US Legislation’s Giant Strides Towards Natural Colour Conversion
The Food and Beverage Market is Going Natural
The conversation in the US market on converting from synthetic to natural colours has escalated significantly over the last months. California started the push in earnest with a ban of FD&C Red No. 3 and three other ingredients, followed by a ban of all synthetic colours in K-12 schools.
On a larger scale, on January 15th, 2025, the FDA announced their decision to revoke the authorization for the use of FD&C Red No. 3 in food and ingested drugs. All three legislative actions take effect in 2027. This announcement drew a spotlight to a building issue in the industry: the long-discussed market conversion from synthetic to natural colours.
In his role as US Health and Human Services Secretary, Robert F. Kennedy, Jr., also continues to draw attention to consumer concerns and the push toward natural with his actions and public comments. His tenure is expected to usher in a new era for ingredient lists in food and beverages.
The US Food and Drug Administration (FDA) is the responsible body for guidance on food safety and ingredient approval nationally. On April 22nd, 2025, they together with the US Department of Health and Human Services (HHS) have announced to phase out synthetic colours. They communicated several action steps including:
- Establishing a standard and timeline to phase out synthetic colours
- Work with the food industry to remove six synthetic dyes from foods by end of 2026
- Accelerate review and approval of new natural colour additives
For the full press release, please refer to: HHS, FDA to Phase Out Petroleum-Based Synthetic Dyes in Nation’s Food Supply | FDA
What does this mean for you?
The usage and application of synthetic colours in US food and beverages is fairly widespread with around 20% of US products leveraging the power of coloring, both synthetic and natural – many of them contain multiple colours. Many of our US customers have decided that now is the time to convert to natural color, Dave Gebhardt, Senior Technical Director in the US has commented recently.
Conversion from synthetic colours to natural is more complex than a quick one-to-one swap. Many factors will influence the selection of the right natural colour for each project, from processing to cost targets to shade preference to regional permissibility. Besides the development aspect, there are other factors for your business to consider and prepare to address:
Natural colour supply chain security
Storage and processing requirements for natural colours
Growing cycles and long-term supply
Implications & Recommendations for Customers Globally
Given the size of the US food and beverage market alongside the usage of colouring in the industry, the conversion from synthetic to natural colours creates a tidal wave. This surge in demand for natural colouring in the US cannot be seen in isolation. The natural colouring will replace synthetic colours and rippling effects are bound to impact the global colour market with its finite amount of natural food colour resources.
For a European customer, it can become equally crucial to have a reliable and trusted color partner throughout this US market transition. Sensient’s global supply chain is robust, but even the most prepared natural color supplier can only do so much to prepare for the expected surge in demand. Brands or manufacturers looking for a certain natural coloring short-term may find themselves in a situation where product is not available when it’s needed due to growing times and bottlenecking as the global natural color market changes.
We’re here to be your colour partner throughout this time of change:
The Important Role of Forecasting in the Natural Colour Supply Chain
We recognize the importance of supply chain security in ensuring uninterrupted operations for our customers.
Accurate forecasting plays a critical role in managing a natural colour supply chain. Unlike synthetic alternatives, natural colour raw materials are subject to agricultural variables like weather, seasonality, and regional crop yields.
With reliable forecasts, we can:
- Plan planting schedules and sourcing strategies to align with demand
- Minimize lead times and ensure product availability
- Reduce waste and manage costs effectively
By working closely with our customers on forecast accuracy, we create a more predictable and responsive supply chain that meets your needs while maintaining sustainability.
Learn more about our global sustainability efforts in our annual report.
How does Sensient Colours ensure supply chain security?
We recognize the importance of supply chain security in ensuring uninterrupted operations for our customers.
Partnership agreements like long-term contracts, custom forecasting models, and flexible stock and sourcing strategies help us provide confidence in natural colour supply.
This allows our customers to focus on their core operations, knowing we have a reliable and secure supply chain designed to support their business needs.
The Impact of Vertical Integration on Customer Experience
Sensient’s Seed-to-Shelf Agronomy program looks to expand the growing regions for natural colours, creating opportunities for multi-hemisphere growing.
Our level of vertical integration for each potential botanical is based on where we see risk and value for individual natural colours.
This vertical integration—from sourcing raw materials to producing finished natural colours—offers customers significant benefits:
- End-to-End Traceability: Customers gain confidence knowing where and how their products are made.
- Consistency and Quality Control: In-house processing ensures rigorous quality standards at every stage.
- Flexibility and Innovation: Direct control over raw materials allows us to adapt quickly to customer requirements and industry trends.
Vertical integration enhances supply reliability and enables us to partner with customers on tailored solutions for their unique challenges.
Ensuring a Stable Supply Chain for Our Customers
Stability and reliability in our supply chain is a cornerstone of our operations. We achieve this through:
Risk Management
Continuous monitoring of geopolitical, climatic, and market risks.
Strategic Sourcing
Partnering with diverse suppliers to reduce dependency on any single source.
Global Footprint
Keeping customers informed about potential disruptions and recovery plans.
Proactive Communication
Keeping customers informed about potential disruptions and recovery plans.
Ownership of Warehousing Operations
We own and operate our own warehouses which include both ambient and cold storage facilities, ensuring full control over inventory storage, handling, and shipping processes.
Global Manufacturing Network
With multiple manufacturing sites strategically located worldwide, we offer flexibility and redundancy to meet customer demands and ensure uninterrupted high-quality supply, even in the face of regional disruptions.
Our commitment is to ensure that our customers experience minimal disruptions, even in a volatile global environment.
Collaboration Between Technical and Procurement Supports Stable Supply
In addition to our strategic operational tenets, our technical team collaborates with customers to address specific challenges, from customized formulations to production-focused analytical support to guidance on storage and handling to maximize shelf life and product quality.
By combining technical expertise with supply chain strategies, we deliver integrated solutions that drive efficiency and value.
Our technical teams also work directly with our supply chain team to validate multiple sources for raw materials, giving Sensient an improved ability to respond to short-notice requests. The global nature of our product development and manufacturing capabilities allows us to have redundant capacity as well as shorter lead times, where appropriate, through cross-region collaboration and technology transfer.
Through collaborative technical development with our customers, our colour experts are often able to not just match an existing solution, but to look for improved performance or reduced cost. Unparalleled access to technologies and manufacturing capabilities like drying, blending, emulsions, and particle size control enable improved usage rates or enhanced stability in a variety of processing conditions.
Let’s Unleash the Rainbow—Together
We understand that customer success is our success. Amidst a tumultuous regulatory environment and pressing consumer demands, Sensient is ready to help you unleash the power of colour however best fits your needs.
