Tea is a way of life in this subcontinent ! Indians can’t imagine a day with out their favorite cuppa. Assam region in India is also recognized as an origin of tea. In a time when my dear South Indian and Bengali tea lovers are getting ready for the new year, It’s my pleasure to bring more information on tea market in India and some projections based on an executive summary published by Euromonitor International (https://www.euromonitor.com/) on March 2019.

PROSPECTS

DEMAND FOR TEA TO INCREASE DUE TO LOWER PRICES, ON THE BACK OF THE GST

Indian tea witnessed slower growth in 2017 due to production decline of black tea driven by unfavorable weather conditions in the national. Anyway, tea overall was starting bouncing back in 2018. So it’s a good news, isn’t it ?

TEA SALES TO GROW THANKS TO TEA LOUNGE OPENINGS IN INDIA

Tea lounges have been successful in attracting millennials because of their premium / exotic offerings and wide range of teas offered. Some of the tea lounges, which include Chai Point, Teabox, Chaayos, Tpot, Chaipatty Teafe, Chai Thela, Udyan Tea, Chaisa and Chai Gram, have already made their presence in multiple cities in India.

DEMAND FOR TEA CLAIMING HEALTH BENEFITS RISES, WITH GREEN TEA SHOWING STRONG GROWTH

Tea claiming health benefits is experiencing a growth in India thanks to consumer adoption of healthier products. Many private label players have introduced tea with health benefits, providing consumers with a wide range of brands for selection.

COMPETITIVE LANDSCAPE

HINDUSTANI UNILEVER AND TATA GLOBAL BEVERAGES CONTINUE TO LEAD TEA MARKET IN INDIA, BUT REGIONAL COMPANIES REPORT FASTER GROWTH

Giants like Hindustani Unilever and Tata Global Beverages are leaders in tea market, accounting for well more than 50% of sales value in 2018. Unilever reported double-digit growth in over the year.

I hope you gained a little understanding on Indian Tea Market with above piece of information, specially if you’re a Non-Indian. Tea market is changing so fast. Younger generation love to experience more teas from all over the world. Yes, Indians do have wonderful teas coming from Darjeeling, Assam, Nilgiri etc. But there is a possibility of entering more and more Chinese and Japanese Green teas. Even Pure Ceylon Tea from their neighboring Sri Lanka.

View More Tea News + Articles: http://www.teawithnipun.com/

References

1.Executive Summary: https://www.euromonitor.com/tea-in-india/report

2.Picture Source: https://scroll.in/magazine/825692/everyones-cup-of-tea-photographs-of-chai-time-across-india