Tea extracts derived from plants such as Camellia Sinensis contain natural molecules named Catechins (polyphenols) which have antioxidant properties. The popularity of green tea extracts is increasing at a rapid pace over the last few years due to the belief of tea extracts assisting the process of weight loss and facilitating skin and hair care. Thus, several tea manufacturers have started leveraging these properties by selling tea extracts across several industrial sectors like food & beverages, cosmetics, and pharmaceuticals.
The global tea extracts market is estimated to surpass US$ 22,694.4 Mn by the end of 2028 in terms of revenue, exhibiting a CAGR of 7.6% during the forecast period (2021 to 2028).
Global General Tea Extracts Market: Key Developments:
North America region held dominant position in the global tea extracts market in 2020, accounting for 37.6% share in terms of value, followed by Europe and Asia Pacific respectively.
Figure 1. Global Tea Extracts Market Value (US$ Mn), by Region, 2020
Global General Tea Extracts Market: Drivers
Health-related issues among the millennial population have been on the rise for the past few years, owing to consumption of junk food, work-life imbalance, and hectic daily routine, which leaves no time for exercise. For instance, as per the NHANES (National Health and Nutrition Examination 2017-18 Survey), obese adults above the age of 20 years accounted for around 42.4% of the overall U.S. population.
Thus, the need for the consumption of natural or organic tea extracts is being foreseen across the globe. Moreover, a research article published by Anticancer Research in November 2018 stated that the consumption of oolong tea extracts helps in fighting against breast cancer. These extracts induce DNA cleavage and thus damage the breast cancer cells, thereby delaying their growth. As per the report by the U.S. Breastcancer Organization published on 4th February 2021, around 13% of U.S. women are prone to develop breast cancer in their lifetime. Thus, the popularity of tea extracts to prevent such diseases is expected to gain traction in the upcoming years.
|Base Year:||2020||Market Size in 2020:||US$ 13,585.2 Mn|
|Historical Data for:||2017 to 2020||Forecast Period:||2021 to2028|
|Forecast Period 2021 to 2028 CAGR:||7.6%||2028 Value Projection:||US$ 22,694.4 Mn|
AVT Natural, Archer Daniels Midland Company, Blueberry Agro, Cymbio Pharma Pvt Ltd., Harrisons Malayalam Ltd., Indena S.p.A., Martin Bauer Group, Synthite Industries Ltd., Synergy Flavors, Teawolf, and Taiyo International
|Restraints & Challenges:||
Global General Tea Extracts Market: Trends
Various types of tea extracts are widely used across the cosmetics industry. This can be attributed to the anti-inflammatory and antioxidant properties of tea extracts. Moreover, the shifting inclination towards natural and organic cosmetic products across the globe is expected to trigger the demand for tea extracts. For example, in March 2017, Amway Inc. launched its G&H lotion collection that included G&H Refresh+, a body milk & body wash gel that contains green tea extracts.
Figure 2. Global Tea Extracts Market Revenue Share (%), By Application, 2020
Key Takeaways of the Graph:
Rapid discoveries and research in food technology has opened up doors for several other alternatives to tea extracts. For instance, roots and extracts of Ginseng, an important medicinal plant widely popular across Asia, provides similar advantages as that of tea extracts. Moreover, Maca, a cruciferous vegetable found in central Peru, helps in combating fatigue and thus, can act as an alternative to tea extracts with regards to the production of energy boosting beverages. Thus, key players in this market like CWAY GROUP, a prominent food and beverage manufacturer, developed 100% caffeine-free Maca energy drink, which claims to provide many health benefits to the human body.
Key players operating in the global tea extracts market include AVT Natural, Archer Daniels Midland Company, Blueberry Agro, Cymbio Pharma Pvt Ltd., Harrisons Malayalam Ltd., Indena S.p.A., Martin Bauer Group, Synthite Industries Ltd., Synergy Flavors, Teawolf, and Taiyo International
The extracts are derived from the leaves of the Camellia sinensis plant, which is often cultivated in China, India, Korea, and Japan. They are used for several purposes, most of which are to improve the flavor and nutritive value of food and drinks. However, recent studies show that tea extracts also have some antibacterial properties, antiviral, anti-fungal, anti-bacterial, and anti-cancer activity. More importantly, tea extracts are known to have nutritional benefits, particularly the catechin polyphenols that are major ingredients of green tea.
Increasing demand for natural ingredient based beverage is driving growth of the tea extracts market. Moreover, growing popularity of ready-to-drink tea, sparkling beverages, and cold brew as key players are launching such drinks with tea extracts is again fostering growth of the market.
Moreover, increasing focus of key players to introduce innovative beverages that consist of tea extracts is again fostering growth of the market. For instance, in January 2018, Taiyo has launched a new range of tea extracts called Sunphenon, which enable manufacturers to produce tea-based products with “valuable health benefits and a full tea flavor.
Key features of the study: