Color becomes the most sensitive part of any commodity not only for its appeal but also it enhances consumer acceptability. In addition, the color of a food substance is important to indicate its freshness and safety that are also indices of good aesthetic and sensorial values. For natural color and additives, adherence to the norms of biosafety protocol, are limited. The demand for natural source of such compounds is increasing day by day because of awareness of positive health benefit out of natural compounds. It therefore, necessitates looking into natural sources of food grade colorants and their use potentials. It is found more justified to use the term biocolorant instead of biopigment. Since pigments are mostly water insoluble with exceptions of certain pigments of biological origin. This article includes the advancements of process development and other biotechnological aspects of natural food grade colorants.