Tea market in ASEAN

Earlier Report Observations

The ASEAN tea market began the period at 1 916 thousand tons in 2018, bolstered by growing consumer interest in health benefits and the entry of new local and regional brands offering innovative products. A shift in government policy to actively promote tea exports the following year, however, led to a significant rise in outbound shipments, which reduced domestic availability and pulled market volume down to 1 722 thousand tons in 2019.

Market conditions changed with the COVID-19 pandemic in 2020, which increased demand for convenient, health-oriented products like ready-to-drink teas and accelerated the adoption of online sales, helping volume recover to 1 812 thousand tons. The recovery continued into 2021, with volume reaching 1 867 thousand tons as major players launched new premium and specialty tea lines to cater to evolving consumer preferences and expanded their digital distribution.

A sustained focus on sustainability and the introduction of products with eco-friendly packaging supported further market growth to 1 891 thousand tons in 2022. In 2023, the market volume saw a modest increase to 1 921 thousand tons, facilitated by higher import levels and a concurrent decrease in exports.

Production tea in ASEAN

In kind, 2017-2020, K t

Top producers of tea, 2017-2020

World map of production of tea, 2017-2020

ASEAN tea production rebounded in 2020 after two consecutive years of decline. In 2019, production hit its lowest point at 1 829 K t, marking a 6.0% decrease. The following year saw a recovery, with output rising to 1 932 K t, a 5.6% increase from 2019.

Annual dynamics of production in ASEAN in kind, 2017-2020, K t

Exports tea from ASEAN

Exports in kind, K t

ASEAN tea exports showed significant volatility during this period. The lowest volume was recorded in 2018 at 71.7 K t, which represented a sharp 59.7% decline. Exports then surged by 109.1% in 2019. In 2020, exports reached 157.4 K t, a moderate 5.0% gain over the previous year. The peak was in 2017, creating a 2.5-fold difference compared to the 2018 low.

Annual dynamics of product's exports from ASEAN in kind, 2017-2020, K t

From 2017 to 2020, the largest buyers of ASEAN tea in volume terms were Pakistan (21.8% of exports), Russia (11.9%), and Asia, not elsewhere specified (10.0%). However, these three markets combined accounted for only 43.6% of total exports, indicating a highly diversified partner base.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from ASEAN in kind, 2017-2020

Exports in value, M $ US

ASEAN tea exports in value terms declined overall between 2017 and 2020, with a total decrease of 3% or an annualized rate of 1.0%. The largest drop occurred in 2018 at 1.7%, followed by a modest 0.5% increase in 2019. In 2020, exports amounted to 382.8 M $ US, down 1.7% from the previous year.

Annual dynamics of product's exports from ASEAN in value, 2017-2020, M $ US

An analysis of ASEAN tea exports by value from 2017 to 2020 reveals a broad distribution across multiple markets. Pakistan accounted for 23.2% of exports, while Asia, not elsewhere specified, and Russia each represented 9.1%. Together, these three markets made up just 41.5% of total export value, with the remaining 58.5% spread among various other partners.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from ASEAN in value, 2017-2020

Imports tea to ASEAN

Imports in kind, K t

ASEAN tea imports in volume terms declined in 2020 after two years of growth. Imports peaked in 2019 at 42.3 K t, following a substantial 25.7% increase in 2018. Overall, imports rose by 17.4% between 2017 and 2020, equivalent to an annualized rate of 5.5%. In 2020, imports fell to 38.2 K t, a 9.8% decrease from 2019.

Annual dynamics of product's imports to ASEAN in kind, 2017-2020, K t

Between 2017 and 2020, ASEAN tea imports in volume terms were sourced from a wide range of countries. The top suppliers were China (19.0% of imports), Kenya (7.1%), and India (6.8%), but together they accounted for only 32.9% of total import volume.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to ASEAN in kind, 2017-2020

Imports in value, M $ US

ASEAN tea imports in value terms dropped in 2020 after two years of increases. The highest value was recorded in 2019 at 238.7 M $ US, following a 17.0% rise in 2018. Over the 2017-2020 period, imports grew by 18.7%, or 5.9% annually. In 2020, imports decreased to 211.2 M $ US, down 11.5% from the previous year.

Annual dynamics of product's imports to ASEAN in value, 2017-2020, M $ US

From 2017 to 2020, ASEAN tea imports by value were not heavily concentrated. China was the largest source at 29.2%, followed by Japan (9.8%) and Sri Lanka (5.7%). Collectively, these three countries represented just 44.7% of total import value, with the majority coming from other diverse partners.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to ASEAN in value, 2017-2020