The instant tea premix market has seen considerable growth due to a variety of factors.
• The instant tea premix market has seen strong growth in recent years. It will grow from $1.6 billion in 2024 to $1.73 billion in 2025, at a CAGR of 7.8%.
This growth is driven by the demand for low-calorie beverages, increased coffee consumption trends, fluctuating prices, growing disposable incomes, and rising health awareness.
The instant tea premix market is expected to maintain its strong growth trajectory in upcoming years.
• The instant tea premix market is projected to grow to $2.31 billion by 2029 with a CAGR of 7.5%.
Growth is driven by the preference for ready-to-drink beverages, rising disposable incomes, health consciousness, and the demand for vegetarian and vegan foods. Trends include product innovation, new flavors, packaging innovation, organic and natural ingredient demand, and flavor variations.
The increasing preference for ready-to-drink (RTD) beverages is expected to drive the growth of the instant tea premix market. RTD beverages, available in convenient packaging, align with the demand for convenience, health consciousness, and quality in consumer choices. Instant tea premixes cater to this demand by offering consistent, versatile options for tea-based drinks. According to the U.S. Department of Agriculture, non-alcoholic beverage exports from the U.S. grew 20% to $13.6 million in 2022. The rising demand for health-conscious products is boosting the instant tea premix market.
The instant tea premix market covered in this report is segmented –
1) By Product type: Cardamom Tea Premix, Ginger Tea Premix, Masala Tea Premix, Lemon Tea Premix, Plain Tea Premix, Lemon Grass Tea Premix
2) By Nature: Organic Tea Premixes, Conventional Tea Premixes
3) By Form: Powder, Paste, Granules
4) By Sales channel: Hypermarket And Supermarket, Convenience Store, Drug Stores, Specialty Stores, Traditional Grocery Store, Online Stores
5) By Application: Residential, Commercial
Subsegments:
1) By Cardamom Tea Premix: Sweetened Cardamom Tea Premix, Unsweetened Cardamom Tea Premix
2) By Ginger Tea Premix: Sweetened Ginger Tea Premix, Unsweetened Ginger Tea Premix
3) By Masala Tea Premix: Spicy Masala Tea Premix, Mild Masala Tea Premix
4) By Lemon Tea Premix: Sweetened Lemon Tea Premix, Unsweetened Lemon Tea Premix
5) By Plain Tea Premix: Sweetened Plain Tea Premix, Unsweetened Plain Tea Premix
6) By Lemon Grass Tea Premix: Sweetened Lemon Grass Tea Premix, Unsweetened Lemon Grass Tea Premix
Main players in the instant tea premix market, like Tata Tea, are innovating by offering health-conscious ready-to-drink (RTD) options to cater to consumers' distinct dietary requirements and preferences. By adding essential vitamins to their healthy tea premixes, they provide additional health and nutritional advantages, without compromising on the taste of the tea. A clear illustration of this is the release of Tata Tea Gold Care in November 2023. This India-based consumer goods company enriched their instant tea premix with Ayurvedic ingredients and essential vitamins D, B12, B6 and B9. The aim of this launch was to create a tastier and more convenient method for consumers to get essential vitamins in their day-to-day life, as an alternative to just supplements.
Major companies operating in the instant tea premix market are:
• Nestlé S.A.
• Tata Consumer Products Limited
• Bigelow Tea
• Dilmah Ceylon Tea Company PLC
• Whittard of Chelsea
• Typhoo Tea Ltd.
• Yogi Tea
• Kusmi Tea
• Clipper Teas
• Society Tea
• Lipton
• Tetley
• Dammann Frères
• Mariage Frères
• Wissotzky Tea
• Tenzo Matcha
• Wagh Bakri Tea Group
• Ito En Ltd.
• TGL Co.
• Samaara Tea
North America was the largest region in the instant tea premix market in 2024. The regions covered in the instant tea premix market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.