Tea Concentrate Market

Global Market Study on Tea Concentrate: Flourishing Fast Food & Café Culture and Convenience Facilitating Demand Growth


Tea concentrates are extracted from tea leaves, and are more preferred by the food industry rather than households. Tea concentrate is basically a double-strength brew that dilutes with boiling water or any diluents, and serves as a ready-to-drink beverage.

There are many different flavors in which these tea concentrates are available. Flavored tea concentrates are made by blending tea leaves with other spices such as cinnamon, ginger, and berries. Growing usage in the F&B industry is leading to the expansion of the global tea concentrate market size.

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  • PepsiCo, Inc. 
  • Tata Global Beverages Ltd.
  • A. Holliday & Company Inc.
  • H&H Products Company 
  • Cooper Tea Company LLC 
  • Maya Tea Company 
  • MB-Holding GmbH & Co. KG 
  • Monin, Inc.
  • Herbalife International of America, Inc. 
  • Synergy Flavors, Inc. 
  • Amelia Bay 
  • ThirsTea Corp 
  • Island Rose Gourmet Tea 
  • The Chai Direct 
  • RFI Ingredients 

Tea Concentrate Market Trends

Growing Popularity of Fast Food Providers Favoring Demand: Fast food culture is growing across the globe, and demand from the fast food industry has a positive impact on the tea concentrate market space. All fast food restaurants provide beverages, and already offer tea beverages as a part of their menu.

This includes global fast food and beverage giants such as McDonald’s, Starbucks, and Taco Bell, among others. This growing fast food culture directly affects tea concentrate demand in a positive way.

Continuous Innovation in Tea Processing Industry Aiding Market Growth: Constant innovations in the tea market increase the demand for tea concentrate. There are a variety of innovations by tea manufacturing companies to cater to the needs of consumers.

Tea is a widely consumed beverage, and its processing produces many value-added products, which include tea bags, instant tea, tea concentrates, packet tea, flavored tea, decaffeinated tea, fortified tea, tonic tea, tea cider, tea Kombucha, iced tea, and herbal tea.

Nowadays, consumers are bold, adventurous, and curious, and want a sensorial experiences that is innovative. Tea concentrates achieve that by providing flavor fusions that they wouldn’t otherwise be able to recreate at home. Tea concentrates also provide ease of storage, transport, and versatility.

Rising Consumption of Healthy Beverages: Under the health beverages section, tea is consider as a healthy drink. There are some tea concentrates that contain herbal flavors. Green tea is one of the best drinks used by those who are concerned about their health.

Daily consumption of green is beneficial for the health and skin, as it contains antioxidants. These benefits of green tea are drive the growth of the tea concentrate market.

High Cost of Tea Concentrate Might Hamper Market Growth: Tea concentrate prices are higher than tea products, since qualitatively, they have much higher tea content.

This puts tea concentrates in a premium price point, wherein, consumers from developing/ underdeveloped countries don’t make a purchase decision based on convenience, but rather economic feasibility of the product. This factor may impede the growth of the global tea concentrate market to some extent.

tea concentrate market

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Regional Outlook of Tea Concentrate Market

Europe and North America will continue to hold a bulk of the tea concentrate market share over the coming decade. On the other hand, Asia Pacific is the single largest region with a strong affinity toward tea and tea-related beverages in general.

However, more than 3/4 of the population prefers traditional tea making practices than purchasing tea concentrate. This can be associated with cultural development, price difference, or just the ease of availability of the native form of tea in the region, since the region is also the producer of the finest tea leaves in the world.

This results in the product missing out on the largest potential consumer base due to its high prize.

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COVID-19 Impact on Tea Concentrate Market

The COVID-19 pandemic has challenged the way modern society functions, and with it, has also exposed some vulnerabilities in our global food system, which has had to rapidly adjust to the crisis. Tea concentrate is mostly used by the foodservice industry, and was flourishing on back of the rising fast food and café culture.

However, with the virus outbreak, restrictions on socializing and operations of food joints have resulted in stunted demand for tea concentrate, especially from the foodservice sector. The market will see gradual recovery with an ease in restrictions as the pandemic comes under control.

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Analysts’ Viewpoint


The global tea concentrate market is slated to experience a steady CAGR of 4% over the forecast period of 2020 to 2030. Europe, followed by North America will lead the growth path, and, as such, stakeholders can look to these regions for increased sales and profits. Also, the conventional form of tea concentrate will hold sway over the organic form through 2030.

Key Segments of Global Tea Concentrate Market

PMR’s report on the global tea concentrate market offers information divided into seven segments – nature, product type, end use, packaging, flavor, distribution channel, and region.


  • Organic
  • Conventional

Product Type

  • Black Tea
  • Green Tea
  • Fruit Tea
  • Instant Tea

End Use

  • Foodservice (HoReCa)
  • Household


  • Bulk Packaging
  • Retail Packaging
    • Glass Bottles
    • Plastic Bottles
    • Liquid Cartons


  • Regular
  • Flavored
    • Masala & Ginger
    • Fruits & Lemon
    • Vanilla & Others

Distribution Channel

  • Business to Business
  • Business to Consumer
    • Hypermarkets/Supermarkets
    • Convenience Stores
    • Discount Stores
    • Food & Drink Specialty Stores
    • Online Retail
  • North America
  • Latin America
  • Europe
  • Asia Pacific
  • MEA

Key Questions Answered in PMR’s Global Tea Concentrate Market Report

  • Which region will hold the highest market share in the global tea concentrate market during the forecast period?
  • Which region is experiencing the highest growth (CAGR)?
  • Which factors are impacting the global tea concentrate market?
  • What are the global trends impacting the tea concentrate market?
  • What strategies must emerging players adopt to capture opportunities in various regions in the tea concentrate market?
  • What is the market structure of the global tea concentrate market?

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