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China Tea Industry and Market Analysis Report 2016-20

As a natural healthy drink, tea has a long history of consumption and a large consumer group. In recent years, with the continuous improvement of Chinese people’s living standards, the importance of health is increasing. Drinking tea as a healthy lifestyle is in line with the current Chinese consumers’ pursuit of healthy and high-quality life.

Tea plantation areas in China

At present, China’s tea production accounts for more than 40% of the global tea production and continues to increase. Although China’s tea production leads the world, from the perspective of tea plantation yields, there is a lot of room for improvement in the efficiency of China’s tea supply. Data show that in 2020, the total area of ​​tea gardens in China’s 18 major tea-producing provinces (autonomous regions and municipalities) will total 47,476,900 mu, an increase of 1,498,200 mu over the previous year and a year-on-year increase of 3.26%. Among them, the harvestable area was 41,521,800 mu, an increase of 4,614,100 mu compared with last year, and a year-on-year increase of 12.5%.

The area of ​​tea gardens in China is gradually expanding. Data shows that in 2019, the area of ​​tea gardens in China’s 18 major tea-producing provinces (regions and cities) reached 45,978,700 mu, an increase of 4.6% year-on-year. Among them, the harvestable area was 36.907 million mu, a year-on-year increase of 6.15%. There are 5 provinces with tea picking areas of ​​more than 3 million mu, namely Yunnan (6.0465 million mu), Guizhou (4.701 million mu), Sichuan (4,462,400 mu), Hubei (3.7 million mu) and Fujian (3.0939 million mu).

Tea production in China

Tea is a natural and healthy drink and has a long history of drinking tea in China. China is the largest producer of tea, and the output of tea is the largest in the world. Since 2016, China’s tea production has been increasing steadily. According to data, China’s tea production has increased from 2,313,300 tons in 2016 to 2.97 million tons in 2020, an increase of 192,800 tons from the previous year in 2020, an increase of 6.94% year-on-year.

In 2020, among the six major teas in China, the output of green tea and oolong tea will continue to increase steadily, but the proportion of total output will continue to be fine-tuned; the output of black tea, white tea, and yellow tea will increase sharply, and the proportion of total output will increase; black tea will slightly decrease. The proportion of total output has declined. Specifically: the output of green tea is 1.8427 million tons, accounting for 61.70% of the total output, an increase of 69,900 tons, an increase of 3.94%; the output of black tea is 404,300 tons, accounting for 13.54%, an increase of 97,100 tons, an increase of 31.59%; black tea The output is 373,300 tons, accounting for 12.50%, a decrease of 4,800 tons, or 1.28%; the output of oolong tea is 277,800 tons, accounting for 9.30%, an increase of 20 thousand tons, an increase of 0.73%; the output of white tea is 73,500 tons, accounting for 2.46%, an increase of 23,900 tons, an increase of 48.05%; the output of yellow tea was 14,500 tons, accounting for 0.49%, an increase of 4,800 tons, an increase of 48.78%.

Tea sales in China

In recent years, the pattern of tea transactions in China’s tea wholesale market has been relatively stable. At present, the top three teas with the largest consumption in China are green tea, black tea and oolong tea. Data show that in 2020, China’s domestic tea sales reached 2.2016 million tons, an increase of 176,100 tons over the previous year and an increase of 8.69% year-on-year. In 2020, the average domestic tea price in China was 131.21 yuan/kg, a year-on-year decrease of 2.98%. In 2020, the total domestic sales of Chinese tea were 288.884 billion yuan, a year-on-year increase of 5.45%.

Data show that China’s domestic sales of green tea in 2020 were 169.92 billion yuan, accounting for 58.8% of the total domestic sales; black tea was 50.085 billion yuan, accounting for 17.4%; black tea was 30.157 billion yuan, accounting for 10.4%; oolong tea was 28.07 billion yuan, accounting for 9.7%; white tea 8.953 billion yuan, accounting for 3.1%; yellow tea 1.696 billion yuan, accounting for 0.6%.

Source: China Commercial Industry Research Institute

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