Herbal Tea Market - Global Forecast 2025-2032

The herbal tea market is undergoing strategic change as companies prioritize actionable market intelligence to stay ahead of wellness trends and regulatory shifts. For senior leadership, focused research delivers the insights needed to respond promptly to emerging beverage preferences and operational complexities.

Market Snapshot: Herbal Tea Market Size and Growth

In 2024, the global herbal tea market reached a valuation of USD 2.68 billion, with projections for growth to USD 2.90 billion by 2025 at a compound annual growth rate (CAGR) of 8.66%. This performance is driven by ongoing innovation in health-oriented beverages as well as increased demand for ingredient transparency. Industry leaders are evolving their product portfolios and communication strategies, while refining distribution to adapt to emerging patterns in consumer behavior. Efficient and compliance-focused supply chains are critical to maintaining competitive momentum in this dynamic sector.

Scope & Segmentation of the Herbal Tea Industry

• Product Types: Herbal infusions including butterfly pea flower, chamomile, hibiscus, ginger, tulsi, and rose hip, positioned to meet diverse wellness goals and appeal to varied regional preferences.
• Ingredient Forms: Offers concentrates, dried leaves, roots, flowers, seeds, barks, berries, fruits, and powders for flexible formulations and expanded uses across food and beverage categories.
• Packaging Types: Includes loose leaf, tea bags, ready-to-drink formats to meet both retail and foodservice requirements, preserve product quality, and signal functional benefits.
• Flavor Types: Features floral, fruity, herbal, spiced, and medicinal profiles, providing brand differentiation and supporting targeted segmentation based on consumer needs.
• Organic Certification: Presents organic and non-organic options, enabling procurement teams to align with transparency and certified sourcing objectives.
• End Users: Serves foodservice providers, hospitality chains, institutional buyers, and residential customers, each benefiting from tailored product assortments and operational adjustments.
• Distribution Channels: Utilizes grocery chains, wellness retailers, e-commerce, and direct-to-consumer models, allowing suppliers to quickly respond to purchasing pattern shifts and enhance reach.
• Regions Covered: Addresses North America, Latin America, Europe, Middle East, Africa, and Asia-Pacific, where regional nuances require localized approaches to compliance and consumer engagement.
• Key Companies Profiled: LIPTON Teas and Infusions, Tata Consumer Products Limited, and The Hain Celestial Group, recognized for strong operational capabilities and supply chain leadership.

Key Takeaways for Senior Decision-Makers

• Wellness-driven blends are increasingly essential for institutional buyers aiming to differentiate offerings and enhance outcomes within the beverage sector.
• Advances in process technology, especially in extraction and formulation, underpin quality and build reliability with commercial partners in the herbal beverage space.
• Strengthened traceability and supply chain transparency increase supplier credibility and support compliance with geographically diverse regulations.
• Single-serve and ready-to-drink formats improve supply flexibility, accelerate responses to product innovation cycles, and help streamline inventory for retail stakeholders.
• Integrated digital commerce strategies, coupled with regionally tailored marketing, empower suppliers to react swiftly to changing demand, particularly in high-growth Asia-Pacific markets.
• Scenario planning and agile operations allow organizations to anticipate regulatory adjustments and minimize risk throughout globally distributed networks.

Tariff Impact on Herbal Tea Imports

Shifts in United States tariff policy compel herbal tea organizations to revisit cost structures and pursue greater logistics efficiency. Implementation of value engineering and process refinement is strengthening supply chains and helping companies reduce exposure to volatile trade conditions.

Methodology & Data Sources

This research draws on comprehensive interviews with herbal tea growers, processors, and retail partners and is validated through independent industry sources. Direct engagement with supply chain and operations leadership ensures insights are crafted for executive priorities and address real-world market challenges.

Why This Herbal Tea Market Report Matters

• Enables senior leaders to adapt product development and distribution based on current procurement and buyer trends, strengthening organizational resilience.
• Offers actionable intelligence for navigating procurement and regulatory complexities, supporting confident decision-making amid operational uncertainty.
• Supplies region-specific guidance that informs scalable expansion strategies and helps align with evolving buyer behaviors and local market complexities.

Conclusion

Herbal tea market insights equip leadership teams to recalibrate strategy in response to regulatory and demand changes. Market-based decisions will support ongoing competitiveness and sustainable organizational growth.

Additional Product Information:

• Purchase of this report includes 1 year online access with quarterly updates.
• This report can be updated on request. Please contact our Customer Experience team using the Ask a Question widget on our website.