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Green and Black Tea Consumption Statistics in India

Green and Black Tea Consumption Statistics in India

  • Green tea: Only 15% of global tea consumption.
  • Market value: $12.80 billion in 2019.
  • Increasing to $27 billion by 2032.

84% of the market is black tea!

This difference shows how regional tastes and the health advantages of green tea are influencing global and India tea preferences and consumption.

Total annual consumption of Green Tea and Other Herbal Tea in the World

The International Tea Committee (ITC) reported a 30% to 33% increase in green tea production (Source: firsdtea.com). Other estimates show that the total production of green tea in the whole world is roughly 2.1 MMT in 2021.

The world’s largest producer of green tea is China which accounts for more than 1.8 MMT which makes it the supplier of green tea that is than 85% of the total requirement of the world.

Japan exports 0.8 MMT of green tea annually, the second largest supplier after China.

The herbal tea market was $3,588 billion.

  • 2022 Market Value: USD 3,508 million
  • 2030 Projected Value: USD 4,616 million
  • CAGR (2023-2030): 3.20% (Source: databridgemarketresearch.com).

The Asia-Pacific region is big market of herbal tea! With tea production and per capita consumption on average 0.7 Kg in China, Japan, and India, they’re going to be leading the way.

It is worth noting that the two leading producers of tea in the world – China and India – consume about 85% of tea which is locally produced, thus the mentioned countries dominate the consumption of green tea in the world.

The domestic sales of green tea in China were recorded to be 1.3MMT, although it imported only about 4,300MT of green tea.

Percentage of global consumption held by green, black, oolong tea, etc.

Tea can be classified into several varieties based on the level of oxidation: It is classified into five categories namely black, green, oolong, white, and dark tea. Black tea accounts for 84% of global tea consumption (Source: teausa.com).

Global Tea Consumption stats
  • Green tea holds a 15% market share.
  • Oolong, white, and dark tea have remaining 1%.

Regional Variation in Tea Consumption

In 2022, China contributed 46% of the global polyethylene export (Source: openknowledge.fao.org). India follows next at 18%. Other big exporter are Turkey 250,021 MT, Pakistan 247,498 MT, and Russia 132,544 MT.

Global Tea Consumer

Per capita consumption reaches the highest level in Turkey and amounts to 3.16 Kg per year, while Ireland ranked second with 2.19 kg and the UK ranked third with 1.94 kg. The United States consumes around 0.51 kg.

Per Capita Tea Consumption

Research shows that regional consumers use 51 kg of soy per capita yearly. Another area, where regional differences can be observed is the variety of teas preferred by consumers(Source: steepedcontent.com).

China is the only country to grow all six major tea categories.

Kenya, Sri Lanka, and India produce 75% of black tea.

Japan must be associated with green tea. The quality and flavors of tea greatly depend on climate and a term often used in the wine industry called terroir(Source: researchgate.net).

There are various influences that can affect the characteristics of tea and the sub-regional differences of factors such as elevation, topography, and soil, may affect tea characteristics(Source: springer.com.

Black Tea Annual consumption volume, Per capita consumption, Market share in India

Black tea consumption in India is estimated at 1.2 billion kilogrammes in 2022. 

Per Capita:

India consumed 991,770 tons of black tea in 2013, aimed 1,281,006 tons of black tea in 2023. (Source: fao.org).

India produces a lot of tea, but its per capita consumption is only 0.73 kg, placing 43rd globally (Source: business-standard.com).

To achieve the targeted per capita consumption the Tea Board of India plans to launch promotional campaigns which will help in eliminating myths associated with tea consumption and make it more of a trend among the youth.

India has a 92% penetration of households owning a television set, however, a large population and a sizeable proportion of the population living in poverty means that per capita consumption remains comparatively low against global averages.

Market Share

Tea Pie Chart

Black tea is the largest segment in the Indian tea market, accounting for about 96% of total tea exports (Source: ibef.org). 

Black tea consumption grew 3.3% yearly from 2008 to 2017. (Source: expertmarketresearch.com).

80% of urban and 75% rural Indian households prefer sealed black tea.

Tea Board of India stats shows, India produced 150 million kg of black tea in 2023.

Estimated annual Tea production statistics

Black Tea Regional Variations Northern India (Assam, Darjeeling), Southern India (Nilgiri)

Assam Tea Statistics

Assam produces over 50% of India’s total tea output (Source: sita.assam.gov.in). The estimated annual average production of Assam tea is 630-700 million kg(Source: industries.assam.gov.in).

Assam Tea Production Statistics
Assam Tea Production Statistics

Assam contributed 691.91 million kg of tea in 2018 with 304.49 million kg (44.01%) from small tea growers.

Currently, the state has 783 big tea gardens and 1.18 lakh small tea gardens, which gives employment to 7.33 lakh and 3 lakh respectively.

Besides that, the Assam Orthodox tea has been protected under the Geographical Indication (GI) registry. The tea business accounts for about 5% of Assam’s GSDP and affects the state and nation’s economy.

Darjeeling Black Tea Statistics in India

Darjeeling produces less than 1% of India’s tea. The Tea Board of India predicted an annual production of Darjeeling tea at 7,010,000 kilograms in 2021, which is 0.005% of the total tea production in India which is 1,343,060,000 kilograms.

Darjeeeling Tea Production Statistics

Despite its small share, Darjeeling tea is highly prized globally for its unique floral, fruity aroma, and muscatel flavor profile(Source: teaboard.gov.in). The favorable climatic conditions of the Darjeeling region, the type of soil and the altitude that varies between 600-2000 meters above sea level make the black tea produced in this area unique.

Although the production of tea in Darjeeling is constrained by geographical factors its brand image of ‘The Champagne of Teas’ guarantees the demand for this great tea variant from India.

Nilgiri Black Tea

Production of Nilgiri tea in the year 2019 was 13.58 million kg, which was down 14.48% from 15.88 million kg in the year 2018 because of unfavorable climate. The overall tea export from India in 2021 was 197 million kg valued at US$ 718 million, up by 1.7% increase from 2020.

Nilgiri Tea Stats infographic

1,344 Million Kgs of Indian tea were projected in 2021–2022 (Source: ootymade.com). Nilgiri tea exports reached $50 million in 2020.

Tea export during January-April 2022 stood at 65 million Kg valued at US$215 million. Nilgiri constituted about 13 percent of the total tea production of 1,300 million Kg in India in 2021. In 2022, Nilgiri orthodox tea averaged ₹141/kg at auction while Nilgiri CTC averaged ₹95/kg, compared to ₹284/kg for Assam orthodox and ₹205/kg for Assam CTC(Source: stir-tea-coffee.com).

Innovations in product offerings (flavoured teas, herbal teas)

There is great potential for new flavoured and herbal tea brands in India. Global market size as of 2023 was US$ 11.1 Billion and it is projected to grow at a Compound Annual Growth Rate of 3.18% to US$ 14.7 Billion by 2032.

Popular flavored teas

  • Earl Grey
  • Masala Chai
  • Lemon Green

Popular for health benefits

  • Chamomile
  • Green Tea
  • Hibiscus

Leading Brands in the flavored and herbal tea market in India

  • Golden Tips
  • Tearaja
  • Vahdam

As this market experiences sustained growth, there are increasing opportunities to introduce new products that address the changing demands of consumers, serving as a key driver of future growth.

Consumption figures for Green Tea Vs. Black Tea: Growth Rate Comparison in India

Green Tea & Black Tea stats in India infographics
Green Tea & Black Tea stats in India infographics

90% of tea consumed in this country is black tea.

Due to understanding of its benefits, green tea consumption has increased recently.

The Tea Board of India reports that green tea production in India has increased to 20 million kgs in recent years.

Green Tea Production statistics

New Report: India Green Tea Market – Size, Trends, Share, Opportunities, Competition, Forecast, 2023 – 2024” shows a CAGR of over 14%.

Green and Black Tea Consumtion Growth Rate  in India

Speciality tea sales in India are predicted to grow 9% from 2023 to 2029.

The Indian tea market projected Annual Growth Rate (CAGR) of 4.19% between 2024 and 2033 (market size of $17,934.1 million).

Tea TypeCAGR (2023-2029)
Green Tea14.9%
Overall, Tea Market4.19%

Green Tea Types and Market Value Comparison in India

Following is some of the popular green tea types in India:

Tea Type:

  • Tulsi Green Tea.
  • Lemon Green Tea.
  • Chamomile Green Tea.
  • Cinnamon Green Tea.
  • Ginger Green Tea

Global green tea market:

  • 2020 value: USD 13.41 billion
  • 2028 projection: USD 26.16 billion
  • CAGR (2021-2028): 8.71% (Source: Linkedin.com).
  • Volumes of Tea sold in India are increasing and is estimated to touch USD 17,934.1 by 2033, growing 4.19%.

Demographic and Geographic Preferences

Age and Gender Preferences of Green Tea

Another interesting fact, the consumption of green tea is slightly higher among people whose age is below forty years old. The Tea Board of India determined that 32% of Indian tea is consumed in the North and 31% in the West (Source: researchgate.net).
The people from region of North-East consume 19% of the tea and of the South 18% only. The estimated CAGR of Indian green tea market is 7%.
The Tea Board of India has opined that India accounts for the second largest production of tea in the world, while it is the largest consumer.

Green Tea Consumption Statistics by Gender in India

 Around 70 to 80 % of tea produced in India is consumed in the country. Rising cases of diseases associated with life style in India are leading to non-milk-tea without sugar consumption.
Nearly 88% of domestic tea consumption comes from the home market (Source: omrglobal.com).

Comparing Consumption Habits of Green Tea between the Urban and Rural Areas

Green tea consumption in India has been growing, with 30% annual growth and 2% annual growth for black tea (Source: Linkedin.com).

Due to the increasing concern in health conscious customers based in urban areas who cannot afford to stick to a diet are behind this.

Where non-milk tea is drunk more than the national average or in urban areas, people know green tea’s benefits (source:thestatesman.com).

According to a poll conducted in Mumbai, green tea consumers are young literate people with conscious health practices (Researchgate.net).

On the other hand, the consumption pattern of a rural consumer is different in the following ways. From the survey conducted in North Gujarat the rural people prefer having black tea than green. It is because; the people in rural areas have less exposure to green tea than those in the urban areas.

Despite rising green tea consumption in India, black tea still dominates the market.

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