The Croatian striker remains down the Foxes pecking order behind the Premier League's joint-leading goalscorer Jamie Vardy as well as Shinji Okazaki and Leonardo Ulloa and is expected to be given permission to spend the remainder of the season elsewhere.
German club Hoffenheim have showed plenty of interest, as has Italian side Torino, but Ranieri failed to name the destination of 24-year-old Kramaric who joined Leicester from HNK Rijeka in January 2015.
"For me he is a fantastic player but at the moment I look more at the other three strikers. That is the problem, but for me he is an unbelievable goal scorer," he said.
"I'd like all my players happy. I know that who doesn't play is not happy, of course. If they were happy, they're mad!" said Ranieri.
"But, of course, I also have to understand what they want to do because also Kramaric has the European Championships and he needs to play."