TEA EXTRACTS MARKET ANALYSIS

Market Challenges And Opportunities

Drivers

• Increasing awareness about health benefits of tea extracts

Health-related issues among the millennial population have been on the rise for the past few years, owing to consumption of junk food, work-life imbalance, and hectic daily routine, which leaves no time for exercise.

Thus, the need for the consumption of natural or organic tea extracts is being foreseen across the globe. Moreover, a research article published by National Institute of health in 2021, indicated that the ingestion of tea extracts assists in fighting against breast cancer. These extracts cause DNA breakage, which damages breast cancer cells and slows their proliferation. As per the report by the U.S. Breast cancer Organization published on February 4, 2021, around 13% of women in the U.S. are prone to develop breast cancer in their lifetime. Thus, the popularity of tea extracts to prevent such diseases is expected to gain traction in the coming years.

• Lifestyle changes and increased demand

An increasing working population, rising demand for ready-to-use goods, and expanding retail marketplaces are some of the factors predicted to drive the market growth over the forecast period. The rising popularity of tea as a natural element in personal care products is projected to fuel expansion in the worldwide tea extract market. Growing disposable income, increasing spending on food and beverages, and expanding consumer awareness about the benefits of healthy lifestyles are also projected to fuel the global tea extracts market expansion.

Market Restraint

• Increasing number of substitute products

Rapid discoveries and research in food technology have opened up doors for several other alternatives to tea extracts. For instance, roots and extracts of Ginseng, an important medicinal plant widely popular across Asia, provides similar advantages as that of tea extracts. Moreover, Maca, a cruciferous vegetable found in Central Peru, helps in combating fatigue, and thus can act as an alternative to tea extracts with regards to the production of energy boosting beverages. Thus, the key players in this market including CWAY GROUP, a prominent food and beverage manufacturer, developed 100% caffeine-free Maca energy drink, which claims to provide many health benefits for the human body.