About Chr.Hansen Color types Global color trends & Regulation Colouring Foodstuff Products with different claims Founded in 1874 in Copenhagen by Danish pharmacist Christian D.A. Hansen Customers in appx. 140 countries Production facilities on five continents 2012/13 turnover EUR 738 million Organic growth 7-9% annually 2,500 employees ~7% of turnover is spent on R&D 14% of employees work in R&D

1. Added value through natural colors
Yagiz Sesyilmaz,Chr.Hansen
Technical Sales Manager, Colors Middle East&Africa

2. Agenda
2
About Chr.Hansen
Color types
Global color trends & Regulation
Colouring Foodstuff
Products with different claims

3. Global company, local support
Founded in 1874 in Copenhagen by Danish pharmacist Christian D.A. Hansen
Customers in appx. 140 countries
Production facilities on five continents
2012/13 turnover EUR 738 million
Organic growth 7-9% annually
2,500 employees
~7% of turnover is spent on R&D
14% of employees work in R&D
3
Subsidiaries and representative offices in 30 countries

4. Nature’s no.1
Grow the business of today – create the solutions for tomorrow
Everyday more than 500 million people worldwide consume a product with a Chr. Hansen ingredient.
We wish to meet their demand for tasty, healthy, natural, safe and affordable food and nutrition.
We are in a unique position to meet customer and consumer needs through natural means.
We are …
4

5. Color types
Concentrates
Juices, extracts and coloring food ingredients (e-number
free)
Natural colors
Extracted from biological sources mainly plant-derived, but
also from fungi, algae and insects
Nature-identical colors
Colors found in nature, but produced ‘chemically’
Synthetic colors
Not found in nature – made ‘chemically’
Inorganic colors
E.g. TiO2, gold, silver

6. Global Color Trends&Regulation

7. Three strong growth drivers for natural colors - Regulation,
consumer trends and labelling
Key growth drivers in natural colors
Regulation
Consumer
health
concerns
Labelling
trends
 Warning label on Southampton six colors in EU from
July 2010 – latest adopted by Russia
 FDA did a public hearing including vote on labelling
(March 2011)
 Trend towards fewer and more natural
ingredients and away from artificial additives
 A focus on sustainable and renewable sources
 EU: Push towards clean labelling — no E-numbers
 Additive regulation in US
Implication
for natural colors market
Introduction 7 to Chr. Hansen Natural colors Division

8. Push for natural products from everywhere
“Unacceptable ingredients for food
• Artificial colors”
“…none of our Tesco brands
contain any hydrogenated fat,
artificial colours or flavours”
“…ALL ALDI food grocery items now
free of artificial food colours”
(ALDI Australia)
“F.D.A. Panel to consider warnings
for artificial food colorings“
“EU Plans warning labels on
artificial colors”
“Proibido uso de corantes em
bebidas alcoolicas”
“88% who responded said that,
yes, artificial colors should be
banned in the USA”
“Top 9 scary food additives:
Red#3 (Erythrosine), Red #40
(Allura Red), Yellow #5 (Tartrazine)
and Yellow #6 (Sunset Yellow)”
“Which big brands are color free?”

9. Manufacturers listen to consumers and retailers and
convert to natural colors
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Consciously or
unconsciously, Consumers
react positively to natural
and vibrant brands… “
…Retailers want brands
that contribute to higher
store traffic and a better
public image for them…
…so many manufacturers
have already taken the leap
and moved brands to
natural colors
Are you part of “the new normal”?

10. Media attention: Colors easily makes the news
Blogger – Nicole Avery website Blogger Blogger - on TV
book release
Seeing Red - Newspaper 2009 Seeing Red – on TV Oct 2011
TV – CNN USA - 2014
2013
Nov.2013 -
Newspaper
So here are the ones to watch out for: Tartrazine (E102), ponceau 4R
(E124), sunset yellow (E110), carmoisine (E122), quinoline yellow (E104),
and allura red AC (E129) (these are all colourings) and sodium benzoate,
a preservative.
These have all been associated with some sort of medical risk, including
hyperactivity, hives or a skin rash, mood swings, asthma, allergic
reactions, and intolerance

11. COLOURING FOODSTUFF
CLEAN LABEL

12. Colouring foodstuff
is a range of
products processed from fruits
and vegetables.
It covers a full range of
shades that may be labeled as
food ingredients.
28/05/2013 Distributor Training 2013

13. Do you need Colouring foodstuff ?
Need for
innovation
Dairy producers are
challenged by
retailers and
consumers to add
value to their
products
September 29, 2014
Search for
differentiation
Dairy producers
request
rawmaterials
that differentiate
their product and is
perceived by
consumers to add
value
Demand for
FruitMax®
E-number free
labelling is how
manufacturers add
value in a
commodity market

14. Communication: Create your own color universe
…a Natural Color claim on the front
…can be backed up with consumer language on the back side
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French market – Ice Cream

15. Black carrot
15
Aronia extract Grape juice Violet carrot
Paprika
extract
Safflower
Orange carrot
Violet
Colouring foodstuff
Red range
Orange
Yellow
Redbeet Violet
Redbeet
28/05/2013 Distributor Training 2013

16. Commercial risk vs Benefit
Steve Tolliday
100
90
80
70
60
50
40
30
20
10
0
Commercial Risk
Benefit
AZO
colors
non-AZO
colors
Source: Illustrative graphic by Chr. Hansen
non-artificial
colors
F&V Juice
colors
HIGH
commercial
risk
LOW
commercial
risk
Coloring
foodstuffs,
Fruit juices

17. ”No artificial colors” claim
Brand Nestlé Paturages Yo-Plait Go-Gurt Dan-o-nino
Company Nestlé Intermarché National Foods
Limited
Dannon
Country Ireland France Australia USA
28/05/2013 Distributor Training 2013

18. Fortification
From Vitamins /Minerals to Antioxidants/Polyphenols?
Brand Danonino Calin Densia Danonino Yoplus Namyang Genesis
Today
Company Danone Yoplait Danone Danone Yoplait Namyang Genesis
Today
Country Canada France Hungary Argentina USA South
Korea
USA
Claim Children
Functional
Fortified
Functional
Fortified Functional
Fortified
Children
Functional
Fortified
Functional Fortified
28/05/2013 Distributor Training 2013

19. Coloring Foodstuff in Germany
Brand Desira Landliebe A&P Ehrmann Dr. Oetker Müller
Company OBM Landliebe Kaiser’s
Tengelmann
Ehrmann Dr. Oetker Molkerei
Alois Müller
Flavor Strawberrry Cherry Blueberry Pomegranat
e-Cranberry
Cranberry &
Pear
Raspberry
Ingredient Beet root,
black carrot
Beet root Red beet,
grape,
carrot,
aronia
Carrot Carrot Carrot
28/05/2013 Distributor Training 2013

20. Find & follow
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www.chr-hansen.com
www.chr-hansen.com/youtube
www.chr-hansen.com/linkedin
www.chr-hansen.com/twitter