From Biosun FFI Wiki

Paprika is a deep red, pungent powder obtained from the ground, dried pods of the sweet pepper Capsicum annum. The dried and ground red peppers are extracted with a volatile solvent, followed by the removal of the solvent. Even though about 20 carotenoids are present in Paprika extract, only two main carotenoid pigments are popularly recognized: capsanthin and capsorubin.

Paprika Oleoresin, also obtained from the Capsicum annum, is an orange-red, oil soluble extract mainly used to impart a red to orange rich color in food applications. Paprika and Paprika Oleoresin provide both color and flavor to a product, but the application is usually limited to products in which both characteristics are desirable.

The usage level for Paprika depends on hue, intensity and customer requirements. It can be used in food applications such as pizza, tomato sauces, salad dressings, soups and confectionery.