Home Food & Beverages oolong tea market Size And Share Report, 2031

Oolong Tea Market

Oolong Tea Market Size, Share & Trends Analysis Report By Product (Big Red Robe , Iron Buddha , Dan Cong Tea, Ali Shan , Others), By Form (Loose Leaf, Powder, Tea Bag, Others), By Distribution Channel (Online, Offline) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Report Code: SRFB56062DR
Study Period 2020-2032 CAGR 3.85%
Historical Period 2020-2022 Forecast Period 2024-2032
Base Year 2023 Base Year Market Size USD 308.83 million
Forecast Year 2032 Forecast Year Market Size USD 433.88 million
Largest Market Asia-Pacific Fastest Growing Market North America
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Market Overview

The global oolong tea market size was valued at USD 308.83 million in 2023. It is estimated to reach USD 433.88 million by 2032, growing at a CAGR of 3.85% during the forecast period (2024–2032). In recent years, surging consumer awareness regarding the health benefits of oolong tea, including weight management, improved digestion, and antioxidant properties, has been a primary driver stimulating global market growth. Moreover, the burgeoning e-commerce platforms and digitalization in the food and beverage sector present significant opportunities for market players to expand their consumer base and reach untapped markets.

Oolong tea is a traditional Chinese tea renowned for its unique flavor profile and partially oxidized leaves. Positioned between green and black teas, oolong undergoes a semi-oxidation process, allowing the leaves to oxidize under carefully controlled conditions. This process gives oolong tea its characteristic taste, from floral and fruity to woody and toasty, depending on the oxidation level.

The name "oolong" translates to "black dragon" in Chinese, likely referring to the dark, curled appearance of the processed leaves. This tea boasts a rich history dating back centuries in China, where it is often enjoyed during elaborate tea ceremonies or as a daily beverage. Oolong tea is also celebrated for its potential health benefits, including antioxidants and metabolism-boosting properties. Its complex flavor and cultural significance make it a beloved choice among tea enthusiasts worldwide.


  • Asia-Pacific held the largest market share
  • Market Overview

Market Dynamics

Oolong Tea Market Drivers

Health-Conscious Consumer Behavior

The flourishing emphasis on health and wellness among consumers worldwide has become a significant driver for the oolong tea market. Oolong tea is renowned for its rich antioxidant content, which includes polyphenols, catechins, and flavonoids, all of which have been linked to various health benefits. Studies have shown that regular consumption of oolong tea may help in weight management by boosting metabolism and promoting fat oxidation. Moreover, oolong tea consumption has been associated with improved digestion, enhanced cardiovascular health, and reduced risk of chronic illnesses like diabetes and cancer.

Furthermore, oolong tea may enhance heart health by minimizing the risk of stroke and high blood pressure and decreasing low-density lipoprotein (LDL) levels. Its influence on cardiovascular health renders it a beneficial supplement to a diet promoting cardiac health. As consumers increasingly prioritize functional foods and beverages that offer tangible health benefits, the demand for oolong tea is expected to continue rising, especially among health-conscious individuals seeking natural and efficacious ways to support their well-being.

Oolong Tea Market Restraint

Limited Availability of High-Quality Oolong Tea 

A significant restraint for the oolong tea market is the constrained availability of high-quality oolong tea leaves, particularly those meeting the stringent standards of premium tea enthusiasts. This scarcity arises from various factors, including the specialized cultivation requirements of oolong tea bushes, such as specific climate conditions and altitude, which limit the regions suitable for cultivation.

Furthermore, the artisanal nature of oolong tea production, involving meticulous harvesting and processing techniques, contributes to the limited supply. As a result, market players may face challenges in sourcing consistently high-quality oolong tea leaves to meet the growing demand, leading to supply shortages and price fluctuations. Moreover, factors like natural disasters, climate change, and geopolitical tensions in tea-producing regions can further exacerbate supply chain disruptions, impacting market stability and profitability. Thus, all these factors are estimated to restrict the market expansion.

Oolong Tea Market Opportunities

Leveraging Digital Platforms for Growth

The evolving landscape of e-commerce and digitalization presents lucrative opportunities for oolong tea market players to expand their reach and tap into new consumer segments. With the proliferation of online retail channels and the increasing adoption of digital platforms for food and beverage purchases, companies can capitalize on this trend to enhance the accessibility of oolong tea to a wider audience. By creating a strong online presence through e-commerce platforms, brands can effectively target health-conscious consumers, millennials, and urban populations seeking premium tea offerings. Thus, many market players are tapping e-commerce platforms to expand their product reach.

For instance, in December 2022, 8th Wonder Tea introduced its range of organic sparkling teas on the Amazon platform. The four flavors of authentic fruit juice, nutrient-rich superfoods, and traditional ingredients are Sparking Green Tea, Sparking Chai, Sparking Oolong Tea, and Sparkling Rooibos Tea. Consequently, all these factors create opportunities for market expansion.

Regional Analysis

Based on region, the global oolong tea market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

Asia-Pacific Dominates the Global Market

Asia-Pacific is the most significant global oolong tea market shareholder and is expected to expand substantially during the forecast period. The region holds a pivotal position in the global oolong tea market, being the birthplace of this revered beverage. Countries such as China and Taiwan have rich cultural traditions deeply intertwined with tea consumption, making oolong tea an integral part of daily life and social customs. With a long history of tea cultivation and production, these nations boast some of the finest oolong teas renowned for their exquisite flavors and aromas. In China, oolong tea is celebrated for its diverse varieties, ranging from the floral and fruity Tieguanyin to the robust and earthy Da Hong Pao. Conversely, Taiwan is renowned for its high-mountain oolongs, which are prized for their smooth texture and lingering sweetness. The region's favorable climate, fertile soil, and skilled craftsmanship contribute to the exceptional quality of oolong teas produced here.

Furthermore, the Asia-Pacific region is witnessing a resurgence of interest in traditional teas, driven by a growing appreciation for tea culture and heritage. As consumers become more discerning about tea quality and origin, there is a rising demand for authentic and premium oolong teas sourced directly from tea estates. Moreover, researchers in this region are trying to explore the health benefits of oolong tea further. For instance, in January 2021, researchers at the University of Tsukuba discovered that drinking two cups of oolong tea daily can stimulate fat breakdown while sleeping. These positive results are anticipated to stimulate the demand for oolong tea in this region.

North America represents a burgeoning market for oolong tea, propelled by shifting consumer preferences towards exotic and premium tea varieties. The region's diverse population, characterized by a growing health-conscious demographic, has increased demand for oolong tea, particularly among millennials and urban consumers. Moreover, the rising trend of specialty tea consumption and the evolving tea culture in North America have contributed to the growing popularity of oolong tea among discerning consumers.

Furthermore, the prominent stakeholders in the market are taking initiatives to popularize oolong tea and create awareness about its benefits amongst the consumers in this region. For instance, in December 2023, the Coffee Bean & Tea Leaf®, a renowned specialty coffee and tea brand based in Southern California, introduced the World of Tea pilot program. This innovative tea collection is designed to cater to American customers' growing curiosity and consumption of tea beverages. The World of Tea Collection, which will only be found at nine locations during the pilot program, also has Oolong Tea with Strawberry and Cream Cap. Consequently, all these factors are expected to boost the regional market expansion.

Report Scope

Report Metric Details
By Product
  1. Big Red Robe 
  2. Iron Buddha 
  3. Dan Cong Tea
  4. Ali Shan 
  5. Others
By Form
  1. Loose Leaf
  2. Powder
  3. Tea Bag
  4. Others
By Distribution Channel
  1. Online
  2. Offline
Company Profiles R. Twining and Company Limited Bigelow and Company Arbor Teas COFCO International The Republic of Tea Hunan Tea Company Limited Dilmah Ceylon Tea Company Plc The Hain Celestial Group International Coffee and Tea LLC Harada Tea Processing Co. Ltd.
Geographies Covered
North America U.S. Canada
Europe U.K. Germany France Spain Italy Russia Nordic Benelux Rest of Europe
APAC China Korea Japan India Australia Singapore Taiwan South East Asia Rest of Asia-Pacific
Middle East and Africa UAE Turkey Saudi Arabia South Africa Egypt Nigeria Rest of MEA
LATAM Brazil Mexico Argentina Chile Colombia Rest of LATAM
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
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Segmental Analysis

The global oolong tea market is segmented by product, form, and distribution channel.

Based on product, the global oolong tea market is segmented into big red robe, iron Buddha, Dan Cong tea, Ali Shan, and others. 

Dan Cong tea, also known as Phoenix oolong, is a prized Chinese tea renowned for its complexity and aromatic profile. Hailing from Phoenix Mountain in Guangdong province, it's distinguished by its single bush varietal, each with a unique flavor profile resembling various flowers, fruits, or spices. Unlike other oolongs, Dan Cong is crafted from individual trees rather than a blend, allowing for a remarkable diversity in taste. The leaves are carefully handpicked and undergo a meticulous processing method, which includes withering, rolling, oxidation, and roasting. The result is a tea with a rich amber liquor, enticing fragrance, and a lingering aftertaste. From floral notes like orchid and jasmine to fruity undertones of peach and apricot, Dan Cong offers a sensory journey with every sip, making it a favorite among tea connoisseurs worldwide.

Based on form, the global oolong tea market is bifurcated into loose leaf, powder, tea bags, and others. 

The loose-leaf segment within the oolong tea market holds a prominent position, driven by several factors that cater to discerning tea enthusiasts. Loose-leaf oolong tea offers a premium experience with superior flavor, aroma, and overall quality compared to tea bags. One of the key advantages of loose-leaf oolong tea is the preservation of the tea leaves' integrity, allowing for more nuanced and complex flavor profiles to develop during brewing. This appeals to tea connoisseurs who value authenticity and craftsmanship in their tea-drinking experience.

Additionally, loose-leaf oolong tea provides greater flexibility in brewing methods, allowing consumers to experiment with different steeping techniques to achieve their desired flavor intensity. This versatility enhances the overall enjoyment and satisfaction derived from the tea-drinking ritual. Moreover, the loose-leaf segment reflects consumers' growing preference for premium and artisanal tea products, aligning with the broader trend of seeking high-quality and ethically sourced beverages. As a result, this segment presents lucrative opportunities for market players to distinguish their offerings and capture a niche audience seeking unparalleled tea experiences.

Based on the distribution channel, the global oolong tea market is divided into online and offline. 

The offline segment of the oolong tea market encompasses various distribution channels such as specialty stores, supermarkets, hypermarkets, convenience stores, and tea shops. Offline channels are critical in reaching consumers directly and providing them with personalized experiences. Specialty stores and tea shops, in particular, cater to tea enthusiasts seeking premium and artisanal oolong tea varieties. These establishments often offer knowledgeable staff to guide consumers in selecting the right oolong tea based on flavor profiles, brewing methods, and origins.

Supermarkets and hypermarkets appeal to a broader consumer base, offering convenience and accessibility. Offline channels facilitate tactile experiences, allowing consumers to smell and inspect tea leaves before purchasing, which can influence buying decisions. Despite the growth of online retail, offline channels continue to be integral in driving oolong tea sales, especially for consumers who value sensory exploration and immediate gratification.

Market Size By Product

Recent Developments

  • February 2024- HOJO unveiled a pair of exceptionally rare Phoenix Dancong Lao Cong teas. The teas featured for this release are the Phoenix Dancong Lao Cong Yu Jin Xiang Single Tree 2022 and the Phoenix Dancong Lao Cong Ba Xian Wang 2022.
  • August 2023- PT Perkebunan Nusantara (PTPN) Group, in partnership with PT Suntory Garuda Beverage, successfully made its first shipment of Oolong tea to Vietnam for Suntory Pepsico Vietnam Beverage. This milestone signifies the commencement of a strategic partnership between the two firms to provide premium raw materials for ready-to-drink (RTD) beverages throughout Asia.

Top Key Players

R. Twining and Company Limited Bigelow and Company Arbor Teas COFCO International The Republic of Tea Hunan Tea Company Limited Dilmah Ceylon Tea Company Plc The Hain Celestial Group International Coffee and Tea LLC Harada Tea Processing Co. Ltd. Others

Frequently Asked Questions (FAQs)

What is the projected market value of the global Oolong tea Market?
The global Oolong tea Market size is projected to reach USD 433.88 million by 2032.
Asia-Pacific region has the largest share of the Oolong tea Market.
The loose-leaf segment is expected to dominate over the forecast period.
R. Twining and Company Limited, Bigelow & Company, Arbor Teas, COFCO International, The Republic of Tea, Hunan Tea Company Limited, Dilmah Ceylon Tea Company Plc, The Hain Celestial Group, International Coffee & Tea LLC, Harada Tea Processing Co. Ltd., and others., are the prominent players in the Oolong tea Market.
The global Oolong tea Market growing at a CAGR of 3.85% from (2024–2032).

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