China: Tea Market 2024

Tea Market Size in China

The Chinese tea market reduced dramatically to $X in 2022, falling by -49.2% against the previous year. In general, consumption faced a abrupt downturn. As a result, consumption attained the peak level of $X. From 2015 to 2022, the growth of the market remained at a somewhat lower figure.

Tea Production in China

In value terms, tea production dropped to $X in 2022 estimated in export price. In general, the total production indicated a prominent increase from 2012 to 2022: its value increased at an average annual rate of +5.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +62.2% against 2012 indices. The pace of growth appeared the most rapid in 2019 when the production volume increased by 17% against the previous year. Tea production peaked at $X in 2021, and then dropped in the following year.

In 2022, the average yield of tea in China amounted to less than X kg per ha, almost unchanged from the previous year. Overall, the yield continues to indicate a relatively flat trend pattern. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, approx. less than X ha of tea were harvested in China; approximately mirroring 2021 figures. Overall, the harvested area recorded a relatively flat trend pattern.

Tea Exports

Exports from China

Tea exports from China rose modestly to X tons in 2022, surging by 1.8% on the previous year. The total export volume increased at an average annual rate of +1.8% from 2012 to 2022; the trend pattern remained relatively stable, with only minor fluctuations being recorded in certain years. The pace of growth was the most pronounced in 2017 with an increase of 8.2% against the previous year. The exports peaked at X tons in 2020; however, from 2021 to 2022, the exports failed to regain momentum.

In value terms, tea exports shrank to $X in 2022. In general, total exports indicated prominent growth from 2012 to 2022: its value increased at an average annual rate of +7.2% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +99.9% against 2012 indices. The growth pace was the most rapid in 2019 when exports increased by 33% against the previous year. Over the period under review, the exports attained the maximum at $X in 2021, and then shrank in the following year.

Exports by Country

Morocco (X tons) was the main destination for tea exports from China, accounting for a 20% share of total exports. Moreover, tea exports to Morocco exceeded the volume sent to the second major destination, Uzbekistan (X tons), threefold. The third position in this ranking was taken by Ghana (X tons), with a 6.5% share.

From 2012 to 2022, the average annual rate of growth in terms of volume to Morocco amounted to +3.0%. Exports to the other major destinations recorded the following average annual rates of exports growth: Uzbekistan (+1.3% per year) and Ghana (+15.7% per year).

In value terms, Malaysia ($X), Morocco ($X) and Ghana ($X) were the largest markets for tea exported from China worldwide, with a combined 30% share of total exports.

In terms of the main countries of destination, Malaysia, with a CAGR of +38.3%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2022, the average tea export price amounted to $X per ton, shrinking by -10.8% against the previous year. In general, export price indicated a remarkable increase from 2012 to 2022: its price increased at an average annual rate of +5.2% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, tea export price increased by +66.6% against 2012 indices. The pace of growth appeared the most rapid in 2019 when the average export price increased by 24%. The export price peaked at $X per ton in 2021, and then declined in the following year.

There were significant differences in the average prices for the major external markets. In 2022, amid the top suppliers, the country with the highest price was Malaysia ($X per ton), while the average price for exports to Cameroon ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Malaysia (+18.0%), while the prices for the other major destinations experienced more modest paces of growth.

Tea Imports

Imports into China

Tea imports into China fell to X tons in 2022, which is down by -11.4% compared with the previous year. Over the period under review, total imports indicated a strong expansion from 2012 to 2022: its volume increased at an average annual rate of +5.7% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports decreased by -13.1% against 2019 indices. The pace of growth was the most pronounced in 2019 with an increase of 27%. As a result, imports reached the peak of X tons. From 2020 to 2022, the growth of imports failed to regain momentum.

In value terms, tea imports declined remarkably to $X in 2022. Overall, imports, however, showed a perceptible expansion. The pace of growth was the most pronounced in 2017 with an increase of 29% against the previous year. Imports peaked at $X in 2019; however, from 2020 to 2022, imports stood at a somewhat lower figure.

Imports by Country

Sri Lanka (X tons), Myanmar (X tons) and India (X tons) were the main suppliers of tea imports to China, together accounting for 57% of total imports.

From 2012 to 2022, the most notable rate of growth in terms of purchases, amongst the main suppliers, was attained by Myanmar (with a CAGR of +197.1%), while imports for the other leaders experienced more modest paces of growth.

In value terms, Sri Lanka ($X) constituted the largest supplier of tea to China, comprising 45% of total imports. The second position in the ranking was held by India ($X), with a 12% share of total imports. It was followed by Burundi, with a 6% share.

From 2012 to 2022, the average annual rate of growth in terms of value from Sri Lanka amounted to +11.9%. The remaining supplying countries recorded the following average annual rates of imports growth: India (-1.9% per year) and Burundi (+77.3% per year).

Import Prices by Country

In 2022, the average tea import price amounted to $X per ton, which is down by -10.4% against the previous year. Over the period under review, the import price showed a mild contraction. The most prominent rate of growth was recorded in 2017 when the average import price increased by 21%. The import price peaked at $X per ton in 2018; however, from 2019 to 2022, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was Hong Kong SAR ($X per ton), while the price for Myanmar ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Taiwan (Chinese) (+8.4%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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