2. The special edible pigment for red velvet is monascus powder, which is a natural pigment extracted from plant beetroot. Beet root is also one of the raw materials for sugar production. Because it contains lycopene, the root bark and meat are purple. Red velvet is extracted from cocoa and tastes like cocoa. Generally, good red velvet will choose cocoa beans from Ivory Coast, Africa. Red velvet will also smell of milk. Good red velvet powder will use full-fat milk powder, generally using non-milk powder.