(MENAFN- GlobeNewsWire - Nasdaq) The market flourishes amid trends like sustainable packaging and fair trade sourcing, with online sales seeing significant increases. Key regions include the UK, Germany, and Russia, with a growing preference for green and herbal teas.

Dublin, Nov. 17, 2025 (GLOBE NEWSWIRE) -- The "Europe Tea Market Analysis and Growth Forecast 2025-2033" has been added to ResearchAndMarkets's offering.
The Europe Tea Market is anticipated to grow from US$ 20 billion in 2024 to US$ 33.71 billion by 2033 at a CAGR of 5.97% from 2025 to 2033. Growing health consciousness, demand for specialty and herbal teas, and changing consumer tastes towards organic products are fueling market expansion throughout the region, complemented by robust retail and e-commerce distribution networks.

Growth Drivers in the Europe Tea Market

Increased Health and Wellness Awareness

European consumers are increasingly substituting tea for sugary drinks and coffee as a healthier option. Green tea, herbal teas, and functional teas (which contain ingredients such as turmeric or ginger) are becoming sought after for their antioxidant, cleansing, and soothing virtues. As interest grows in immune well-being and mental health, demand for organic and wellness-focused tea products has accelerated, particularly since COVID-19, transforming consumption behaviors throughout the region. March 2024, Twinings launched a line of functional tea blends specially crafted for the European market, featuring distinctive botanical ingredients and wellbeing benefits.

Growth in Specialty and Premium Tea

The tea market in Europe is being driven by growth in specialty blends, luxury teas, and artisanal products. Consumers are trying new tastes, single-origin teas, and responsibly sourced varieties, stimulating innovation among companies. Boutique tea houses, experience-based store formats, and edited subscription boxes are raising tea from an ordinary drink to an aspirational product. The premiumization movement has widened appeal across younger, more upscale audiences. January 2024, Unilever PLC introduced a new range of premium organic teas appealing to health-focused consumers, with innovative eco-friendly packaging.

Development of E-commerce and Digital Retail Channels

Online tea sales have seen high growth in Europe as a result of convenience, wider product range, and social media. Internet platforms enable access to niche and international brands that might be lacking in physical retail. Subscription models and wellness influencers also play a part in product finding and interaction, enabling tea businesses to create direct customer relationships and tailor offers. For instance, in the UK, tea sales online became extremely popular, with investment increasing by 70% in 2022, according to the British E-commerce Association. One of the main forces driving this sector's high growth is the increasing focus on digital accessibility and subscription services.

Challenges in the Europe Tea Market

Market Saturation and Intense Competition

The European tea industry is mature and competitive, especially in Western Europe. There are many local and international brands competing for consumers' attention, triggering price pressure and constrained shelf space. Innovation assists but is challenging for new brands to make headway without massive marketing spend. Mature tea-consuming nations such as the UK experience levelling-off growth, with brands needing to differentiate via health messages, taste, or ethical origin.

Fluctuating Raw Material Costs and Climate Impact

Tea production is greatly dependent on climatic factors. Erratic weather conditions, floods, and droughts in key tea-producing countries such as India, Sri Lanka, and Kenya may impact supply chains and raise costs. These uncertainties impact price and supply in Europe. Also, increased transportation and energy costs, along with sustainability issues, pose difficulties for producers and importers in keeping the producers profitable without sacrificing quality or ethical sourcing practices.

Key Attributes

Report Attribute	Details
No. of Pages	200
Forecast Period	2024-2033
Estimated Market Value (USD) in 2024	$20 Billion
Forecasted Market Value (USD) by 2033	$33.71 Billion
Compound Annual Growth Rate	5.9%
Regions Covered	Europe

Key Topics Covered
1. Introduction
2. Research & Methodology
3. Executive Summary
4. Market Dynamics
4.1 Growth Drivers
4.2 Challenges
5. Europe Tea Market
5.1 Historical Market Trends
5.2 Market Forecast
6. Market Share Analysis
6.1 By Product Type
6.2 By Packaging
6.3 By Application
6.4 By Distribution Channel
6.5 By Country

7. Product Type
7.1 Green Tea
7.2 Black Tea
7.3 Oolong Tea
7.4 Others

8. Packaging
8.1 Plastic Containers
8.2 Loose Tea
8.3 Paper Boards
8.4 Aluminium Tea
8.5 Tea Bags
8.6 Others

9. Application
9.1 Residential
9.2 Commercial

10. Distribution Channel
10.1 Supermarkets and Hypermarkets
10.2 Specialty Stores
10.3 Convenience Stores
10.4 Online Stores
10.5 Others

11. Country
11.1 France
11.2 Germany
11.3 Italy
11.4 Spain
11.5 United Kingdom
11.6 Belgium
11.7 Netherlands
11.8 Russia
11.9 Poland
11.10 Greece
11.11 Norway
11.12 Romania
11.13 Portugal
11.14 Rest of Europe

12. Value Chain Analysis

13. Porter's Five Forces Analysis
13.1 Bargaining Power of Buyers
13.2 Bargaining Power of Suppliers
13.3 Degree of Competition
13.4 Threat of New Entrants
13.5 Threat of Substitutes

14. SWOT Analysis
14.1 Strength
14.2 Weakness
14.3 Opportunity
14.4 Threats

15. Pricing Benchmark Analysis

16. Key Players Analysis
16.1 Associated British Foods PLC
16.2 Tata Consumer Products Limited (Tata Group)
16.3 Unilever
16.4 Barry's Tea
16.5 Taetea Group

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Attachment

• European Tea Market

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