Global Tea Market Size, Share, Trends, COVID-19 Impact & Growth Forecast Report - Segmented By Type (Green Tea, Black Tea, Fruit/Herbal Tea And Others), Packaging (Plastic Containers, Loose Tea, Paper Boards, Aluminium Tin, Tea Bags), Distribution Channel (Supermarkets, Speciality Stores, Convenience Stores, Online Stores And Others), And Region (North America, Europe, APAC, Latin America, Middle East And Africa) – Industry Analysis (2024 To 2029)

Updated On: January, 2024
ID: 4163
Pages: 175

Global Tea Market Size (2024 to 2029)

The global tea market size was calculated to be USD 12.63 billion in 2023 and is anticipated to be worth USD 17.41 billion by 2029 from USD 13.32 billion in 2024, growing at a CAGR of 5.5% during the forecast period. The growth of the global tea market will continue during the forecast period due to increased world demand for tea.

Current Scenario of the Global Tea Market

The tea market holds significant importance worldwide as tea is one of the most popular beverages worldwide. Tea has a rich cultural heritage and can be served in various flavors and provides several health benefits. The global tea market has experienced several notable trends in the recent past. The growing demand for premium and specialty teas worldwide is one of the notable trends in the tea market currently and consumers worldwide have been increasingly accepting and preferring the unique flavors in tea. The introduction of ready-to-drink (RTD) tea products, tea pods and flavored tea concentrates are some other noteworthy trends in the global tea market. China, India, Turkey, the United Kingdom, and Japan top the list in tea consumption worldwide. During the forecast period, the tea market is anticipated to evolve further owing to the changing preferences of consumers and these preferences of consumers have also been bringing innovation, sustainability and quality in the ingredients and processes used in the making of tea.


The growing awareness among consumers about the health benefits of tea and rising demand for herbal and specialty teas are propelling the global tea market growth.

Tea has antioxidant properties that help promote heart health, digestion, and immunity. People’s understanding of the benefits that tea provides has significantly increased in recent times. The preferences of consumers have also changed recently and resulted in the increasing preference of herbal and specialty teas that are formulated with functional ingredients like herbs, spices and botanical extracts. The components like flavonoids, antioxidants, and phytochemicals available in tea help improve various functions of the human body. Increasing awareness of the benefits of drinking tea for patients suffering from combat arthritis, cardiovascular disease, and hypertension will pave the way for market growth in the years to come. Increased awareness of benefits, such as strengthening the immune system, strengthening bones and teeth, cardiovascular disease, reducing the risk of kidney stones and cancer, and controlling blood cholesterol levels, is expected to increase demand for products. Herbal and specialty teas offer health benefits such as calming effects, weight management, and immune support, and this awareness has improved considerably among consumers, resulting in increasing consumption. In the coming days, the demand for herbal and specialty teas is likely to be very high due to these reasons. On the other hand, the popularity of specialty teas, such as matcha, chai, and rooibos, is rising worldwide due to their unique taste profiles and benefits, which is also predicted to boost the tea demand and propel the tea market growth.

Along with the latest trends and flavors in, the growing number of tea-preferring consumers worldwide is contributing to the expansion of the global tea market. If the consumer's disposable income increases and you are willing to invest more money in various products, manufacturers can introduce premium and exclusive blends. They have introduced a variety of healthy ingredients into tea blends with the goal of general health conditions like obesity, diabetes, and heart disorders. Market growth is supposed to accelerate further as applications in the beauty and cosmetics industries increase. The growing popularity of organic tea is supposed to have a positive impact on the growth of the global tea market. Manufacturers improve product quality and flavor through R&D and attract more consumers. Black, green, and herbal teas are the prominent types of products for consumers around the world.

Green tea is famous for its various antioxidant properties, which is why pregnant women, health-conscious people, and the elderly increasingly consume it. Instead of soft drinks, increased acceptance of tea, especially among health-conscious consumers, is an essential factor driving market growth. Based on its low caffeine and high antioxidant content, tea is an excellent drink for consumers of all ages. Higher demand for products is assumed to foster market innovation. However, tea consumption is presumed to increase worldwide. Also, the market will strengthen during the forecast period if there are various flavors and types of tea available at reasonable prices.


Health concerns that are associated with the consumption of caffeine are primarily hampering the tea market growth.

In addition, factors such as resource limitations and climate change are negatively affecting the global tea market growth. The growing competition from alternative beverage options, weather changes that affect tea cultivation, increasing production costs for tea farmers and changing consumer preferences and trends are further impeding the tea market growth.




Market Size Available

2023 to 2029

Base Year


Forecast Period

2024 to 2029



Segments Covered

By Type, Packaging, Distribution Channel, And Region

Various Analyses Covered

Global, Regional & Country Level Analysis, Segment-Level Analysis, DROC; PESTLE Analysis. Porter’s Five Forces Analysis, Competitive Landscape; Analyst Overview of Investment Opportunities

Regions Covered

North America, Europe, APAC, Latin America, Middle East & Africa

Market Leaders Profiled

Associated British Foods Plc. Unilever Group, Tata Global Beverages, Nestle S.A., Barry's Tea Limited, Mcleod Russel India Limited, Hain Celestial Group, Inc., TaeTea, The Republic of Tea, Inc., ITO EN, Ltd.




The black tea segment held 40.8% of the worldwide market share in 2023.

The domination of the black tea segment in the global market is expected to continue during the forecast period. Black tea is a popular choice among consumers worldwide due to its rich flavor profile, versatility and widespread availability. The consumption of black tea is high in several countries including India, the UK and Russia, which is one of the major factors propelling the growth of the black tea segment. The rising popularity of specialty and premium black tea variants, such as Assam, Darjeeling and Earl Grey is further aiding the expansion of the black tea segment. China, India, and Kenya are the largest producers and exporters of block tea worldwide and stand at the forefront in addressing the increasing demand for black tea domestically and internationally.

The green tea segment is another major segment in the global tea market.

The green tea segment is also anticipated to grow at a promising CAGR during the forecast period in the worldwide market. The awareness among tea consumers regarding the health benefits of green tea, such as weight management, cardiovascular health, and immunity enhancement, has dramatically improved in recent years and resulted in the increased adoption of green tea worldwide. Currently, the population that consumes green tea on a regular basis worldwide is considerable, which is a key factor boosting the expansion of the green tea segment in the worldwide market. The rising popularity of ready-to-drink (RTD) green tea beverages is further favoring the growth of the green tea segment. China, Japan and India are the largest producers and exporters of green tea worldwide.

The fruit or herbal tea segment is predicted to register the fastest CAGR.

The rising trend of functional and wellness-oriented beverages and the introduction of exotic and innovative flavor combinations are primarily driving the growth of the herbal tea segment in the global market.


The plastic containers segment occupied 30.7% of the global market share in 2023.

The plastic containers segment is predicted to hold the leading position in the global market during the forecast period while facing stiff competition from the paperboard segment in the global market. The convenience and durability of plastic containers to store and preserve tea products is a key factor driving the growth of the segment. The lightweight nature, cost-effectiveness and ability to protect tea from moisture and light exposure are further contributing to the expansion of the plastic containers segment in the global market. Popular tea brands such as Lipton and Nestea that offer various tea products uses plastic containers as this packaging meets the consumer preferences such as on-the-go consumption and portion control. The rising adoption of recyclable and eco-friendly plastics in tea packaging is also supporting the growth of the plastic containers segment in the global market.

The paper boards segment is is predicted to be the fastest-growing segment.

Governments are encouraging the sustainable packaging practices in several countries, which is fueling the demand for paperboard packaging solutions including for tea products and driving the segmental growth. The lightweight and versatile nature of paper boards is the most suitable for various tea products including tea bags, loose leaf tea and tea sachets, which is another pivotal factor propelling the growth of the paper boards segment.


The supermarkets segment held 41.9% of the global tea market share in 2023.

The domination of the supermarkets segment in the global market is primarily attributed to the availability of a wide range of tea products under one roof in the supermarkets. The rising popularity of private label tea products in supermarkets that offers consumers affordable yet quality options is further boosting the growth rate of the supermarkets segment in the global market.

The specialty stores segment is predicted to register a promising CAGR during the forecast period in the global market.


By region, the Asia Pacific region is anticipated to be the fastest-growing region in terms of revenue. Emerging countries are seeing increasing demand for processed foods along with an increasing population, and demand for tea is expected to increase in the region. Developed countries in North America and Europe are assumed to grow significantly due to increased consumer preference for tea and the popularity of healthy beverage options. The Middle East and Africa regions are supposed to show significant growth during the outlook period due to increased demand for tea by foreigners who love tea.

North America is expected to post an average annual growth rate of 5.9% from 2019 to 2025. Products from companies such as Twinings, Numi Organic Tea, and Tata Global Beverages are likely to be readily available. Indian specialty store Teabox has released exclusive teas using only organic, all-natural ingredients that are refrigerated to preserve the freshness and odor of the products. As a result, these products are more expensive than ordinary products. The Middle East and Africa (MEA) tea market is likely to expand to the fastest CAGR of 7.3% during the forecast period. Countries like Turkey and Iran are some of the best consumers in the world. Growth is assumed to accelerate further due to rising per capita income, increased awareness of product benefits, and changing food and beverage trends.


Companies playing a major role in the global tea market include Associated British Foods Plc., Unilever Group, Tata Global Beverages, Nestle S.A., Barry's Tea Limited, Mcleod Russel India Limited, Hain Celestial Group, Inc., TaeTea, The Republic of Tea, Inc. and ITO EN, Ltd. Tata Global Beverages and ApeejaySurrendra Group produce a wide range of high-end consumer products in India and across the world.


  • Green Hills introduced herbal teas flavored with rum and honey for consumers seeking mortgage beverages. This product is alcohol-free and rich in licorice, apple, cinnamon, and star anise, giving it an alcohol-like flavor.
  • In 2019, Multipak Ltd showed impressive performance and better-shared value with the famous Luk Yu tea during the review period. The Luk Yu brand was dedicated to the owner and writer Lu Yu (spelling Luk Yu in Mandarin Chinese) during the Tang Dynasty (7th to 10th centuries) and is widely known as the first known tea sage.
  • The best player of 2019, Unilever, is increasingly focusing on the organic and specialized store strategies of the Lipton and Elephant brands. The demand for premium tea varieties will increase in the coming years, and consumers will be willing to increase spending by increasing the income available to them.


This research report on the global tea market has been segmented and sub-segmented based on type, packaging, distribution channel, and region.

By Type

  • Green Tea    
  • Black Tea    
  • Fruit/Herbal Tea

By Packaging

  • Plastic Containers  
  • Loose Tea    
  • Paper Boards
  • Aluminium Tin       
  • Tea Bags               

By Distribution Channel

  • Supermarkets        
  • Speciality Stores    
  • Convenience Stores
  • Online Stores         

By Region

  • North America
    • The United States
    • Canada
    • Rest of North America
  • Europe
    • The United Kingdom
    • Spain
    • Germany
    • Italy
    • France
    • Rest of Europe
  • The Asia Pacific
    • India
    • Japan
    • China
    • Australia
    • Singapore
    • Malaysia
    • South Korea
    • New Zealand
    • Southeast Asia
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of LATAM
  • The Middle East and Africa
    • Saudi Arabia
    • UAE
    • Lebanon
    • Jordan
    • Cyprus

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Frequently Asked Questions

1. What are the health benefits associated with drinking tea?

Tea is rich in antioxidants and other bioactive compounds linked to various health benefits, including improved heart health, weight management, enhanced cognitive function, and reduced risk of certain chronic diseases such as cancer and diabetes.

2. What are the trends driving the tea market?

Trends in the tea market include growing demand for premium and specialty teas, increasing interest in organic and sustainable tea production, innovative tea flavors and packaging, and the rise of tea-based beverages and ready-to-drink products.

3. What are the market opportunities and challenges for the tea industry?

Market opportunities for the tea industry include expanding into new markets, diversifying product offerings, catering to health-conscious consumers, and leveraging e-commerce and digital marketing channels. Challenges may include competition from other beverages, climate change impacts on tea cultivation, and supply chain disruptions.

4. What are the different ways to brew and serve tea?

Tea can be brewed using various methods, including steeping loose leaves in hot water, using tea bags, or preparing concentrated extracts. It can be served hot or cold and enjoyed with additions such as milk, sugar, lemon, or spices.

5. How is tea processed, and what factors influence its quality?

Tea processing involves several steps: withering, rolling, oxidation (for black and oolong teas), firing, and drying. Factors such as leaf quality, processing techniques, terroir, and storage conditions can influence the tea's flavor, aroma, and overall quality.

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