The present invention relates to a process for the preparation of colorant with enhanced color value from commercially available pungent free chilli oleoresin by extracting the pungent free oleoresin with any one of alcoholic solvent, mixture of alcoholic solvents, mixture of alcohol-ketonic solvent or aqueous ketonic solvent, separating the oleoresin layer and the solvent layer, pooling the solvent layer obtained and separating the final oleoresin layer, and distilling the final oleoresin layer to obtain pungent free oleoresin with enhanced color value.