Tea fell to 118.99 INR/Kgs on October 4, 2025, down 37.03% from the previous day. Over the past month, Tea's price has fallen 38.10%, and is down 49.95% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Tea - values, historical data, forecasts and news - updated on October of 2025.

In 2023, Global Tea Market was valued at USD 35 billion, driven by increasing consumer awareness of health benefits associated with tea consumption. The rising demand for premium and specialty teas, such as green and herbal teas, has significantly contributed to market growth.

Learn about the factors that affect the price of tea, including the type of plant, where it's grown, the processing method, and more. Discover why some teas cost more than others and what factors could impact tea prices in the future.

The Ready To Drink (RTD) tea market will probably reach USD 40,007.5 Million by 2025. Then, it may grow even more to USD 88,802.7 Million by 2035, with a yearly growth rate of 8.3%.

Metric	Value
Market Size (2025E)	USD 40,007.5 Million
Market Value (2035F)	USD 88,802.7 Million
CAGR (2025 to 2035)	8.3%

Country-wise Insights

Country	CAGR (2025 to 2035)
USA	8.5%

Country	CAGR (2025 to 2035)
UK	8.1%

Region	CAGR (2025 to 2035)
European Union (EU)	8.2%

Country	CAGR (2025 to 2035)
Japan	8.4%

Country	CAGR (2025 to 2035)
South Korea	8.3%

Ready to Drink (RTD) Tea Market - Segmentation Outlook

Product Type	Market Share (2025)
Black Tea	42.6%

Sales Channel	Market Share (2025)
Indirect Sales	68.9%

Competitive Outlook: Ready-To-Drink (RTD) Tea Market

Company Name	Estimated Market Share (%)
The Coca-Cola Company (Honest Tea, Fuze Tea)	20-24%
Nestlé S.A. (Nestea)	16-20%
PepsiCo, Inc. (Lipton, Pure Leaf)	14-18%
AriZona Beverages USA	10-14%
Suntory Beverage & Food Limited	8-12%
Other Companies (combined)	30-40%

Tea Market was valued at $70.83 billion in 2023, and is predicted to reach $104.21 billion by 2030, with a CAGR of 5.7% from 2024 to 2030.

The global herbal tea market size reached USD 4.58 Billion in 2025. The industry is further expected to grow at a growth rate of 7.5% over the forecast period.

Semi-Annual Industry Update

Particular	Value CAGR
H1 (2024 to 2034)	7.2%
H2 (2024 to 2034)	7.5%
H1 (2025 to 2035)	7.3%
H2 (2025 to 2035)	7.6%

Country-wise Insights

Countries	CAGR (2025 to 2035)
The USA	4.4%
China	7.3%
Japan	3.3%
Germany	5.67%
Australia	4.3%

Segment-wise Analysis

Segment	Value Share (2025)
Green Herbal Tea (By Raw Material)	35%

Segment	Value Share (2025)
Herbal Tea Bags (By Packaging Type )	45%

Competitive Outlook

Company Name	Estimated Market Share (%)
Hain Celestial Group (Celestial Seasonings)	15-20%
Tata Consumer Products (Tetley Herbal Teas)	12-16%
Unilever (Pukka Herbs)	10-14%
Associated British Foods (Twinings Herbal Range)	8-12%
Organic India	7-10%
Other Players	35-45%

The global Hard Green Tea market is projected to reach a valuation of approximately USD 4.5 billion by 2033, growing at a compound annual growth rate (CAGR) of 7.8% from 2025 to 2033.

Access Market Research Intellect's Flavored Tea Market Report for insights on a market worth USD 3.5 billion in 2024, expanding to USD 5.8 billion by 2033, driven by a CAGR of 7.2%.Learn about growth opportunities, disruptive technologies, and leading market participants.

Access Market Research Intellect's Milk Green Tea Market Report for insights on a market worth USD 3.45 billion in 2024, expanding to USD 6.78 billion by 2033, driven by a CAGR of 8.23%.Learn about growth opportunities, disruptive technologies, and leading market participants.

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Tea Market Size 2025-2029

The tea market size is valued to increase USD 19.9 billion, at a CAGR of 5.5% from 2024 to 2029. Functional benefits of tea increasing its growth will drive the tea market.

Major Market Trends & Insights

APAC dominated the market and accounted for a 62% growth during the forecast period.
By Distribution Channel - Offline segment was valued at USD 44.80 billion in 2023
By Product - Black tea segment accounted for the largest market revenue share in 2023

Market Size & Forecast

Market Opportunities: USD 49.47 billion
Market Future Opportunities: USD 19.90 billion
CAGR : 5.5%
APAC: Largest market in 2023

Market Summary

The market encompasses a vast and dynamic industry, marked by continuous evolution and innovation. Core technologies and applications, such as tea processing automation and functional tea blends, are driving growth in this sector. According to recent reports, functional tea beverages account for over 50% of the market share, reflecting consumers' increasing preference for health benefits. However, challenges persist, including the negative impact of overconsumption and the need for stringent regulations. For instance, the European Union's Food Information Regulation mandates clear labeling for tea products.
In 2020, the market witnessed numerous new product launches, with companies focusing on organic and sustainable offerings to cater to growing consumer demand. Despite these challenges, the market continues to unfold, offering ample opportunities for stakeholders to capitalize on emerging trends and consumer preferences.

What will be the Size of the Tea Market during the forecast period?

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How is the Tea Market Segmented and what are the key trends of market segmentation?

The tea industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Distribution Channel

  Offline
  Online


Product

  Black tea
  Green tea
  Others


Form

  Leaf Tea
  CTC Tea
  Others


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  APAC

    China
    India
    Japan


  South America

    Brazil


  Rest of World (ROW)

By Distribution Channel Insights

The offline segment is estimated to witness significant growth during the forecast period.

The offline segment of the market holds a substantial share, with distribution and sales of functional tea products occurring through physical retail channels. Brick-and-mortar stores, supermarkets, specialty tea shops, and health food stores serve as the primary avenues for offline tea sales. Consumers prefer visiting these locations to engage in a tactile experience, interact with knowledgeable staff, and receive personalized recommendations. Currently, organic tea production represents a growing trend, with 30% of consumers expressing a preference for organic teas. Aroma compound identification is crucial for tea manufacturers to cater to this segment, as consumers seek authentic and high-quality tea experiences.

Theaflavin concentration levels, soil health indicators, and microbial community analysis are essential factors in organic tea production. Chemical composition analysis, flavor profile characterization, and disease resistance breeding are essential aspects of tea cultivation. Sustainable farming practices, integrated pest management, and fermentation process control contribute to maintaining quality and ensuring consistent product offerings. Soil nutrient management, sensory evaluation methods, and packaging material selection are crucial for tea manufacturers to meet consumer demands and maintain product freshness. Drying technology advancements, antioxidant capacity measurement, climate change adaptation, and irrigation system design are ongoing areas of innovation in the tea industry.

Byproduct value addition, soil erosion prevention, tea waste utilization, plant stress physiology, catechin analysis methods, and polyphenol content determination are essential for tea manufacturers to optimize their processes and improve yields. Harvesting and processing techniques, yield improvement strategies, and supply chain optimization are ongoing priorities for tea businesses. The market is expected to expand by 25% in the upcoming years, driven by increasing consumer awareness of tea's health benefits and the growing popularity of functional teas. The market's continuous evolution is characterized by advancements in cultivation techniques, processing technologies, and product offerings.

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The Offline segment was valued at USD 44.80 billion in 2019 and showed a gradual increase during the forecast period.

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View monthly updates and historical trends for Tea Price. Source: World Bank. Track economic data with YCharts analytics.

The size of the South America Tea Market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 2.20% during the forecast period. The tea market in South America consists of different kinds of tea, like black, green, herbal, and specialty teas, all produced from the Camellia sinensis plant. The market is growing due to a higher awareness of health and a growing desire for herbal, green, and organic teas. Big players such as Unilever and Tata Global Beverages have a strong hold on the market due to their wide range of products and powerful distribution systems. The shift towards making tea products more upscale, combined with the growing desire for iced tea among millennials, adds to the changing market environment. Innovation and increasing demand for functional beverages support the optimistic outlook of the market, despite challenges like fluctuating raw material prices. This path emphasizes tea's crucial role in South America's drink sector and its opportunity for further market expansion. Recent developments include: June 2022: Twinings London launched Twinings' new Glow+ tea, a peach-flavored white tea. This tea is rich in polyphenols, vitamin B7, and the fruit flavors of peach and aloe vera., April 2021: The Coca-Cola Company brand Honest Tea launched a new caffeinated, ready-to-drink beverage, Yerba Mate, a unique flavor mixture of coffee and tea in a bottled beverage. The product is available in flavors like Strawberry Pomegranate Matcha, Peach Mango Green Tea, and Lemon Ginger Black Tea., March 2021: Steaz Tea, a Healthy Beverage Company brand, launched Steaz Antioxidant Brew Yerba Mate, an antioxidant-infused ready-to-drink (RTD) tea. The tea is available in three different varieties: Golden Mate, Peach Please, and Mint To Be.. Key drivers for this market are: Increasing Demand for Flavored Spirits, Growing Consumption of Premium Alcoholic Beverages. Potential restraints include: Stringent Government Regulations Pertaining to Spirits. Notable trends are: Increasing Consumption of RTD tea.

The global Flower and Fruit Tea market is projected to reach a valuation of USD 8.5 billion by 2033, growing at a compound annual growth rate (CAGR) of 6.2% from 2025 to 2033.

The Ready to Drink Tea Market size is expected to reach USD 41.2 billion in 2024 growing at a CAGR of 5.7. Ready to Drink Tea Market report classified by demand analysis, segmentation, competitive positioning, growth drivers, and forecast.

Access Market Research Intellect's Fully-Fermented Tea Market Report for insights on a market worth USD 12.4 billion in 2024, expanding to USD 22.1 billion by 2033, driven by a CAGR of 8.2%.Learn about growth opportunities, disruptive technologies, and leading market participants.

Graph and download economic data for Global price of Tea, Kenyan (PTEAUSDM) from Jan 1990 to Jun 2025 about tea, Kenya, World, and price.

Access Market Research Intellect's Flowering Tea Market Report for insights on a market worth USD 400 million in 2024, expanding to USD 800 million by 2033, driven by a CAGR of 8.5%.Learn about growth opportunities, disruptive technologies, and leading market participants.

The global iced tea market is projected to reach USD 55.20 billion by 2033, exhibiting a CAGR of 4.83% during the forecast period (2025-2033). Growth is primarily attributed to the rising popularity of healthy and refreshing beverages among consumers, coupled with the increasing availability of iced tea in various flavors and packaging formats. Key market drivers include a shift towards natural and organic ingredients, innovation in product formulations to meet changing consumer preferences, and the expansion of distribution channels through both retail and online platforms. The convenience of ready-to-drink iced tea products amidst busy lifestyles and the rising disposable incomes in emerging economies further contribute to market growth. The market is segmented into product types (black, green, herbal, and others), forms (powder/premix and liquid/ready-to-drink), and distribution channels (supermarkets/hypermarkets, convenience stores, online retail stores, and other retail distribution channels). Key players include Nestle, Harris Freeman & Co, PepsiCo, Tata Consumers Products Limited, and The Coca-Cola Company, among others. Recent developments include: August 2023: Lipton brand launched 330ml cans of its classic lemon and peach flavor ice teas into the United Kingdom market with six-pack multipack variants., April 2023: Unilever Plc brand Lipton expanded its iced tea business by launching new iced tea products. The iced teas have different flavors, including lemon, peach, and lychee., April 2023: Molson Coors and Coca-Cola added a new beverage through their partnership with the launch of Peace Hard Tea. According to the company's claim, Peace Hard Tea is available in single-serve 24 oz cans in three different flavors.. Key drivers for this market are: Iced Tea as a Healthy Alternative for Daily Intake, Introduction of Innovative and Flavorful Iced Tea Options. Potential restraints include: Competiton From Substitutes. Notable trends are: Iced Tea as a Healthy Alternative for Daily Intake.

The global online tea sales market is experiencing robust growth, driven by the increasing popularity of tea as a healthy beverage and the convenience offered by e-commerce platforms. The market size in 2025 is estimated at $5 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 8% from 2025 to 2033. This expansion is fueled by several key factors: a rising health-conscious consumer base seeking natural alternatives to sugary drinks, the expanding reach of online retailers and direct-to-consumer brands, and innovative product offerings such as specialty teas, tea blends, and convenient single-serve options. The segmentation of the market reveals significant opportunities within the mixed tea category, driven by its versatility and appeal to a broad consumer base. The leisure application segment dominates, followed by the health-care and gift sectors, showcasing the diverse usage scenarios for online tea purchases. Leading brands are leveraging digital marketing strategies and building strong online communities to enhance customer engagement and drive sales. Geographical analysis indicates strong growth in North America and Asia Pacific regions, particularly driven by high internet penetration and growing disposable incomes. The market faces some constraints, such as concerns about product authenticity and tea quality online, and competition from established brick-and-mortar tea retailers. However, the overall market outlook remains positive, with significant potential for continued expansion in the forecast period. The growth in online tea sales is expected to be further propelled by the integration of technology in the tea industry, such as personalized tea recommendations based on consumer preferences and the use of augmented reality (AR) to showcase product quality and variety. The rise of subscription boxes and curated tea experiences also contributes to the expanding market. Furthermore, the increasing awareness of the health benefits associated with different types of tea, such as matcha for antioxidants and herbal teas for relaxation, further boosts demand. The competitive landscape is characterized by both large multinational corporations and smaller niche brands, leading to innovation and diversification of tea offerings. Future growth will likely depend on companies' ability to effectively leverage digital marketing, build strong brand loyalty, and address consumer concerns regarding quality and authenticity.

The Bubble Tea Market size is expected to reach USD 8.9 billion in 2023 registering a CAGR of 10.8. Bubble Tea Market report focusing on market segments, size, growth trend, demand drivers, and forecasts.