Oolong Tea Market Research Report - Global Forecast till 2027

Oolong Tea Market Global Research Report by Form (Loose Leaf, Powder, Tea Bag, and Others), Flavor (Flavored and Plain), Distribution Channel (Store-Based and Non-Store-Based), and Region (North America, Europe, Asia-Pacific and RoW) – Forecast till 2027

ID: MRFR/F-B & N/2554-HCR | February 2021 | Region: Global | 110 pages

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Oolong Tea Market Overview


The oolong tea market is predicted to generate USD 463.86 million by the end of the present forecast years. The growth rate as of now is approximately 4.20%, and it is subject to increase. 


Oolong tea is a semi-oxidized tea prepared with the leaves of a special plant named Camellia Sinensis. This plant is rich in nutritional benefits and is perfect to use for a functional beverage. Consumers currently prefer functional tea over the usual ones. And this change of preference is what is proving this industry's rising potential on a global scale. 


By now, the oolong tea market has reached out to a large audience, and the market is performing with utmost balance and is on a rising trail. Therefore, it is evident that the global market size for this industry in the present forecast years will surpass the predicted figures. 


COVID 19 Analysis


COVID 19 did suppress the industries and their growing efforts heavily! The oolong tea market also experienced a drawback, as the lockdown situation forced the workers and staff to hold back. As a result, the production units were shut down, and the supply rate was hampered drastically. Only after the relaxations were proposed, the industry start to operate with less manpower and restore some balance to the supply & demand ratio. 


In 2021, the supply rate was restored to full pace, and the demand to supply ratio was balanced in adequate proportion. Hence, the sales rate was also revived, which resulted in rapid generation of revenue. As a result, you can expect the market to experience a majestic boost in the forthcoming years. 


Chief variables existing in the market


Key market drivers 


Consumers across the globe are now adapting health measures on priority. It is for dealing with the pandemic health adversities and maintaining a general health balance. Therefore, they are switching to healthy beverage consumption, and the oolong tea market is offering the same to that mass audience. 


This rise in demand rate is what is forcing the market players to advance their production pace. The key players are multiplying their production facilities to improve the count of produced units and keep it balanced with the demanded units. 



  • Market challenges


Oolong tea is a functional beverage but is experiencing a down toll because of black & green tea. These products are getting hold of the market in great numbers, leaving less space for the oolong tea industry to market its products across various cities or countries. 


But the key players are promoting the efficacy of oolong tea by mentioning the benefits of both black & green tea. Therefore, there is a substantial balance witnessed in terms of overcoming this challenge. 



  • Opportunities in the global market


There are immense opportunities for the oolong tea market to thrive on a large scale. Oolong tea is liable for preventing diabetes, enhancing brain function, improving heart health, and many other health perks. And all of these are proven results, which are key factors to improve the sales rate for the industry. 


The key players within the market are planning upon introducing some new flavors to their collections. It is to ensure that the customer needs are met and the overall audience base increases. The need for flavor variations and functional beverages is also a rising opportunity for this market to boom in the present forecast period. 


To prove this claim here is a statistic that states the consumption volume of all forms of tea across the globe in 2020 was 6.3 billion kg, and it is predicted to rise to 7.4 billion kg by the end of 2025. Hence, this is a great scope for the oolong tea market to utilize the demand for functional tea. 



  • Market Restraints


The oolong tea market is also experiencing some barriers in its seamless growth. It is because of the high dependence of this industry upon the country-wise markets for imports. 


Apart from that, another restraint is that still, a huge audience is unaware of the benefits of oolong tea. And the countries that are not yet developed to full potential are somehow obstructing the growth of this market. 


Cumulative Evaluation of the Market


As of the cumulative evaluation of the market, the oolong tea market has prominent key players that are migrating their efforts to optimal levels to overcome all of the challenges and restraint factors. In accordance with that, they are also leveraging the maximum potential of the market drivers and opportunities to ensure that no chance of revenue hike is missed. This analysis states that the oolong tea market size is expected to reach the predicted figures mandatorily by the end of the present forecast years. 


Overview of the main market segments



  • By Form:


Based on the form segmentation, the oolong tea market is classified into loose-leaf, teabag, powder, and other forms. It intends that the key players have varieties under their production units to meet the specific needs of diverse consumers. 


Among these forms, the powder and tea bag form is expected to be sold highly in the present forecast years. The authentic Taste of the loose leaf oolong tea is somehow less demanding, as the fast-moving world needs everything quickly. 



  • By Flavored:


Based on the flavor segmentation, the oolong tea market is classified into flavored and plain types. The key players have understood that non-tea lovers are refraining from drinking this beverage for its Taste. Therefore, they are infusing flavors onto the tea powders and bags. 


There is a separate base of consumers that favor plain tea on priority. Therefore, the key players do not lower the production of plain tea but balance it with the production pace of flavored oolong tea. 



  • By Distribution Channels:


Based on the distribution channel segmentation, the oolong tea market is classified into two distribution channels. They are either sold at store-based channels such as convenience stores, supermarkets, hypermarkets, and others. 


In other cases, they are also sold at non-store-based channels such as e-commerce stores. The non-store-based channel is experiencing more demand with the rise of the pandemic situation. People are finding it safe to shop from home rather than heading out to stores. 


Regional Analysis


Based on the regional classification, the global Oolong tea fresh market is widely spread across various regions of the globe. The regions where the players are putting in their profitable collective efforts are North America, Europe, Asia-Pacific, and other parts of the world. All of the key players within these regions are improvising their production pace to meet consumers' ever-changing flavor and taste needs. 


Asia-Pacific is expected to dominate the global Oolong tea industry. The production and consumption rate in India, Japan & China is the highest amongst all of the other countries across the globe. As a result, Asia-Pacific is expected to contribute the highest oolong tea market share by the end of the present forecast years.  


Competitive Intensity in the industry


As per the oolong tea market outlook, here are the major key players who have contributed to the rise of this industry. The key players are:



  • ESP Tea Emporium

  • The Republic of Tea

  • Harney & Sons

  • Associated British Foods

  • The Mighty Leaf Tea Company

  • Tata Global Beverages Limited

  • Unilever

  • Hain Celestial

  • ITO EN

  • Bigelow Tea Company

  • Ceylon Organic Ltd

  • Teas and Thes Ltd

  • Arbor Teas 


Tata Global Beverages Limited is one of the top names that has contributed immense efforts and implementations to spread the chain across India and other parts of the world. The Tata Global Beverages Limited has driven the tea market in India to the top, and today no competition can share the same level as that of it. The company is continuing its efforts to contribute to the growth of this industry in the coming times as well. 


Recent Market Developments



  • As of February 7, 2020, Tata Global Beverages Ltd was renamed Tata Consumer Products Ltd for spearheading FMCG ambitions of the $112 billion Tata group. 


Report Overview


The report stands as evidence for the global market boom for the Oolong tea market industry. This report has elaborated upon the key market segmentation, the regional factors, the competitive analysis, and other such important insights to state the thriving position of this industry at a global scale. The report also narrates down the sub-segmentation factors to explain the whereabouts of this industry in terms of a specific form, flavor, and distribution channel aspects. With collective analysis, the prediction sounds insightful and accurate for a high revenue generation within the present forecast years.  


Key Industrial segments


By Form:



  • Loose Leaf

  • Powder

  • Tea Bag

  • Others


By Flavor:



  • Flavored

  • Plain


By Distribution Channel:



  • Store-based- Supermarkets & Hypermarkets, Convenience stores, others. 

  • Non-store based



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Frequently Asked Questions (FAQ) :

Oolong tea market is projected to grow at a 4.2% CAGR between 2019- 2024.

The Asia Pacific is expected to dominate the oolong tea market.

Oolong tea market is predicted to touch USD 410 million by 2024.

Regional availability and lack of awareness about the benefits of oolong tea may limit the oolong tea market growth.

Notable players profiled in the oolong tea market include Arbor Teas (US), Teas and Thes (China) Ltd (China), Ceylon Organic Ltd (Canada), Bigelow Tea Company (US), ITO EN (Japan), Hain Celestial (US), Unilever (UK), Tata Global Beverages Limited (India), The Mighty Leaf Tea Company (US), Associated British Foods (UK), Harney & Sons (US), The Republic of Tea (US), and ESP Tea Emporium (US).