The Organic Tea Market is experiencing substantial growth, with a promising CAGR of 8.0% from 2023 to 2033. In 2023, the market size was US$ 1.24 billion, but by 2033, it is projected to reach US$ 2.69 billion. The increasing consumer preference for healthy and sustainable beverages is fueling this expansion.
Because health-conscious consumers choose natural and sustainable products, the market for organic tea is rapidly expanding. The market is evolving to accommodate the rising demand for high-end, ethically produced tea products as knowledge of the potential health and environmental benefits of organic tea grows.
- Rising demand for organic products, as well as an increase in the consumption of organic beverages such as matcha, herbal tea, and organic tea. Furthermore, increased organic tea production, import, and export are driving market expansion.
- The increased health advantages provided by the antioxidants in herbal tea support digestive health, a robust immune system, and a balance of good and bad bacteria in the body. The supply chain for the organic tea market is also being improved by the new clean label packaging and tea bag boxes.
- Growing populations and worldwide health trends are driving up the use of organic black tea in India and organic and herbal tea in China, respectively. The effects of globalization on the importation of high-end tea are also booming the market for organic tea.
- The growing popularity of herbal, green, and organic tea for weight loss, and anti-cancer properties is flourishing the market growth. Moreover, the new e-commerce channels are promoting discounts and varieties of organic tea. The competitors also promote their products like this.
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Key Points
- The United States market leads the organic tea market in terms of market share in North America. The United States region held a market share of 21.3% in 2022. The growth in this region is attributed to aware citizens, higher production, and exports.
- United Kingdom’s organic tea market is another significant market in the European region. The market thrives at a CAGR of 5.9% between 2023 and 2033. The growth is attributed to the higher tea imports from India, cultural significance, and higher tea-consuming population.
- The Indian organic tea market thrives at a leading CAGR of 25.4% during the forecast period. The market’s growth is attributed to the leading tea production coupled with the presence of leading tea companies.
- Chinese organic tea market also thrives at a CAGR of 2.9% between 2023 and 2033. The growth is attributed to the large tea-consuming population.
- Based on packaging type, the tea bags segment holds the leading market share.
Competitive Landscape
The key vendors work on clean-label packaging that describes the organic benefits. Key competitors and also merge, acquire, and partner with other companies to increase their supply chain, and distribution channel.
Key Players
- Organic India
- Tata Tea Limited
- Davidson’s Organics
- Unilever
- Numi, Inc.
- Twinings
- The Hain Celestial Group, Inc.
- Bigelow Tea Company
- Yogi Tea
- Tielka
- Coca-Cola Company
- PepsiCo
- Harney & Sons Fine Teas
- Republic of Tea
- Hälssen & Lyon GmbH
- Others
Recent Market Developments
- The Republic of Tea has introduced its new organic double matcha, organic single sips, and organic dandelion super herb tea bags. In addition to these, the company has also tried its hands at the production of herbal tea like organic turmeric ginger tea bags and organic mint fields tea bags.
- Yogi tea has added innovative organic tea cakes such as chamomile lavender tea that come with exotic and fresh flavors.
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Key Segments
By Product Type:
- True Tea
- Black Tea
- Green Tea
- Oolong Tea
- Pu-erh Tea
- White Tea
- Herbal Tea
- Chamomile Herbal Tea
- Peppermint Herbal Tea
- Ginger Herbal Tea
- Lemongrass Herbal Tea
- Other Herbal Teas
By Form:
- Dried Leaf
- Powder Leaf
- Liquid
By Packaging:
- Cartons
- Cans
- Tea Bags
- Paper Pouches
- Other Packaging
By Sales Channel:
- Offline Sales Channel
- Supermarkets/Hypermarkets
- Departmental Stores
- Convenience Store
- Other Sales Channel
- Online Sales Channel
- Company Website
- E-commerce Platform
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Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 5000 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.
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