Tea Extracts Market Report 2026

The tea extracts market size has grown strongly in recent years. It will grow from $4.52 billion in 2025 to $4.83 billion in 2026 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to growth in global tea consumption, increasing awareness of antioxidant benefits, expansion of herbal supplement markets, availability of diverse tea varieties, adoption in traditional medicine systems.

The tea extracts market size is expected to see strong growth in the next few years. It will grow to $6.32 billion in 2030 at a compound annual growth rate (CAGR) of 6.9%. The growth in the forecast period can be attributed to growing demand for natural health supplements, expansion of personalized nutrition products, rising innovation in extraction technologies, increasing use in premium cosmetics, growth in wellness-focused consumer markets. Major trends in the forecast period include increasing demand for antioxidant-rich ingredients, rising use in nutraceutical supplements, growing application in functional beverages, expansion of cosmetic formulations using tea extracts, enhanced focus on standardized extract potency.

The rise in demand for dietary supplements is expected to propel the growth of the tea extract market going forward. Dietary supplements are a vast range of ingestible goods that are distinguishable from regular foods and pharmaceuticals, which are utilized all over the world. Tea extracts, especially green tea extracts, are commonly utilized in the manufacturing of dietary supplements. Tea extract dietary supplements aid in blood sugar regulation, blood pressure regulation, weight management, disease prevention, and workout recovery. For instance, in September 2024, according to HerbalGram, a US-based international nonprofit organization, the total annual sales of herbal dietary supplements in the US rose from $12.018 billion in 2022 to $12.551 billion in 2023, reflecting a growth of 4.4%. Therefore, an increasing demand for dietary supplements is driving the growth of the tea extract market.

Major companies operating in the tea extracts market are pursuing strategic investments to strengthen their market position and expand their geographic footprint. Strategic investments are long-term commitments aimed at gaining competitive advantages through capacity expansion, innovation, or market access. For example, in February 2023, the Ontario government welcomed a $33.4 million investment by Mother Parkers Tea & Coffee, a Canada-based tea and coffee manufacturer. This investment supports local manufacturing and job creation while enabling the company to establish a new cold coffee and tea extracts manufacturing facility adjacent to its existing operations. The expansion allows Mother Parkers to diversify its portfolio by introducing a new product line focused on extracts.

In July 2023, Finlays acquired tea and yerba mate extraction assets from Natural Instant Foods. This strategic move allows Finlays to transfer the extraction assets to Kenya, establishing a small-scale production line and pilot plant at its Saosa tea extraction facility in Kericho. Natural Instant Foods, based in Paraguay, specializes in producing soluble powder extracts of tea, yerba mate, and stevia.

Major companies operating in the tea extracts market are Taiyo International Ltd., AVT Tea Sources Ltd., DuPont de Nemours Inc., Futureceuticals Inc., Kemin Industries, Synthite Industries Ltd., Archer Daniels Midland Co., Frutarom Ltd., Martin Bauer Group Ltd., Indena S.p.A., Phyto Life Sciences Pvt. Ltd., Halssen & Lyon GmbH, Finlay Tea Solutions Ltd., Tata Global Beverages Ltd., Givaudan SA, Dehe Bio-tech Co. Ltd., Hainan Qunli Co. Ltd., Sichuan Yujia Tea Co. Ltd., ADM WILD Europe GmbH & Co. KG, Damin Food Co. Ltd., Döhler GmbH, Goodricke Group Limited, Robertet Group SA, ShanShan Tea Co. Ltd., Shenzhen Shenbao Huacheng Tech. Co. Ltd., Synergy Flavors Inc., Teawolf LLC, Harrissons Tea Ltd.

North America was the largest region in the tea extracts market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the tea extracts market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the tea extracts market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The tea extract market consists of sales of epicatechins, epicatechin gallate, and flavanols. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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