Pigments are coloring agents used widely in different industrial sectors. There is a demand for using natural pigments rather than synthetic dyes because of the health hazards caused by synthetic dyes. Many natural pigments have different medicinal activities which can contribute to the nutritional value of the product. This study was carried forward with marine yeasts which can produce pigments. A total of 4 marine yeast isolates were recovered from the mangrove area of Sundarbans, West Bengal, India. Among them, the isolate KSB1 produced 856µg/g total concentration of carotenoid pigment and the dry mass weight was 3.56g/L. The stability of the extracted pigments was checked using temperature, pH, UV light exposure time, and different saline conditions. The pigments were characterized using HPLC and FTIR analysis. All of the extracted pigments showed good antioxidant activity in DPPH, metal chelating, and reducing power assay. The pigments were also found to have good antibacterial activity against the bacterial pathogens Staphylococcus aureus, Listeria monocytogenes, and Escherichia coli. Carotenoid pigment from KSB1 was found to have maximum activity in all the pathogens. The cytogenotoxicity using onion roots and phytotoxicity analysis indicated that the pigments were non-toxic and safe for cells. Finally, the potential marine yeast was identified using 18s rRNA sequencing and identified as Rhodotorula sp. KSB1 (Accession no. MH782232).