Annato is used as a dye in food, cheese, and clothing. Use caution when handling or you’ll end up with stained fingers or permanently splattered clothing.
The three hard to obtain ingredients in Red Recado are annato seed, Mexican oregano, and ancho chili powder. I found all three of these ingredients at my local Whole Foods. You will also be able to find them at latino grocers, most likely for a better price.