Pigments from natural sources have been obtained since long time ago, and their interest has increased due to the toxicity problems caused by those of synthetic origin. Many microorganisms including bacteria, fungi, yeast and mold are employed for the industrial production of various pigments by fermentation technology. These microbial pigments have broad area of application mainly in food industries, pharmaceutical and textile industries. Microbial pigments have numerous beneficial properties like anticancer, antiproliferative, immunosuppressive, antibiotic, biodegradability etc. Thus, the microbial pigments are looked upon for their safe use in food, pharmaceutical and textile industries will not only benefit human health but also preserve the biodiversity, as harmful chemicals released into the environment while producing synthetic colorants could be stopped.