Organic Tea Market

Organic Tea Market

The Organic Tea Market Size was at $905.40 million in 2021, and is estimated to reach $2.4 billion by 2031, growing at a CAGR of 10.5% from 2022 to 2031.

The expansion of the global organic tea market is fueled by the benefits of organic tea for health, such as weight loss and maintenance, high nutritional content, detoxification”
— Allied Market Research

WILMINGTON, DELAWARE, UNITED STATES, April 18, 2024 / -- One of the most consumed drinks, organic tea is typically produced by boiling or brewing dried Camellia sinensis plant leaves. Black tea, which is popular in western countries and organic green tea, which is popular in Asian nations, are the two main varieties of organic tea. A permanent source of water, enough shelter, free-draining soil with a pH range of 5 to 5.8, strict limits for the number of pesticides put on plantations, and careful site selection are all part of organic tea care and husbandry management. Commercial consumption of organic tea is now rising to close the gap between out-of-home tea and coffee consumption. The two largest producers of tea are China and India, which are also big players on the international market.

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The cost of the raw materials directly relates to the product's worth. The cost of raw materials and commodities has a significant impact on the food and beverage industry. Companies remove a barrier called price volatility by increasing costs of final products. The price of organic tea is increasing as a result of rising labor expenses and varying raw material availability. The production of organic tea requires a lot of labor, and as plantations get older, crop yield and tea quality deteriorate. The production of organic tea is currently hampered by plant aging, depleted soil, and an increase in insect diseases. The result of this was an increase in the price of tea offered by various players. It is anticipated that this trend will continue during the forecast period as well.

The global organic tea market is analyzed on the basis of type, packaging, distribution channel, and region. On the basis of type, the market is divided into green tea, black tea, oolong tea, and others. Among these, the green tea segment occupied the major Organic Tea Market Share in 2021 and is projected to maintain its dominance during the forecast period. Organic green tea contains polyphenols, which can compose as much as 30% of the dry weight and include flavanols, flavonols, flavonoids, and phenolic acids. The majority of green tea polyphenols (GTPs) in the organic form are flavonols, also referred to as catechins. Green tea use reduces the risk of developing diabetes, cardiovascular diseases, and malignant growth.

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On the basis of packaging, the Organic Tea Market Analysis is divided into plastic containers, aluminum tins, paper boards, and others. The plastic containers segment of Organic Tea Market Growth is expected to grow at a moderate rate during the forecast period. Plastic containers are commonly available for tea storage and are a popular choice. Consumers frequently purchase tea in plastic containers because they come in a range of forms and sizes.

On the basis of distribution channel, it is classified into supermarkets/hypermarkets, convenience stores, and online stores. The convenience stores segment is anticipated to expand at the highest CAGR during the forecast period. Convenience stores are types of retail establishments that offer a moderate selection of food, drinks, and everyday things like tea. In residential areas, there are conveniently located convenience stores that are open for extended hours.

The region that dominated the global organic tea market in 2021 was Asia-Pacific, and this dominance is anticipated to continue throughout the forecast period. Health-related products are becoming more popular among consumers in China, India, Indonesia, and Japan. Compared to regular tea, organic tea is seen as being healthier. Herbal and green tea are becoming more and more popular as ways to enhance one's health and appearance.

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According to Organic Tea Market Trends by AMR exporters in both developed and developing nations faced a number of difficulties as a result of the COVID-19 pandemic. The implementation of lockdown and curfew procedures on a global scale had an impact on both domestic and foreign manufacture of organic tea, which in turn hindered market expansion. Thus, the COVID-19 pandemic had a negative influence on the Organic Tea Market Demand in 2020 as a result of decreased company sales and operations being suspended.

The major players analyzed for global organic tea industry are Tata Consumer Products, Unilever, Associated British Foods PLC, Vadham Teas Private Ltd., Celestial Seasonings, Bombay Burmah Trading Corp. Ltd., Stash Tea Company, R.C. Bigelow, Inc., Barrys Tea, Hain Celestial Group, Inc., ITO EN, Ltd., Numi, Inc., Organic Tea, Hlssen & Lyon GmbH, Tazo Tea Company, Newman's Own, Inc., PepsiCo, The Coca-Cola Company, Shangri-La Tea Company, Inc., and Yogi Tea GmbH.

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By type, the green tea segment was the highest revenue contributor to the market, with $392.4 million in 2021, and is estimated to reach $1,072.0 million by 2031, with a CAGR of 10.7%.
By packaging, the plastic containers segment was the highest revenue contributor to the market, with $307.4 million in 2021, and is estimated to reach $872.7 million by 2031, with a CAGR of 11.2%.
Depending on distribution channel, the convenience stores segment was the highest revenue contributor to the market, with $423.6 million in 2021, and is estimated to reach $1,148.6 million by 2031, with a CAGR of 10.7%.
Region wise, Asia-Pacific was the highest revenue contributor, accounting for $502.9 million in 2021, and is estimated to reach $1,315.4 million by 2031, with a CAGR of 10.3%.

David Correa
Allied Market Research
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