Green Tea Market to Reach New Heights

The green tea market is growing rapidly, driven by rising health awareness, demand for functional beverages, flavor innovations, digital retail expansion, and increasing preference for natural, sustainable, and wellness-oriented products.

Jul 30, 2025 - 15:28
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Green Tea Market to Reach New Heights

Executive Summary

According to TechSci Research, the global green tea market was valued at USD 15.85 billion in 2024 and is expected to reach USD 22.23 billion by 2030, growing at a CAGR of 5.8% during the forecast period. The market's expansion is fueled by increasing consumer inclination toward natural wellness, mindful consumption, and sustainable living. Green tea is gaining popularity beyond its health claims, being positioned as part of a holistic lifestyle that supports mental clarity, stress relief, and eco-conscious living.

Market Drivers

  1. Wellness and Mindfulness Trends: Green tea consumption is aligned with wellness rituals and mindfulness practices, particularly among working professionals, students, and wellness-conscious communities.

  2. Sustainability Preferences: Demand for ethically sourced, pesticide-free, and biodegradable green tea products is rising, reinforcing its appeal among environmentally aware consumers.

  3. Flavor Innovation: Flavored green teas with ingredients like mint, lemon, tulsi, matcha, and berry blends are attracting younger demographics and first-time consumers.

  4. Digital Retail Growth: The growing influence of online channels, including Amazon, Flipkart, Alibaba, and D2C brand platforms, is reshaping product discovery and convenience.

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Challenges

  • Regulatory Inconsistencies: Global discrepancies in organic labeling, pesticide limits, and functional ingredient approvals hinder international scalability for emerging brands.

  • Supply Chain Fragmentation: Diverse sourcing from smallholders affects traceability, standardization, and quality assurance.

  • Consumer Skepticism: Saturation of health messaging and unverifiable claims is leading to increased regulatory scrutiny and demand for transparency.

  • Time Constraints in Urban Lifestyles: Long-brewing rituals are less appealing in fast-paced environments, prompting demand for ready-to-drink (RTD) and grab-and-go formats.

What are the Health Benefits of Green Tea?

Strategic Response

  • Immersive Brand Experiences: Brands are investing in education-driven storytelling, tastings, and wellness workshops.

  • Innovative Formats: RTD beverages, subscription boxes, and functional blends featuring adaptogens and herbs are gaining traction.

  • Clear Labeling & Certification: Emphasis on transparency, verified organic certification, and quality indicators is helping build trust.

Market Segmentation

  1. By Product Type:

    • Flavored

    • Unflavored

  2. By Form:

    • Tea Bags

    • Powder

    • Loose Leaves

  3. By Distribution Channel:

    • Supermarkets/Hypermarkets

    • Convenience Stores

    • Departmental Stores

    • Online

    • Others

  4. By Region:

    • North America

    • Europe

    • Asia-Pacific

    • Latin America

    • Middle East & Africa

Regional Insights

North America, led by the United States and Canada, is projected to be the fastest-growing region in the global green tea market. Health awareness, demand for functional beverages, and cultural fusion with Asian wellness trends are fueling innovation in RTD drinks, matcha-based blends, and fortified tea offerings. The rise of online shopping and plant-based lifestyles further boosts growth.

Key Trends

  • Culinary Integration: Matcha and green tea are being infused into a wide range of foods such as smoothies, desserts, protein bars, and savory dishes.

  • Functional Infusions: Green tea products featuring added vitamins, superfoods, and adaptogens (e.g., turmeric, ashwagandha) are gaining popularity.

  • Café & QSR Adoption: Bubble teas, green tea lattes, and other fusion beverages are driving growth in cafes and quick-service restaurants.

Competitive Landscape

Major players in the global green tea market include Associated British Foods plc, The Republic of Tea Inc., Unilever plc, Tata Consumer Products Limited, The Bigelow Tea Company, East West Tea Company LLC, SHANGRI-LA TEA COMPANY INC., Numi Inc., Keurig Dr Pepper Inc., and Teavana Corporation. These companies are focusing on product innovation, regional expansion, and sustainability-driven marketing.

Future Outlook

The green tea market is poised for sustained growth as it aligns with macro trends in wellness, sustainability, and personalized nutrition. Ongoing innovation in flavoring, formats, and digital engagement will be essential for brands to remain competitive and culturally relevant.

10 Benefits of This Report

  1. Accurate market size and growth projections

  2. Insight into evolving consumer behaviors

  3. In-depth segmentation analysis

  4. Competitive landscape mapping

  5. Innovation and trend tracking

  6. Strategic investment guidance

  7. Regional growth and opportunity assessment

  8. E-commerce and retail channel insights

  9. Sustainability and regulation-focused analysis

  10. Actionable intelligence for decision makers

Contact Details

TechSci Research
420 Lexington Avenue, Suite 300,
New York, United States-10170
M: +13322586602
Website: www.techsciresearch.com

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Jolie Alexa Research Analyst
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