Specialty tea market boosted by health benefit claims

Related tags Tea Coffee Caffeine Green tea

The widely-reported health benefits of tea consumption are driving
growth in the speciality tea market, especially among older
drinkers, according to new research from Seattle-based Sage Group.

The widely-reported health benefits of tea consumption are driving growth in the speciality tea market, especially among older drinkers, according to new research from Seattle-based Sage Group.

The report, which focused on the US market, said that while there is currently a worldwide glut of lower grade commercial tea, demand is increasing for specialty teas, in particular green tea, white tea, flavoured tea and fortified functional tea products.

"Increasing numbers of the 76 million middle-age baby boomers are switching to tea as indications tying tea consumption to healthier lifestyles are clinically validated. Physicians are routinely recommending tea to patients needing coffee, soft drink and juice alternatives,"​ said Brian Keating, publisher of the report.

The report said that while the calorie-free, cardiovascular health promotion and cancer prevention qualities of tea were important, older consumers are also "fascinated" with the endless stream of global tea varieties. "For many of these two income, stressed out families, tea represents more than a commodity beverage. It is an affordable way to relax and revitalise while learning about other cultures. Millions of American households will shift to tea as their preferred daily beverage choice during the next three years,"​ Keating predicted.

Certified organic teas will enjoy a powerful sales boost later this year when new US Federal organic food regulations go into effect and consumer awareness of the entire organic food category rises, Keating added. Additional tea industry growth areas include white tea, tea as an ingredient in functional foods and cosmetics or cosmeceuticals, concentrated liquid teas and high-technology brewing equipment for food service and home usage.

The report also contains a compendium of clinical research abstracts and references on green tea.

Further details of the report can be found on the Sage website​.

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