Annatto extract is extracted and refined from seed epidermis of Bixa Orellana. Annatto is an orange-red condiment and food coloring derived from the seeds of the Bixa orellana tree native to tropical regions such as Kenya, Ivory Coast, Mexico to Brazil. It is often used to impart a yellow or orange color to foods, but sometimes also for its flavor and aroma. Its scent is described as "slightly peppery with a hint of nutmeg" and flavor as "slightly nutty, sweet and peppery". The color of annatto comes from various carotenoid pigments, mainly bixin and norbixin, found in the reddish waxy coating of the seeds. The condiment is typically prepared by grinding the seeds to a powder or paste. Similar effects can be obtained by extracting some of the color and flavor principles from the seeds with hot water, oil, or lard, which are then added to the food. Annatto and its extracts are now widely used in an artisanal or industrial scale as a coloring agent in many processed food products, such as cheeses, dairy spreads, butter and margarine, custards, cakes and other baked goods, potatoes, snack foods, breakfast cereals, smoked fish, sausages, and more. In these uses, annatto is a natural alternative to synthetic food coloring compounds, but it has been linked to rare cases of food-related allergies. Annatto is of particular commercial value in the United States because the Food and Drug Administration considers colorants derived from it to be "exempt of certification". - Quoted from Wiki.
