Herbal Tea Market to Reach Valuation of USD 4,147.9 Million by 2028 - Increasing health awareness among consumers to Drive the Market Growth

From the period 2022 to 2028, the Global Herbal Tea Market is expected to reach USD 4.14 Billion in terms of revenue, growing at a Compound Annual Growth Rate (CAGR) of 4.30%.

Increased population, disposable income, and growing consumer health awareness are the major market drivers of the Herbal Tea Market. Social factors such as trends and awareness among the country's citizens have a significant impact on the demand for Herbal Tea. People are turning to Herbal Tea as a result of a shift in the trend toward healthy products and a nutrient-dense diet. Because Herbal Tea is caffeine-free, there is a high demand for it in the market right now. Manufacturers are introducing premium and exclusive blends as consumer disposable income and willingness to spend more money on a variety of products rises. They have included a variety of healthy ingredients in their tea blends to combat common health issues such as diabetes, obesity, and heart disease, among others. Rising application in the beauty and cosmetic industries is expected to drive market growth further.

Key Highlights from the Report

• On the basis of Raw material, the Herbal Tea Market is segmented into Green Tea, Black Tea, and Yellow Tea. Out of these segments, black Herbal Tea has a lower market share than green Herbal Tea, which is recognized as more nutritious and healthier for the younger generation in particular. In comparison to black Herbal Tea, green Herbal Tea offers a broader range of varieties and new product developments.

• On the basis of flavor type, the market is segmented into Chamomile, Peppermint, Lemongrass, and Ginger. Hibiscus and Fruits. Chamomile tea is predicted to be the largest segment during the forecast period 2021-2028, owing to the wide range of health advantages supplied by the product. Diabetes, hypertension, osteoporosis, inflammation, cancer, sleeplessness, and mild cold symptoms are all commonly treated with chamomile tea. The Peppermint Tea category is predicted to increase substantially during the forecast period. The widespread usage of Peppermint Tea for stomach distress, irritable bowel syndrome (IBS), and headaches is responsible for this growth.

• Asia Pacific is the fastest regional segment in terms of growth. Geographically, Asia Pacific accounted for the largest Herbal Tea Market share in 2021, and it is expected to dominate the market between 2021 and 2028, owing to rising disposable income and the presence of major Herbal Tea manufacturing companies in the region. An increase in lifestyle illnesses such as diabetes and cardiovascular disease among the population is expected to cause an increase in Herbal Tea consumption, driving the market.

Some of the key players in the Herbal Tea Market include Tielka, Mountain Rose Herbs, Tega Organic Teas, Terra teas, Aror teas, Tetley, Indigo herbs, The Indian Chai, Twinings, Organic India and others.

Market Dynamics:

Increased awareness of the benefits of Herbal Tea is expected to drive market growth

The market is expected to be driven by rising awareness of Herbal Tea's benefits in combating illnesses such as cardiovascular disease, cancer, diabetes, obesity, and others. Tea polyphenols have been found to significantly inhibit tumor cell growth and induce apoptosis, or cell death. The growing prevalence of such illnesses around the world, with heart disease and cancer being the two leading causes of death each year, is expected to drive demand for Herbal Tea even further.

An increase in the use of Herbal Tea products in the cosmetic industry is expected to boost product demand

Herbal Tea products are in high demand in the skincare industry due to the presence of antioxidants and minerals, which are known to slow skin aging and repair sun damage. Several cosmetic companies, for example, have released Green Tea face scrubs and Green Tea facial kits to treat acne, blackheads, and other skin-related issues. Herbal Tea's entry into a new sector is expected to drive demand.

With its anti-aging effects, Herbal Tea is in high demand in North America, which is both a potential and established market. With the growing demand for processed foods and ready-to-drink beverages on a global scale, new Herbal Tea brands are sprouting on a weekly basis, and the market is likely to grow at a rapid rate in the future years. Increased population, disposable income, rising consumer health awareness, and ongoing wellness trends are some of the reasons pushing the Herbal Tea Market to rise in the next years. People's awareness of the importance of consuming organic foods has increased, resulting in an increase in demand for herbs and spices.