Annatto, sometimes called roucou or achiote, is a derivative of the achiote

Achiote

Achiote is a shrub or small tree from the tropical region of the Americas. The name derives from the Nahuatl word for the shrub, achiotl. It is also known as Aploppas, and its original Tupi name urucu. It is cultivated there and in Southeast Asia, where it was introduced by the Spanish in the...

 trees of tropical regions of the Americas, used to produce a yellow to orange food coloring

Food coloring

Food coloring is a substance, liquid or powder, that is added to food or drink to change its color. Food coloring is used both in commercial food production and in domestic cooking...

 and also as a flavoring. Its scent is described as "slightly peppery with a hint of nutmeg

Nutmeg

The nutmeg tree is any of several species of trees in genus Myristica. The most important commercial species is Myristica fragrans, an evergreen tree indigenous to the Banda Islands in the Moluccas of Indonesia...

" and flavor as "slightly nutty, sweet and peppery".

Annatto coloring is produced from the reddish pericarp or pulp which surrounds the seed of the achiote (Bixa orellana L.).