Ready-to-Drink Tea Market Is Predicted To Witness A CAGR of 7.9% in Terms of Revenue By 2032

The Ready-to-drink (RTD) Tea market is expected to reach a value of US$ 33.0 Bn in 2022. As per Future Market Insights (FMI), the overall market value is expected to reach US$ 70.5 Bn by 2032, rising at a CAGR of 7.9% for 2022-32.

Botanical flavors, which are said to offer health benefits and are labeled clearly, are predicted to do well in the RTD tea market. Spices, especially ginger, are increasing in popularity around the world and consumption of flavored RTD tea is fueling the demand in the market.

While hot herbal teas have a long history of highlighting their natural health benefits, RTD teas are becoming increasingly popular. Botanical elements can be tailored to fit a variety of health and wellbeing requirements.

Tea drinkers like it for a variety of reasons, including stress alleviation, digestive health, energy increase, and immunity-boosting. Hence, growing need for a strong immune system has been stressed by COVID-19, pushing the sales.

Due to bans in many regions, many botanical teas are unable to make unambiguous claims regarding the supposed functionality of their constituents. Botanical components (such as herbs and spices) are believed to have medicinal effects by majority of consumers, especially across Europe.

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Key Takeaways:

  • In terms of product type, herbal and green tea segments are expected to register highest growth during the forecast period.
  • Based on category, flavoured ready-to-drink tea segment will account for lion’s share in the global market.
  • North America is projected to dominate the global RTD tea market, holding more than 35% of the market share, followed by Europe.
  •  The U.S., the U.K., and China are estimated to be the most lucrative countries in the global RTD tea market, holding a significant market share of more than 30%, collectively.

 Therapeutic effects of tea over carbonated and soft beverages, as well as the convenience of RTD tea over regular tea, are boosting the market. To cater on this trend, key players are offering different ingredient such as mixing components and offering new flavors” – analyst at FMI.

Who is winning?

Some of the leading companies offering RTD Tea are Coca-Cola, JBD Group, Ting Hsin, Unilever, Amul, Uni-President, Arizona, Argo Tea, Britvic Soft Drinks, Dr Pepper Snapple, Asahi, Haelssen & Lyon, F&N Foods, Hangzhou Wahaha, Ito En, Kirin Beverage, HeySong, Marley’s Mellow Mood, Nongfu Spring, Malaysia Dairy, Pokka Sapporo Food and Beverage, PepsiCo, Suntory, Sweet Leaf Tea, Tai Sun, Tan Hiep Phat, Trade Winds, Vitalon, Xing Tea and Others.

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Get Valuable Insights into RTD Tea market 

Future Market Insights, in its new offering, provides an unbiased analysis of the RTD Tea market presenting historical demand data (2017-2021) and forecast statistics for the period from 2022-2032.

Market Segments Covered in Ready To Drink (RTD) Tea Market

Product Types:

  • Herbal
  • Black tea
  • Green tea
  • Others

Sales Channel:

  • Direct Sales
  • Indirect Sales


  • America
  • Europe
  • Japan
  • Asia (India, China, Japan)
  • Vietnam

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Future Market Insights (ESOMAR certified market research organization and a member of Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favor the market growth in various segments on the basis of Source, Application, Sales Channel and End Use over the next 10-years.


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