North America Tea Market Trends, Application and Regional Forecast to 2021-2026

Bharat Book Bureau Provides the Trending Market Research Report on “North America Tea Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)” under  Food & Beverage Category. The report offers a collection of superior market research, market analysis, competitive intelligence and Market reports.

The North American tea market is projected to register a CAGR of 3.1%, during the forecast period (2021 - 2026).

The herbal tea segment is expected to pose significant growth over the coming years. The present situation in terms of the COVID-19 outbreak has paved a strong ground for herbal tea manufacturers, as consumers are actively seeking products that are good for health, natural, and act as an immunity booster in the North American region, thus driving the market further.


Consumption of tea in the North American region is not limited by seasonality but is always steady, irrespective of time. Moreover, the increase in settlement of expat population especially in Canada and the United States have gained more popularity in Canada and the United States, driving the North American tea market.

The market is witnessing steady growth, thanks to strong consumer preference in the United States, albeit Canada has been lukewarm in its response. Both countries have slashed prices, leading to an increase in sales (by volume) of tea in North America.

Canadians have become aware of the health benefits associated with tea consumption, as well as the wide variety of tea offerings, which drove the demand for tea in 2017.

Key Market Trends Healthy Hydration is Propelling the Market Growth

Tea consumption in North America is driven by consumer’s search for new non-alcoholic beverages over fruit juices and carbonated drinks. ?Consumers are developing an affinity for tea, due to its bag version, which offers enhanced convenience, thus, providing a suitable, convenient, and healthy alternative to juices and carbonates. Healthy hydration refers to the ability of tea of providing instant refreshment and mild stimulating benefits that are not considered detrimental, which is otherwise the case with coffee and other energy drinks. ?

The organoleptic versatility, associated with tea, makes it open to manufacturers to innovate alongside the healthy trends that have been resonating more prominently in the North American market. ?

The linkage between tea and its healthful properties such as organic and others remains fundamentally strong in the North American market. The tea market is propelled, due to its health-promoting profile as well as the variety of herbal variants, new pack sizes, as well as organic options in North America. ?

United States is the Largest Market Segment

The United States has been identified as the third-largest importer of tea, globally. Tea consumption in the United States has increased significantly in the past few years, and tea is now the most popular beverage in this country. In this region, the major growth opportunities include increasing health awareness among North American consumers, the introduction of new flavors, and the demand for convenience. The United States tea market recorded robust growth, in terms of value and volume in 2018, with herbal and green tea reflecting stronger demand. The market for tea is expected to grow at an impressive pace, due to continued innovation, convenience, and popularity of high-end speciality tea. In future, the growth is expected to be dependent on increasing consumer interest, as well as the marketing of tea as a healthy beverage.

Competitive Landscape
North America tea market is highly competitive, with regional and global players capturing a significant share in the market. Some of the few companies, which have emerged as the leading players are Unilever, Hain Celestial Group?, and Associated British Foods PLC?. These players have focussed on leveraging opportunities posed by emerging markets to expand their product portfolio, further expanding their market share. Companies compete on different factors, including product offerings, quality, taste, flavours, price, functionality, size, packaging, and marketing/branding activities, in order to gain a competitive advantage in the market.?

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