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Oolong Tea Market Size to Grow at a CAGR of 4.1 % During the Forecast Period 2021-2026

(Food-Beverage-News.Com, January 29, 2022 ) Oolong Tea Market size was estimated at $310.3 billion in 2020, projected to increase at a CAGR of 4.1% during the forecast period 2021-2026. Rising consumption of oolong tea aids in the prevention of diabetes, enhances central nervous system function, improves cardiac health, weight management, strengthens teeth and bones, and others. The rising popularity of ready-to-drink oolong tea across the globe is driving the Oolong Tea Industry rapidly. Oolong tea is a classic Chinese tea produced from the Camellia sinensis plant's leaves. Oolong tea antioxidant concentration differs from green tea and black teas as oolong tea is partially fermented and semi-oxidized. Oolong tea has a higher antioxidant content than green tea and black teas as it is partially fermented and semi-oxidized. Oolong tea use has a number of health benefits, including improved metabolism, lower cholesterol levels, weight loss, improved mental alertness, immune system strengthening, and more. Oolong tea is regarded as one of the most improved teas, and it comes in a variety of varieties with distinct flavors, shades and forms like loose leaf, tea bags. The fame of this Chinese tea has filled in the new past in diverse sections of North America and Europe. The popularity of each type is increasing in unison with a rise in healthy eating and drinking habits, and the global oolong tea market is predicted to grow rapidly in the near future. Green tea, which is classified as a cold-brewed oolong tea, is the most popular of all the varieties, especially among millennials.



Oolong Tea Market Segment Analysis – By Product Type:



Based on Product Type, Oolong Tea Market is segmented into Fujian, Taiwan, Guangdong. Fujian Tea segment is accounted for the largest revenue market share in 2020 owing to its rich aroma and Fujian tea-growing area is located in the southern part of China, which is the best area for tea growing. Fujian is a large tea-producing province with a long history, owing to its favorable natural conditions, high tea quality, and a wide variety of teas. Tea drinking aid memory and central nervous system function while also protecting against age-related deterioration. Norepinephrine and dopamine are released more readily when caffeine is consumed. These two neurotransmitters are thought to improve mood, attentiveness, and enhance central nervous system functioning. Fujian Oolong Tea is a Ti Kuan Yin style Oolong, with tightly coiled leaves that unfurl as they steep, but it has been oxidized longer to produce a deeper, richer cup with an incredible aroma. Owing to its unique flavor and aroma, Taiwan tea category is anticipated to expand with the fastest CAGR of 5.2% in the forecast period 2021-2026. Taiwan is noted for producing some of the world's best teas, especially in the Oolong Tea category. However, not all Taiwanese teas are well-known or understood by name. In Taiwan, Dong Ding Oolong is the most often consumed as traditional tea. Its peculiar characteristics are the result of medium amounts of oxidation and roasting.



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Oolong Tea Market Segment Analysis – By Distribution Channel:



Based on Distribution Channel, Oolong Tea Market is segmented into Hypermarkets/Supermarkets, Speciality Store, Convenience Stores, Online Stores and Others. Hypermarkets/Supermarkets segment is accounted for the largest revenue market share in 2020 owing to the easy access to the consumers and wide varieties of commodities that are often kept at modest prices. As a result, a huge retail business unit offering primarily food and grocery items with a low margin, large variety and assortment, self-service, and a strong emphasis on merchandise appeal propels the segment growth. They offer all forms of tea like as Loose Leaves, Tea Bags, and Tea Powders. Also, these markets are appropriate for both the wealthy and the impoverished as they provide goods at reasonable prices. Supermarkets keep a vast variety of all commodities on hand, assisting customers in making the best choices. Online Stores are poised to expand at the fastest CAGR of 5.5% in the forecast period 2021-2026 owing to the advent of online apps, together with the availability of discounts and quick product delivery, has had a favorable impact on the market's supply chain. For example, retailers like Walmart and Big Basket, among others, provide a diverse selection of flavored teas with both online and offline delivery options. This element is expected to benefit the segment's growth throughout the predicted period. Owing to the widespread use of the Internet and social media, consumers are increasingly prone to self-medicate. Over the forecast period, these factors are expected to propel the worldwide oolong tea market forward.



Oolong Tea Market Segment Analysis – By Geography



Based on Geography, in 2020, the Asia-Pacific Oolong Tea Market accounted for 46% of total sales. Owing to the vast amounts of oolong tea produced and consumed in Japan, China, and India, Asia-Pacific is expected to dominate the global oolong tea market. Over the last decade, China's tea consumption has increased dramatically, accounting for nearly a third of global tea consumption. India is the world's second-largest tea consumer this year, accounting for about one-fifth of global consumption. This increase in tea consumption has a substantial impact on other tea categories, such as oolong tea. Green tea is the most popular beverage in China, aside from water. Green tea is produced in greater quantities in China than any other type of tea. China produces over 80% of the world's green tea. Natural foods and beverages, on the other hand, are becoming increasingly popular in wealthy countries like North America and Europe. During the projection period, the oolong tea market in North America is predicted to grow at the fastest rate. The biggest importing markets for oolong tea are Australia, France, Canada, the United States, and Saudi Arabia. According to the Tea Association of the United States, around 160 million Americans drink tea every day, accounting for roughly half of the country's population. In addition, consumer purchases of tea grew in 2012, exceeding the $2.25 billion milestone in retail grocery sales.



Oolong Tea Market Segment Analysis Drivers



Growing Awareness on Health Benefits of Consuming Oolong Tea is Boosting the Market Growth:



Consumer awareness on the health benefits connected with the intake of natural products like oolong tea, which aids in immune system fortification, detoxification, cholesterol regulation, and other benefits, is predicted boost the market. Caffeine stimulates the central nervous system and has a stimulating effect on the brain. As a result, feelings of tiredness are reduced and alertness is increased. Caffeine is chemically related to the neurotransmitter adenosine. Adenosine is the chemical that causes to feel the urge to sleep. Caffeine binds to adenosine, keeping energized and preventing weariness from taking over the body. For a reason, oolong tea is one of the most popular weight-loss drinks. According to the findings, oolong tea may aid in the reduction of "high fat diet-induced weight gain, hepatic lipids, and white adipose tissue weights." Oolong tea also aid in the prevention of obesity. It even help without requiring any additional effort or strenuous workout. GABA in conjunction with L-theanine has been shown in studies to promote deeper sleep and shorten sleep latency. Both are found in oolong tea. GABA levels in regular oolong tea are roughly 0.25 mg per 200 ml, but GABA-enriched tea has around 2 mg per 200 ml.



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Oolong Tea Market Segment Analysis Challenges



Negative Effects of Caffeine is hampering the market growth:



The most significant dangers connected with oolong tea are those associated with chronic or excessive caffeine consumption. If one drinks enough tea, the person gains weight by turning it into an SSB (a.k.a. a sugar-sweetened beverage) by dropping tablespoons of sugar or honey in it, or by making "milk tea." While most adults can tolerate up to 400 mg of caffeine per day, some people are more sensitive. Even though a cup of tea contains only approximately 47 milligrams of caffeine, a couple drinks late in the day can make it harder to fall asleep. Headaches, hypertension, and irritable bowel syndrome are some of the potential side effects of caffeine in tea. When brewed too strong tea’s like Green tea causes stomach irritation on consuming empty stomach.



Oolong Tea Market Segment Landscape:



Product launches, mergers and acquisitions, joint ventures and geographical expansions are key strategies adopted by players in the Oolong Tea Market. Oolong Tea Market top 10 companies 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, and Arbor Teas



Key Takeaways



Mainland China and Taiwan produce the most popular oolong teas. Thailand, Vietnam, Japan, and India are among other key countries that manufacture oolong tea. Each variety is distinct, with flavors, scents, and leaves that reflect the terroir.



Owing to the increased popularity of Fujian oolong tea and green tea among individuals and various health benefits associated with it, such as reducing obesity, avoiding tooth decay, and others, the target market for this product type sector is expected to develop at the fastest pace.



A cup of tea has numerous health benefits, but excessive tea drinking has certain undesirable side effects. A cup of tea has 14 to 60 milligrams of synthetic caffeine, which is less than coffee, according to study. Caffeine has a variety of effects on humans, including difficulties sleeping, agitation, irregular heartbeat, diarrhoea, and others.



The increased accessibility and availability of oolong tea through organized commerce is a key driver for the world Oolong Tea industry.



Excessive intake of green tea, according to the University of Maryland Medical Centre, increases the risk of lung cancer, colorectal cancer, and esophageal cancer, thus supporting the market growth of oolong tea.



Related Report



A.Organic Tea Market

https://www.industryarc.com/Research/Organic-Tea-Market-Research-507382



B.Tea Bag Market

https://www.industryarc.com/Research/Tea-Bag-Market-Research-513807



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