Tea Global Market Report 2024

Tea is a beverage created by infusing cured leaves from the camellia sinensis (tea) plant with hot water. It is known for its potential health benefits, including immune system strengthening, anti-inflammatory properties, and potential protective effects against cancer and heart disease.

The primary categories of tea include green tea, black tea, oolong tea, fruit or herbal tea, and other varieties. Green tea is marketed as a beverage or nutritional supplement known for enhancing mental clarity, alleviating headaches and gastrointestinal issues, and promoting weight loss. Packaging options for tea encompass plastic containers, loose tea, paper boards, aluminum tins, and tea bags, with distribution channels including supermarkets, hypermarkets, specialty stores, convenience stores, online platforms, and others. Tea serves both residential and commercial purposes.

The tea market research report is one of a series of new reports from The Business Research Company that provides tea market statistics, including tea industry global market size, regional shares, competitors with tea market share, detailed tea market segments, market trends, and opportunities, and any further data you may need to thrive in the tea industry. This tea market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The tea market size has grown strongly in recent years. It will grow from $52.74 billion in 2023 to $56.12 billion in 2024 at a compound annual growth rate (CAGR) of 6.4%. The expansion observed during the historic period can be attributed to several factors, including cultural significance and tradition, the influence of health and wellness trends, the impact of globalization leading to increased access to tea varieties, rising disposable incomes, and effective marketing and branding strategies. These elements collectively contributed to the growth of the tea industry during that period.

The tea market size is expected to see strong growth in the next few years. It will grow to $70.19 billion in 2028 at a compound annual growth rate (CAGR) of 5.8%. The anticipated growth in the forecast period in the tea industry can be ascribed to several factors, including the emphasis on premiumization and specialty teas, the demand for functional and health-boosting tea varieties, a focus on sustainability and ethical sourcing practices, innovations in tea formats, and the increasing prevalence of e-commerce and direct-to-consumer channels. Major trends expected in the forecast period involve the exploration of tea-based culinary applications, improvements in tea packaging and presentation, the rise of tea subscription services, the integration of technology in tea retail experiences, and a heightened focus on cultural and regional tea exploration.

The surge in demand for herbal tea, characterized by a blend of dried herbs and spices often without caffeine, is expected to be a driving force in the tea market. Herbal tea is created by steeping leaves from various plants, offering benefits such as reduced inflammation, lower stress levels, immune system support, and more. In October 2022, Canada Statistics, a government agency in Canada, forecasted the retail value sales of fruit or herbal tea to increase from $144.1 million in 2022 to $286.1 million in 2026. This substantial growth in the demand for herbal tea contributes significantly to the overall expansion of the tea market.

The increasing awareness of the health benefits linked to tea consumption is another crucial factor shaping the growth of the tea market. Health benefits encompass the positive effects that tea consumption can have on physical and mental well-being. Tea is associated with improved cardiovascular and metabolic health, immune system enhancement, inflammation reduction, and a lowered risk of various diseases, including cancer and heart disease. Antioxidants and flavonoids present in tea contribute to these health benefits, making it a popular choice for individuals seeking to enhance their overall well-being. In September 2022, the National Institutes of Health (NIH) reported a 9-13% lower risk of death among individuals who drank at least 2 cups of tea per day compared to non-tea drinkers. The growing awareness of these health benefits further fuels the growth of the tea market.

Major companies in the tea market are actively focusing on developing new product innovations to fortify their market positions. One such innovation is the introduction of specialty iced teas, which are distinct blends of tea crafted specifically for cold serving over ice. These teas often boast a refreshing and fruity flavor profile, incorporating various ingredients such as fruits, herbs, and spices. For example, in September 2022, Honest Tea Inc., a US-based organic tea and beverages company, launched 'Just Ice Tea,' a ready-to-drink organic iced tea. The initiative behind Just Ice Tea is centered on promoting justice through Fair Trade premiums and adherence to specific environmental and working standards. The company is committed to environmental protection through organic accreditation, avoiding the use of artificial pesticides, herbicides, insecticides, and fertilizers.

Major players in the tea market are dedicated to introducing advanced tea solutions. Tata Consumer Products Limited, an India-based consumer products company, exemplified this approach by launching Tata Tea Premium Street Chais of India in March 2023. This tea range celebrates unique flavors inspired by the streets of India and is expertly crafted for the best enjoyment when prepared with milk.

In July 2022, CVC Capital Partners, a Luxembourg-based private equity and investment advisory firm, acquired Ekaterra, Unilever's tea business, for 4.5 billion euros (USD 4.8 billion). This strategic acquisition is aimed at furthering the development and growth of the tea business. Ekaterra, based in the Netherlands, is a prominent tea and beverage company.

Major companies operating in the tea market report are Nestle S.A., Unilever PLC, Associated British Foods PLC, ITO EN Ltd., Hain Celestial Group Inc., Godrej Consumer Products Limited, Tata Global Beverages Limited, Twinings of London Ltd., McLeod Russel India Limited, Tazo Tea Company, RC Bigelow Inc., DavidsTea Inc., Yorkshire Tea Ltd., Barry's Tea Limited, Traditional Medicinals LLC, Rishi Tea & Botanicals, Celestial Seasonings Inc., Harney & Sons Fine Teas, The Republic of Tea Inc., Dilmah Ceylon Tea Company PLC, Apeejay Surrendra Group Limited, Typhoo Group Limited, M.M. Ispahani Limited, The Jasmine Pearl Tea Company, Mighty Leaf Tea, The Tea Spot, Big Heart Tea Company, Taetea Group Co. Ltd., Numi Organic Tea, Teavana Corporation

Asia-Pacific was the largest region in the tea market in 2023. Europe is expected to be the fastest-growing region in the global tea market report during the forecast period. The regions covered in the tea market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the tea market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The tea market consists of sales of white tea, pu-erh tea, and yellow tea. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Tea Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses on tea market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for tea ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The tea market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include:

The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.

The impact of higher inflation in many countries and the resulting spike in interest rates.

The continued but declining impact of covid 19 on supply chains and consumption patterns.

• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.

Scope

Markets Covered:

• 1) By Type: Green Tea; Black Tea; Oolong Tea; Fruit Or Herbal Tea; Other Types
• 2) By Packaging: Plastic Containers; Loose Tea; Paper Boards; Aluminum Tins; Tea Bags
• 3) By Distribution Channel: Super Markets Or Hyper Markets; Special Stores; Convenience Stores; Online Stores; Other Distribution Channels
• 4) By Application: Residential; Commercial
• Companies Mentioned: Nestle S.A.; Unilever PLC; Associated British Foods plc; ITO EN Ltd.; Hain Celestial Group Inc.
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
• Delivery format: PDF, Word and Excel Data Dashboard.