Thailand ranks 7th among world tea producers
Data compiled on the global tea market in 2022 reveal that worldwide tea production is valued at over US$17 billion annually, while the global tea trade is valued at US$9.5 billion, with the main revenue coming from tea exports.
It’s a market that’s expanding at 6-7% annually, and by 2025, the culture of consuming tea is projected to increase by 5%, for a total of 7.4 million kilograms of tea, says Asst Prof Dr Piyaporn Chueamchaitrakun, head of the Tea and Coffee Institute at Mae Fah Luang University in Chiang Rai.
The top eight tea-producing nations in 2022 are as follows:
1. China, which is the largest tea exporter, with a value of US$99.8 billion (3.4 trillion baht), 2. India, with a value of US$15.7 billion (540.27 billion baht)
3. Japan, with a value of US$14.5 billion (498.98 billion baht)
4. The US, with a value of US$13.4 billion (461.13 billion baht)
5. Brazil, with a value of US$11.8 billion (406.07 billion baht)
6. Turkey, which has the highest tea consumer proportion, with a value of US$11.8 billion (406.07 billion baht)
7. Thailand, with a value of US$5.7 billion (196.15 billion baht)
8. Indonesia, with a value of US$4.2 billion (144.53 billion baht)
Global tea consumption rate has increased by 2.5% per person annually over the last 10 years. The 10 tea trends from 2021 to 2023 are:
1. Premium tea 2. Health tea, 3. Online shopping for tea, 4. Capsules tea, 5. Eco-friendly packaging, 6. Cold brews, 7. Coffee drinkers switching to tea, 8. Quality and selection, 9. Sample packs and 10. Shopping locally.
The five strongest tea product segments in 2023 are expected to comprise mainly herbal and fruit teas, including Kombucha, which aids digestion and balances the gut, Moringa tea, which helps treat diabetes and maintain blood sugar levels, Pu-erh tea, which detoxifies the intestines, Honeybush tea with healthy minerals, and Sparkling tea, a refreshing beverage popular among younger consumers.
Thailand does not have significantly high domestic consumption of tea despite its 7th place ranking as a tea supplier, but the ready-to-drink tea market in Thailand is nonetheless flourishing, accounting for 6.4% of the non-alcoholic beverage market, valued at over 10 billion baht as of mid-2023, 11.28 billion baht in 2021, and 10.86 billion baht in 2020. Regular tea tops the charts in the ready-to-drink rankings at 58%, mixed fruit tea with coconut jelly comes in second at 13%, followed by herbal tea (9%), sparkling tea (6%), premium tea (6%), cold-brewed tea (3%) and others 5%.
Health beverages are becoming increasingly popular as consumers seek low-sugar drinks, including the consumption of organic teas and coffees.
