Tea Market Expected to Steep through 2012, Nearly Doubling in Size

New York, November 12, 2007— With plenty of open water to navigate, the market for tea, — instant, leaf, liquid concentrate and ready-to-drink — is expected to heat up over the next five years, growing from an estimated $7.4 billion in sales in 2007 to nearly $15 billion in 2012, according to Tea and Ready-to-Drink Tea in the U.S., a new report from market research publisher Packaged Facts.

One of the most underdeveloped beverages in the United States, tea barely compares in size to beverage categories such as carbonated soft drinks, coffee, and water. Americans’ growing interest in wellness, however, is starting to change that. Tea’s good-for-you, all-natural halo and lower-than-coffee-or-cola caffeine content complement today’s health-aware consumer, particularly the older generation. A functional beverage, tea fits into the well-established movement among aging Baby Boomers to seek out foods and beverages that promise wellness and anti-aging effects.

Tea also has an advantage over other beverages in its diversity. Packaged Facts projects that by 2012, specialty tea, which currently makes up 36% of the overall market, will command half of all tea and ready-to-drink tea sales in the United States.

“As more flavors and packaging options enter the market, tea and ready-to-drink teas are increasingly securing a position as an alternative to carbonated soft drinks,” notes Tatjana Meerman, the publisher of Packaged Facts. “The days of the generic black tea bag are gone and the chai, yerba mate, rooibos and other specialty teas that Boomers are consuming in mass quantities are here to stay.”

Tea and Ready-to-Drink Tea in the U.S. provides a comprehensive look at both the retail and foodservice markets for tea, including instant tea, leaf tea, liquid concentrate, and ready-to-drink tea. The report examines new product trends, offers competitive profiles of industry leaders (and up and comers), and looks at consumer trends and behaviors. The report is available from Packaged Facts by visiting: http://www.packagedfacts.com/Tea-RTD-1282368.

About Packaged Facts
Packaged Facts publishes market intelligence on a wide range of consumer industries, including consumer goods and retailing, food and beverage, and demographics. For more information visit www.PackagedFacts.com, or contact Tom Ehart at 240-747-3014, or tehart@marketresearch.com.