Tea is the most popular drink in the world after water. International zones in the tea trade, which were once limited by their geographic boundaries, are now pursuing tea businesses more independently than ever before. This has helped countries such as Canada and Kenya to emerge on to the industry landscape as the most promising tea producers in the world.
According to a recent report released by Transparency Market Research, the global tea market has reached US$38.84 billion in 2013 and is expected to be valued at US$47.20 billion by the end of 2020. If the estimates hold true, the global tea market is poised to exhibit a moderate 2.8% CAGR between 2014 and 2020. China leads the global tea market, trailed by India and Kenya.
Health Benefits Linked to Tea Consumption Fuel Demand from Global Market
Globally, the consumption of tea has increased significantly, thereby making it one of the most loved beverages in the world. While the tea market’s trajectory continues to climb, much of its growth can be attributed to the health benefits that the beverage offers. Tea is rich in polyphenolic compounds, also known as tea flavonoids. Tea flavonoids have antioxidant properties and are key protective dietary components that help in reducing the risk of cancer and coronary heart diseases. The myriad health benefits offered by tea have helped manufacturers in the tea market consolidate substantial shares in the beverages markets of Europe and North America. North America consumes the bulk of green tea produced in the world, after China and Japan.
Browse Market Research Report of Tea Market:
The majority of global tea production today is split between green tea and black tea, with black tea accounting for almost 60% of total tea production and green tea accounting for 32% of the global tea market. The demand for green tea is exceptionally high in countries from the West. Hence, the green tea segment is poised to grow at an exponential rate especially in countries across North America and Europe.
Tea Market in Europe: Increasing Health Consciousness among Consumers Boosts Demand for Tea
In the last few years, European consumers have exhibited an increasing demand for natural, healthier, and authentic food products. While in earlier days of tea consumption in European countries black tea ruled the market, increasing awareness among consumers regarding the health benefits offered by green tea has catapulted the segment to the forefront of the European tea market. EU consumers majorly demand mainstream tea. However, the demand for loose, whole-leaf tea is also rising.
Browse Press Release of Tea Market:
Tea Market in North America: The U.S. Poised to Dominate Global Tea Market
The North America tea market is dominated by black tea and herbal tea in terms of value. However, green tea is emerging as the fastest growing segment in the North America tea market. The recent health and wellness trend in North America has helped the tea market flourish in the region. The increasing awareness about the presence of antioxidants, catechins, and other ingredients associated with disease prevention in tea has greatly benefited the tea market in the North America. While the share of the U.S. in the global tea market is relatively small, it is expected to continue its ascendency in the global market over the next few years.