The Global Hemp Tea Market Projected to Grow at a CAGR of 22.1% and Generate a Revenue of $392,802.0 million by 2031Download Sample Reports Overview
The global hemp tea market size is predicted to be valued at $392,802.0 million by 2031, surging from $56,190.0 million in 2021, at healthy CAGR of 22.1%.
Impact Analysis of COVID-19 on the Hemp Tea Market
The global economy has been significantly impacted by the public health emergency brought on by the COVID-19. Various economies all across the world have been negatively impacted by the COVID-19 outbreak. More than 100 countries have been affected by the pandemic. Governments of various countries around the world had issued partial or total lockdowns as a precaution to stop the diseases spread and avert its effects, which will have a significant impact on the hemp tea businesses. Due to the COVID-19 pandemic, companies manufacturing hemp tea were forced to close their operations as raw material supply was scarce. Due to this aspect, the manufacturing of hemp products, including hemp tea, decreased, causing fluctuations in product sales and company’s expansion. Also, the production activity of the companies was severely hampered due to labor shortage, thereby, hindering the hemp tea market expansion.
In pandemic scenario, many people had a misconception that consumption of hemp tea would enhance their corona symptoms as hemp tea is extracted from cannabis plant. As a result, they chose not to drink hemp tea made from cannabis. Due to this, the demand for hemp tea products has further declined. In the pandemic period, these factors have reduced the demand for hemp tea which has negatively impacted the hemp tea market share growth.
Global Hemp Tea Market Analysis
Due to rising consumer awareness and preference for dietary supplements, the market for hemp tea on a global scale is predicted to increase exponentially. Hemp tea is a great source of antioxidants, which are very helpful for treating a variety of health issues, including stress relief, anxiety disorders, muscle pain, and weight management. These elements have encouraged a lot of young people to taste and incorporate unique hemp tea and hemp plant-based items in their routine diet. Additionally, governments in numerous nations have made it legal to use CBD, a cannabinoid contained in cannabis plants, to make a variety of beverages such as CBD sparkling water and hemp tea. Hemp tea is naturally caffeine-free and has a pleasant flavor like other herbal teas, which makes it a healthy tea alternative. Arthritis, a common joint pain disorder prevalent in middle to aged people, can be reduced, and controlled by hemp tea and herbal teas that include CBD extracts. Hemp plants have various antioxidant characteristics that help them fight free radicals in the body, thus hemp tea contains more than just CBD to support heart health. Such elements are probably going to fuel the hemp tea market in the upcoming estimated time period.
However, due to stringent government restrictions and complete ban placed on cannabis use in many nations, the market for hemp tea is likely to encounter some significant obstacles as hemp tea is made from cannabis plant. Also, many people are under misconception that hemp tea, which is derived from the cannabis plant, has the potential to make them high. In the coming years, hemp tea market size expansion is anticipated to be constrained by consumer’s lack of awareness about the health-related benefits of consuming hemp tea beverage.
The new product developments and acquisitions in the hemp tea market is expected to create new opportunities in the forecast period. As the demand for the hemp plant products like hemp tea is increasing among the people, the manufacturing companies have opted for various business development strategies to expand their business and reach out to a wider consumer base. For instance, in April 2021, LIFEBRANDS Natural Food GmbH, a Germany-based manufacturer specializing in healthy and sustainable food, acquired Revolution Tea, a Phoenix-based company specializing in high-quality tea products, in order to enter the U.S. hemp tea market, thereby expanding LIFEBRANDS' global hemp tea presence.
Global Hemp Tea Market Share, Segmentation
The global hemp tea market is segmented based on distribution channel and region.
The distribution channel segment is further classified into online/direct-to-consumer, convenience stores, and others. Among these, the online/direct-to-consumer sub-segment is anticipated to have a dominant market share as well as it is expected to show the fastest growth during forecast period. The simplicity and quick uptake of CBD-infused products on e-commerce platforms are primarily responsible for hemp tea market's rapid rise. Additionally, consumers' increasing use of online shopping is anticipated to accelerate the growth of this market throughout the forecast period.
The hemp tea market in the Asia-Pacific region is projected to show the fastest growth. Asia- Pacific region generated a significant market share in 2021 and is likely to observe a considerable growth in the forecast time period. The relaxation of regulations governing the commercial use of cannabis products in the region is largely responsible for this rise. In addition, hemp tea is becoming more popular in this region.
Key Players in the Global Hemp Tea Market
Some of the leading hemp tea market players are
- Buddha Tea
- Traditional Medicinals
- Its Hemp
- Clipper Tea
- Willie’s Remedy
- Colorado Harvest Company
- Tranquility Tea Company
- The Tea Can Company Specialty Teas
- Neo Australia
In October 2021, Methanex, a leading supplier and distributor of hemp tea in Canada, formed a strategic shipping partnership with Mitsui O.S.K. Lines, a Japanese transportation company. This collaboration will provide multimodal shipping services to help the commercialization of hemp tea.