We expect the massive and relatively sudden increase in natural colour interest to have an impact on not only the U.S. market but also the global natural colour market as resources are diverted to support U.S. manufacturers and brands importing to the U.S. Bottlenecks can be expected around both botanical supply and processing capacity, and Sensient’s expansion efforts in St. Louis and in other regions are designed to mitigate those challenges.
To support this growth, Sensient is implementing a “network style” global manufacturing model with core facilities across multiple continents, including St. Louis (USA) and sites in Canada, Mexico, Peru, Italy, Germany, and Turkey. This distributed network allows us to select the most efficient and cost-effective production locations for each product, while building redundancy and regional backup capacity to strengthen global supply security.
We are working closely with customers around the world to identify their needs for the next several years so we can match our agronomy and production expansion to avoid bottlenecks in supply of natural colours globally.
