The global tea industry has been registering tremendous growth. The overall increase in domestic consumption has been driven by demographic growth, faster urbanization and rising incomes and standard of living in the emerging and developing economies.
Persistence Market Research (PMR) expects the global market to expand at 5 percent at average between 2016 and 2024, reaching a value of USD 21.33 Billion.
The figures were presented at a public dialogue on “Global tea consumption: emerging trends and lessons from Russia”, held in Sochi, Russia.
“The public dialogue assessed major trends in tea consumption, discussed factors behind the current global tea consumption renewal before underlining major characteristics of the emerging tea consumer who is more and more conscious about the history behind the sip of tea he/she enjoys,” Jean Luc Mastaki, FAO Senior Economist and Intergovernmental Group on Tea (IGG/Tea) Secretariat Member, underlined.
“The emerging consumption trends urge the tea industry to enhance transparency, value addition, product diversification and “premiumization” while fostering environmental and social sustainability,” the FAO expert noted.
New market trends are showing consumers moving away from other drinks to tea due to a wide range of innovative value added products and an increasing perception of tea as a healthy beverage. Consumption “renewal” is also driven by the increase in use of tea bags in developing and emerging markets traditionally dominated by loose leaves. Tea consumers are willing to spend more on the teas they consume with a shift towards premium products.