MERCOSUR: Tea Market 2024

Tea Market Size in MERCOSUR

The MERCOSUR tea market rose slightly to $X in 2022, growing by 2.2% against the previous year. The total consumption indicated a moderate expansion from 2012 to 2022: its value increased at an average annual rate of +4.8% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, consumption increased by +43.7% against 2019 indices. The level of consumption peaked in 2022 and is expected to retain growth in years to come.

Tea Production in MERCOSUR

In value terms, tea production contracted modestly to $X in 2022 estimated in export price. Overall, production showed a relatively flat trend pattern. The most prominent rate of growth was recorded in 2013 with an increase of 10% against the previous year. The level of production peaked at $X in 2014; however, from 2015 to 2022, production stood at a somewhat lower figure.

Argentina (X tons) remains the largest tea producing country in MERCOSUR, comprising approx. 99% of total volume.

From 2012 to 2022, the average annual rate of growth in terms of volume in Argentina was relatively modest.

Tea Exports

Exports in MERCOSUR

In 2022, exports of tea in MERCOSUR declined modestly to X tons, falling by -3.4% against 2021 figures. Overall, exports continue to indicate a mild decline. The pace of growth appeared the most rapid in 2021 when exports increased by 6.2% against the previous year. The volume of export peaked at X tons in 2016; however, from 2017 to 2022, the exports failed to regain momentum.

In value terms, tea exports rose markedly to $X in 2022. Over the period under review, exports saw a mild curtailment. The level of export peaked at $X in 2013; however, from 2014 to 2022, the exports stood at a somewhat lower figure.

Exports by Country

Argentina dominates exports structure, amounting to X tons, which was near 97% of total exports in 2022. Peru (X tons) followed a long way behind the leaders.

Exports from Argentina decreased at an average annual rate of -1.5% from 2012 to 2022. At the same time, Peru (+77.4%) displayed positive paces of growth. Moreover, Peru emerged as the fastest-growing exporter exported in MERCOSUR, with a CAGR of +77.4% from 2012-2022. Peru (+2 p.p.) significantly strengthened its position in terms of the total exports, while the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Argentina ($X) remains the largest tea supplier in MERCOSUR, comprising 82% of total exports. The second position in the ranking was held by Peru ($X), with a 14% share of total exports.

From 2012 to 2022, the average annual rate of growth in terms of value in Argentina totaled -2.4%.

Export Prices by Country

The export price in MERCOSUR stood at $X per ton in 2022, picking up by 18% against the previous year. Overall, the export price, however, showed a relatively flat trend pattern. The level of export peaked at $X per ton in 2013; however, from 2014 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Peru ($X per ton), while Argentina totaled $X per ton.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Peru (+13.6%).

Tea Imports

Imports in MERCOSUR

In 2022, tea imports in MERCOSUR fell modestly to X tons, approximately reflecting 2021 figures. Overall, imports continue to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2020 with an increase of 29% against the previous year. As a result, imports attained the peak of X tons. From 2021 to 2022, the growth of imports remained at a somewhat lower figure.

In value terms, tea imports expanded to $X in 2022. The total import value increased at an average annual rate of +4.3% over the period from 2012 to 2022; the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2020 with an increase of 37%. Over the period under review, imports reached the maximum in 2022 and are likely to continue growth in the immediate term.

Imports by Country

Chile prevails in imports structure, finishing at X tons, which was approx. 83% of total imports in 2022. It was distantly followed by Peru (X tons), committing a 6.1% share of total imports. The following importers - Colombia (X tons), Argentina (X tons), Uruguay (X tons) and Brazil (X tons) - each recorded a 7.3% share of total imports.

Chile experienced a relatively flat trend pattern with regard to volume of imports of tea. At the same time, Peru (+9.5%), Colombia (+7.0%) and Argentina (+4.3%) displayed positive paces of growth. Moreover, Peru emerged as the fastest-growing importer imported in MERCOSUR, with a CAGR of +9.5% from 2012-2022. Uruguay experienced a relatively flat trend pattern. By contrast, Brazil (-8.0%) illustrated a downward trend over the same period. Peru (+3.8 p.p.) significantly strengthened its position in terms of the total imports, while Brazil saw its share reduced by -2% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Chile ($X) constitutes the largest market for imported tea in MERCOSUR, comprising 82% of total imports. The second position in the ranking was held by Brazil ($X), with a 3.1% share of total imports. It was followed by Peru, with a 3% share.

From 2012 to 2022, the average annual rate of growth in terms of value in Chile amounted to +5.4%. In the other countries, the average annual rates were as follows: Brazil (-1.9% per year) and Peru (+7.2% per year).

Import Prices by Country

In 2022, the import price in MERCOSUR amounted to $X per ton, increasing by 3.8% against the previous year. Over the last decade, it increased at an average annual rate of +4.8%. The pace of growth appeared the most rapid in 2017 when the import price increased by 19% against the previous year. Over the period under review, import prices hit record highs in 2022 and is likely to see steady growth in the immediate term.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Brazil ($X per ton), while Peru ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Brazil (+6.6%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform