May 2025
The global green tea market size was estimated at USD 15.98 billion in 2024 and is expected to rise from USD 17.18 billion in 2025 to nearly reaching USD 32.94 billion by 2034, growing at a CAGR of 7.50% during the forecast period from 2025 to 2034. The market is attributed to the increasing demand for tea as a source of nutrients.
The green tea market deals with plant-based, healthy, and organic beverages among millennials. Green tea provides various health advantages such as detoxifying the body, maintaining body weight, reducing excess fats, and more. Tetley green tea and Lipton green tea are the most popular green teas consuming rapidly across the globe. The global market for green tea is witnessing rapid growth due to factors such as the increasing consumer focus on healthy lifestyles, increasing prevalence of lifestyle related diseases such as high blood pressure and obesity, increasing demand for healthy beverages, and growing popularity and numbers of gyms and yoga centers across the globe.
The market is expected to drive rapid growth due to its various benefits such as reducing blood pressure, support weight loss, lowering stroke risk, prevent type 2 diabetes, enhancing memory, lowers cholesterol, supporting bone health and more. Due to the high antioxidant content, green tea can reduce blood pressure. Heart stroke is one of the major causes of disability and death especially in adults and green tea can help to prevent heat stroke. Green tea may prevent and maintain type 2 diabetes and reduce insulin resistance. Green tea also can help to reduce the cholesterol level and enhance an individual’s memory. Green tea can reduce the risk of osteoporosis, and this bone can increase the risk of wrist fractures, spine, and hip. These factors are expected to drive the growth of the market during the forecast period.
Green tea has been related to various health advantages, from helping digestion to enhancing metabolism. Green tea is designed to meet specific needs such as detoxification, immunity, and stress relief. Green tea will continue to evolve into an even more powerful tool for holistic wellness, as consumers increasingly prioritize functional foods and beverages. In addition, the adoption of personalization will be a future and green tea is no exception. Based on drinker’s moods, dietary needs, and preferences, they may soon be able to customize their brews, with the rise of technology.
Furthermore, scientific advancements in green tea are also a significant opportunity in the market. The science of green tea is also developing and evolving rapidly. The future is bright for green tea lovers, from new antioxidant discoveries to understanding how green tea impacts gut health. The future of green tea is exciting and vibrant due to its rich history. The green tea market is poised to remain a beloved beverage for generations to come from sustainable practices and wellness-focused blends to bold technological innovations and flavor experiments.
There are few side effects of drinking green tea in adults. People with various caffeine sensitivities can cause symptoms such as upset stomach, nausea, irritability, anxiety, and insomnia after drinking green tea. Green tea may adversely affect liver health in rare cases, due to the consumption of high concentrations of it. It may also increase consumers' heart rate and blood pressure. These restraining factors are expected to hinder the growth of the green tea market.
Asia Pacific dominated the green tea market in 2024.
The market growth in the region is attributed to the increasing discretionary incomes, increasing consumer awareness about health benefits, increasing consumer trend towards healthy nutritional profile, and high production of green tea. In addition, the increasing preference towards clean-label, natural, and organic products is also driving the market growth in the region. Green tea is the fastest growing industry in the region. With a rich tea heritage, the region is the birthplace of tea and known for green tea consumption, particularly in countries such as Japan and China. China, India, Japan, and South Korea are dominating countries driving the market growth. People consume approximately 50% of total green tea consumption in China across the globe.
How India is Revolutionizing the Green Tea Market?
India is dominated the market share in 2024 in Asia Pacific due to the increasing consumer trend towards health and wellness, increasing awareness of the weight management benefits and antioxidants, and growing e-commerce platforms. Due to the demand from various countries, Indian tea exports hit a decade high of 255 million kg in 2024 and marked a 10% growth from 2023. Under the Indian brand, rising Kenyan tea imports, up 288%, spark concerns about blending. India sent 231.69 million kgs to the world markets, as compared to 2023. As compared to 1,374.97 million kg in 2023, India’s tea production stood at 1,382.03 million kgs in 2024.
North America Green Tea Market Trends
North America expected to grow fastest during the forecast period. The market growth in the region is driven by factors such as the increasing demand for tea among the millennials, increasing popularity of functional beverages, increasing prevalence of lifestyle-related health diseases such as cardiovascular diseases, diabetes, and obesity, and increasing awareness of health benefits. The U.S. and Canada are the fastest growing countries driving the green tea market. The U.S. is the fastest growing country in the region. About 86 million older people and adults age 20 have total cholesterol levels above 200 mg/dL in the U.S.
The flavored green tea segment dominated the green tea market share in 2024.
The segment growth in the market is attributed to the increasing desire for flavored beverages, the increasing popularity of health-improving nutritional profiles, and the increasing consumer trend toward flavored beverages. Due to the growth of novel distribution channels, the popularity of flavored teas is increasing rapidly across the globe. The consumption of flavors including floral, citrus, fruit, and novel in packaged teas enhances visibility and market share, which contributes to propelling the market growth. Over recent years, flavored green tea offers a delightful twist to traditional tea drinking and has surged in popularity.
The unflavored green tea segment is expected to grow fastest during the forecast period.
The segment growth in the market is driven by the increasing awareness towards clean-label products, increasing production of unflavored green teas. There are various benefits related to unflavored green teas such as improving skin health, promotes oral health, helping in weight management, enhances brain function, supports heart health and highly rich in antioxidants.
The green tea bags segment dominated the green tea market share in 2024.
The segment growth in the market is driven by increasingly changing busy lifestyles, increasing modern-day hectic lifestyles, the rising popularity of innovative flavors, increasing demand for clean-label products and rising technological advancements in the tea producing sector. Green tea bags are widely used across the globe due to their portability, easy storage and availability contributed to driving segment growth.
The instant green tea mixes segment is expected to grow fastest during the forecast period.
The segment growth in the green tea market is driven by the increasing availability of functional beverages, increasing demand for ready-to-drink green teas, and the increasing popularity of blends and flavors. Instant green tea mixes are enriched with antioxidants and bioactive compounds and are suitable for phenylketonurics. The raw materials used for manufacturing instant green teas are tea waste or green tea leaves. Various companies such as Goodricke are the significant companies in the instant green teas. They have extensive manufacturing and R&D facilities to manufacture and design instant teas as per consumer requirements. By the Falta Export Processing Zone, these instant teas are 100% EOU-approved.
The supermarkets and hypermarkets segment dominated the green tea market in 2024.
The segment growth in the market has contributed to factors such as the increasing adoption of advanced technologies and increasing easy shopping experience. To offer quality products to the consumers, supermarkets are emphasizing meeting new regulatory demands including quality assurance and refrigerant leaks, which further increase the demand for these distribution channels.
The online retail segment is expected to grow fastest during the forecast period.
Due to the growing e-commerce platform. The major benefits of shopping green tea online are home delivery, cost-effectiveness, quality assurance, convenience, and variety. Consumers can find the perfect teas to enjoy at work and home, by considering taste and reading reviews, which further drives the segment growth.
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