Report Overview

Japan Herbal Tea Market – Industry Trends & Forecast Report, 2030

The Japan Herbal Tea Market size was estimated at USD 1.24 billion in 2023. During the forecast period between 2024 and 2030, the Japan Herbal Tea Market size is projected to grow at a CAGR of 8.76% reaching a value of USD 2.98 billion by 2030. The Japan herbal tea market is currently undergoing significant growth, driven by a growing consumer inclination towards health and wellness products. According to a report from the Global Wellness Institute, Japan is a country where wellness is an integral part of the culture, which can be observed through nature-based travel and a mindful approach to fresh food and drinks. There has been a significant increase in awareness regarding the potential health benefits of herbal teas due to their antioxidant and calming properties, resulting in a surge in demand. Moreover, a cultural appreciation for traditional herbal remedies and a shift away from sugary beverages have further propelled the market. Companies are responding to evolving consumer preferences by innovating with diverse herbal blends, contributing to the ongoing expansion of the herbal tea market in Japan.

Herbal Tea – Overview

Herbal tea, also known as herbal infusion or tisane, is a beverage created by steeping herbs, spices, or other plant elements in hot water. It does not come from the Camellia sinensis plant, which is used to make real teas such as black, green, white, and oolong tea. Instead, herbal tea is an infusion or blend of diverse leaves, fruits, bark, roots, or flowers from nearly any edible, non-tea plant. Herbal teas, brewed from fresh or dried flowers, fruit, leaves, seeds, or roots, are popular for their colorful flavors and varied mental, emotional, and physical health benefits. Most herbal teas are naturally caffeine-free, making them an appealing option for individuals who are sensitive to caffeine or want to limit their use. Emotional and physical health benefits. Herbal teas are widely available in Japan and are sold in specialty tea shops, supermarkets, and online. They are consumed for their taste and for the health benefits that they are believed to provide, such as improved digestion, reduced stress, and increased energy.

Japan Herbal Tea Market

Growth Drivers

Growing health consciousness

The herbal tea market in Japan is expanding rapidly as consumers become more health-conscious and want healthier, rich in nutrients products. This burgeoning trend reflects a broader societal shift towards healthier lifestyle choices, with consumers actively seeking out alternatives to traditional beverages that offer both refreshing taste and potential health benefits. The Japanese population's increasing awareness of the link between diet and well-being has fueled a preference for herbal teas, which are perceived as natural, plant-based remedies with potential health-promoting properties. As consumers become more discerning about the ingredients in their beverages, herbal teas have gained traction for their perceived medicinal and wellness attributes. This expanding market is not only witnessing a surge in the variety of herbal tea blends available but also an influx of innovative products that cater to diverse preferences. As the herbal tea market continues to flourish, it highlights a broader shift towards a more health-conscious and nutrition-focused lifestyle among Japanese consumers.

Challenges

Competition from other beverages

The Japan herbal tea market is currently facing a formidable challenge with the surge in competition from other beverage alternatives. While herbal tea has long been a traditional and favored choice among Japanese consumers for its perceived health benefits and cultural significance, the evolving preferences and dynamic beverage landscape pose a threat to its growth. The market is witnessing a notable shift as consumers explore an array of alternatives, including ready-to-drink beverages, functional beverages, and innovative flavor profiles, which divert attention away from herbal tea. With the entry of new and trendy options, consumers are increasingly shifting towards beverages that offer convenience, unique taste experiences, and functional attributes, challenging the established position of herbal tea in the Japanese market. As a result, the herbal tea market in Japan is compelled to adapt and innovate to not only retain its existing consumer base but also to capture the attention of a broader audience amidst the ever-expanding choices in the beverage sector.

Impact of Escalating Geopolitical Tensions on Japan Herbal Tea Market

The escalating geopolitical tensions in the global landscape have impacted various industries, including the herbal tea market in Japan. The Japan herbal tea market, known for its traditional blends and health-conscious consumer base, now finds itself navigating the challenges posed by geopolitical uncertainties. The heightened tensions may impact the sourcing and supply chain of key herbal ingredients, potentially leading to disruptions in production and distribution. The increased volatility in international relations can also influence exchange rates and trade policies, affecting the overall cost structure of the herbal tea market in Japan. Additionally, consumer sentiments may be affected as uncertainties in the geopolitical sphere often contribute to economic instability, potentially leading to changes in purchasing behavior and preferences. Collaborations and partnerships within the herbal tea industry, both domestically and internationally, may face challenges as diplomatic relations undergo strain. Moreover, the geopolitical landscape may prompt shifts in global trade dynamics, impacting the accessibility of certain herbal ingredients and the competitiveness of Japan herbal tea in the international market. As stakeholders in the herbal tea market in Japan closely monitor geopolitical developments, proactive strategies, and adaptive measures become crucial to navigate the evolving landscape and sustain the growth of this traditionally esteemed beverage industry in the face of geopolitical uncertainty.

Japan Herbal Tea Market

Segmental Coverage

Japan Herbal Tea Market – By Type

Based on raw material, Japan herbal tea market is divided into black tea, green tea, and yellow tea segments. The black tea segment is expected to cover a significant share of the Japanese herbal tea market during the forecast period. A survey conducted by the organizing committee of a national summit dedicated to Japanese black tea producers and enthusiasts revealed a noteworthy surge in the number of tea producers, reaching 897 as of October 2022—an impressive increase of 500 since 2012. Fueled by heightened health consciousness and a growing penchant for Western influences, the younger demographic in both China and Japan is increasingly favoring black tea. This preference is driven by the recognized health benefits of black tea, enriched with polyphenols that act as antioxidants, offering protection against DNA damage induced by factors such as cigarettes and other hazardous chemicals. The thriving expansion of the Japanese black tea market highlights a fascinating fusion of cultural traditions and contemporary lifestyle choices.                                                            

Japan Herbal Tea Market – By Type

Based on type, Japan herbal tea market is segmented into cinnamon, dandelion, chamomile, ginger, turmeric, and blends categories. Chamomile tea is expected to cover a substantial market share due to the growing recognition of its therapeutic qualities. Renowned for its calming effects and potential to alleviate stress, and anxiety, and promote better sleep, chamomile tea has gained popularity among health-conscious consumers in Japan. The market's inclination towards chamomile tea is further propelled by its reputed digestive benefits and anti-inflammatory properties. As wellness trends continue to shape consumer preferences, the demand for herbal teas like chamomile is expected to surge, creating a significant presence within Japan's vibrant herbal tea market.

Japan Herbal Tea Market – By Product Type

Based on product type, Japan herbal tea market is divided into syrups, premixes, powdered ready-to-drink, and liquid ready-to-drink. The powdered ready-to-drink segment is expected to hold a significant share in the Japan herbal tea market. Powdered ready-to-drink are commonly utilized since they are compact and suitable for all seasons. The liquid herbal tea segment holds second place, as it is widely consumed as a refreshing drink, contributing to the herbal tea market's rapid expansion. The syrup segment is also anticipated to witness growth in the coming years, uniquely combining sugar and herbal tea extracts. Particularly appealing to the younger generation, the syrup segment is positioned to bolster its market share, reflecting the diverse preferences and evolving trends within the thriving herbal tea market in Japan.

Competitive Landscape

Major players operating in the Japan Herbal Tea Market include Senbird Tea LLC, Sazen Tea Company, The Tea Company, Ekaterra, Celestial Seasonings, Kyoto Obubu Tea Farms, Nodoka, HOJICHA TRADING CO. LTD., Japanese Green tea Hibiki-an, Jade Leaf Matcha, Takezawa Seich, Japanese Green Tea Co. LLC, and d: matcha Kyoto and Other Prominent Players. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Raw Material

• Black Tea

• Green Tea

• Yellow Tea

By Type

• Cinnamon

• Dandelion

• Chamomile

• Ginger

• Turmeric

• Blends

By Product Type

• Syrups

• Premixes

• Powdered Ready to Drink

• Liquid Ready to Drink

By Packaging Type

• Loose Tea

• Paper Pouches

• Tea Bags

• Carton Packs

• Can Packaging

By Function

• Cognitive Health

• Gut & Digestive Health

• Multifunctional

By Distributional Channel

• Store Based

• Non-Store Based

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Japan Herbal Tea Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1.  Growing health consciousness
         2. Growing aging population
         3. Innovation and product variety
      2. Restraints
         1. Regulations and safety concerns
         2. Fluctuations in raw material prices
         3. Counterfeit products
      3. Opportunities
         1. Expanding online sales
         2.  Product diversification
         3. Increasing partnerships and collaborations
      4. Challenges
         1. Competition from other beverages
         2. Limited distribution channels
   3. Import and Export of Japan Herbal Tea
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Japan Herbal Tea Market: Marketing Strategies
5. Japan Herbal Tea Market Overview
   1. Market Size & Forecast, 2019-2030
      1. By Value (USD Million)
      2. By Value (Metric tons)
   2. Market Share & Forecast
      1. By Raw Material
         1.  Black Tea
         2. Green Tea
         3. Yellow Tea
      2. By Type
         1. Cinnamon
         2. Dandelion
         3. Chamomile
         4. Ginger
         5. Turmeric
         6. Blends
      3. By Product Type
         1. Syrups
         2. Premixes
         3. Powdered Ready to Drink
         4. Liquid Ready to Drink
      4. By Packaging Type
         1. Loose Tea
         2. Paper Pouches
         3. Tea Bags
         4. Carton Packs
         5. Can Packaging
      5. By Function
         1. Cognitive Health
         2. Gut & Digestive Health
         3. Multifunctional
      6. By Distributional Channel
         1. Store Based
         2. Non-Store Based
6. Competitive Landscape
   1. List of Key Players and Their Range
   2. Japan Herbal Tea Company Market Share Analysis, 2023
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Development (Merger, Acquisition, Partnership)
7. Impact of Geopolitical Tension in Japan Herbal Tea Market
8. Company Profile (Company Overview, Financial Matrix, Competitive landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook, SWOT Analysis)
   1. Senbird Tea LLC
   2. Sazen Tea Company
   3. The Tea Company
   4. Ekaterra
   5. Celestial Seasonings
   6. Kyoto Obubu Tea Farms
   7. Nodoka
   8. Japanese Green tea Hibiki-an
   9.  Jade Leaf Matcha
   10. Takezawa Seich
   11. Japanese Green Tea Co. LLC
   12. D matcha Kyoto
   13. Other Prominent Players
9. Key Strategic Recommendations
10. Research Methodology
    1. Qualitative Research
       1. Primary & Secondary Research
    2. Quantitative Research
    3. Market Breakdown & Data Triangulation
       1. Secondary Research
       2. Primary Research
    4. Breakdown of Primary Research Respondents
    5. Assumption & Limitation

*Financial information of case of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Japan Herbal Tea Segmentation

Figure 2       Japan Herbal Tea Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2023

Figure 4       Japan Herbal Tea Market Size, By Value (USD Million), 2019-2030

Figure 5       Japan Herbal Tea Market Size, By Volume (Metric Tons), 2019-2030

Figure 6       Japan Herbal Tea Market Share, By Raw Material, By Value (USD Million), 2019-2030

Figure 7       Japan Herbal Tea Market Share, By Raw Material, By Volume (Metric Tons), 2019-2030

Figure 8       Japan Herbal Tea Market Share, By Type, By Value (USD Million), 2019-2030

Figure 9       Japan Herbal Tea Market Share, By Type, By Volume (Metric Tons), 2019-2030

Figure 10     Japan Herbal Tea Market Share, By Product Type, By Value (USD Million), 2019-2030

Figure 11     Japan Herbal Tea Market Share, By Product Type, By Volume (Metric Tons), 2019-2030

Figure 12     Japan Herbal Tea Market Share, By Packaging Type, By Value (USD Million), 2019-2030

Figure 13     Japan Herbal Tea Market Share, By Packaging Type, By Volume (Metric Tons), 2019-2030

Figure 14     Japan Herbal Tea Market Share, By Function, By Value (USD Million), 2019-2030

Figure 15     Japan Herbal Tea Market Share, By Function, By Volume (Metric Tons), 2019-2030

Figure 16     Japan Herbal Tea Market Share, By Distribution Channel, By Value (USD Million), 2019-2030

Figure 17     Japan Herbal Tea Market Share, By Distribution Channel, By Volume (Metric Tons), 2019-2030

List of Tables      

Table 1        Japan Herbal Tea Market Size, By Value (USD Million), 2019-2030

Table 2        Japan Herbal Tea Market Size, By Volume (Metric Tons), 2019-2030

Table 3        Japan Herbal Tea Market Share, By Raw Material, By Value (USD Million), 2019-2030

Table 4        Japan Herbal Tea Market Share, By Raw Material, By Volume (Metric Tons), 2019-2030

Table 5        Japan Herbal Tea Market Share, By Type, By Value (USD Million), 2019-2030

Table 6        Japan Herbal Tea Market Share, By Type, By Volume (Metric Tons), 2019-2030

Table 7        Japan Herbal Tea Market Share, By Product Type, By Value (USD Million), 2019-2030

Table 8        Japan Herbal Tea Market Share, By Product Type, By Volume (Metric Tons), 2019-2030

Table 9        Japan Herbal Tea Market Share, By Packaging Type, By Value (USD Million), 2019-2030

Table 10      Japan Herbal Tea Market Share, By Packaging Type, By Volume (Metric Tons), 2019-2030

Table 11      Japan Herbal Tea Market Share, By Function, By Value (USD Million), 2019-2030

Table 12      Japan Herbal Tea Market Share, By Function, By Volume (Metric Tons), 2019-2030

Table 13      Japan Herbal Tea Market Share, By Distribution Channel, By Value (USD Million), 2019-2030

Table 14      Japan Herbal Tea Market Share, By Distribution Channel, By Volume (Metric Tons), 2019-2030

Table 15      Senbird Tea LLC Company Overview                      

Table 16      Senbird Tea LLC Financial Overview                       

Table 17      Sazen Tea Company Company Overview                         

Table 18      Sazen Tea Company Financial Overview                          

Table 19      The Tea Company Company Overview                   

Table 20      The Tea Company Financial Overview                    

Table 21      Ekaterra Company Overview                        

Table 22      Ekaterra Financial Overview                         

Table 23      Celestial Seasonings Company Overview                         

Table 24      Celestial Seasonings Financial Overview                          

Table 25      Kyoto Obubu Tea Farms Company Overview                    

Table 26      Kyoto Obubu Tea Farms Financial Overview                     

Table 27      Nodoka Company Overview                         

Table 28      Nodoka Financial Overview                          

Table 29      Japanese Green tea Hibiki-an Company Overview                      

Table 30      Japanese Green tea Hibiki-an Financial Overview                       

Table 31      Jade Leaf Matcha Company Overview                   

Table 32      Jade Leaf Matcha Financial Overview                    

Table 33      Takezawa Seich Company Overview                      

Table 34      Takezawa Seich Financial Overview                       

Table 35      Japanese Green Tea Co. LLC Company Overview                       

Table 36      Japanese Green Tea Co. LLC Financial Overview                        

Table 37      D matcha Kyoto Company Overview                      

Table 38      D matcha Kyoto Financial Overview