Asia-Pacific Organic Tea Market

APAC Organic Tea Market Analysis

The Asia-Pacific Organic Tea Market is expected to register a CAGR of 5.6% during the forecast period.

• Associated health benefits of organic teas with features such as no chemical interaction while production, no artificial flavors, or harmful additives, are few factors driving the demand for organic teas in the region.
• Growing prevalence of premiumization in the industry has been further boosting the value sale of the market studied. Manufacturers are opting this strategy to primarily cater the targeted consumers, looking for exceptional taste profiles and luxury experience of a regular beverage. As a result, companies are coming up with exotic flavor blends featuring lavender, hibiscus, ginger, sage rooibos, etc. to gain greater consumer attention.

APAC Organic Tea Market Trends

Green Tea to Foster Market Growth

Asia-Pacific has been witnessing a significant surge in demand for green tea, owing to its perceived health benefits. Further, driven by the consumer demand to have authentic and a purer version of tea with minimal chemical exposure during production, is boosting the demand for organic green tea in the region. Moreover, countries like China, Japan and India having strong foothold in the production of green tea, in the global market, remained the most lucrative market for organic green tea. There are many tea brands mushrooming with organic tea offering. For instance, Typhoo, the British packaged tea brand now owned the by Indian company Apeejay Surrendra group, is seeking its fortune in a set of non-tea infusions, including organic herbal tea mixes.

Online Retailers Emerged as the Fastest Growing Channel

Online retailing of organic tea products is the current profound channel for tea manufacturers, when it comes to distribution and marketing. The companies are inclining toward online stores to get better access to consumers having lack of physical outlets in remote areas. Moreover, many new startups and entrepreneurs are rather choosing this point of sale to launch their products, due to the less capital investment required and high consumer base covered. Nonetheless, with the premiumization penetrating in the industry, companies such as Bagan are majorly opting online retailing as desired channel to market their products.

APAC Organic Tea Industry Overview

Asia-Pacific Organic Tea market is consolidated with the presence of key players such as Unilever and Tata Group. Over the past few years, expanding one's market presence in emerging economies has been a key strategy behind the major companies' growth. With growing income levels and an increasing level of knowledge regarding the consumption of healthy food in developed economies, companies are focusing on offering products with healthier claims such as organic, clean label, etc.

APAC Organic Tea Market Leaders