & Ornamentals


• Others

Agricultural colorants Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  • Mexico
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • UK
  
  
  • France
  
  
  • Spain
  
  
  • Italy
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia and New Zealand
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • South America
  
  
  • The Middle East
  
  
  • Africa