Barley Tea Market Size, Share & Industry Analysis by Product Type (Bulk/Loose Leaf, Tea Bags, Ready-to-Drink Tea, and Instant/Powdered Concentrates), By Flavor (Flavored {Fruity Flavor, Herbs & Spices-Flavored, Chocolate-Flavored, and Others} and Original), By Packaging (Bottles, Cans, Sachets/Boxes, and Bulk Bags/Pails), By Distribution Channel (Supermarkets/Hypermarkets, Convenience Stores, Specialty Stores, Online Retail, and Others), and Regional Forecast, 2025-2032

The global barley tea market size was valued at USD 1,030.75 million in 2024. The market is projected to grow from USD 1,086.31 million in 2025 to USD 1,583.23 million by 2032, exhibiting a CAGR of 5.53% during the forecast period. Asia Pacific dominated the barley tea market with a market share of 54.59% in 2024.

Barley tea, commonly referred to as mugicha, is a caffeine-free and antioxidant-rich infusion produced from roasted barley kernels. This tea offers a slightly bitter, toasted, and nutty flavor, and can be consumed cold or hot across daily routines. Traditionally, it is an East Asian beverage and a household staple in Japan and parts of China. In terms of health advantages, it supports metabolic health and helps in weight management. Moreover, it is considered a low-calorie alternative to sugary drinks and aids in blood-glucose control.

Additionally, it provides hydration similar to water and is an ideal caffeine-free substitute. A few of the popular flavored tea includes ginger lemon, peach, and amla-flavored tea. With respect to consumption, the Asia Pacific and North America are the leading consumers of barley tea products.

The growing demand for ready-to-drink tea and the increasing prevalence of health conditions drive the market’s potential. Some of the key market players include Suntory Holdings Limited, ITO EN, and Sugimoto Tea.

MARKET DYNAMICS

MARKET DRIVERS

Growing Demand for Natural Beverages Propels the Market’s Momentum

The augmented inclination toward natural drinks is a key driver supporting the market’s potential. In today’s fast-paced environment, most global consumers are struggling with several health concerns, such as obesity, diabetes, and cardiac issues, which have led them to look for substitutes that provide both wellness and hydration advantages. Barley tea, being low in calories and caffeine, fits well as an alternative, offering eco friendly and refreshing option. Moreover, the drastic shift toward organic and plant-based food is another strong factor bolstering the industry’s momentum. Globally, individuals are becoming more aware of the components in their drinks, favoring those that are minimally processed, free from preservatives, and are natural. This evolving demand from eco conscious consumers can be fulfilled by organic variants of tea, which are easily accessible. These factors are anticipated to contribute to the global barley tea market growth.  

MARKET RESTRAINTS

Low Awareness and Acceptance and Tough Competition from Established Beverages Could Restrict the Market’s Momentum

One of the pivotal obstacles in the global market is the limited acceptance and awareness of barley tea. Predominantly, this tea is a staple in countries such as China, Japan, and Korea, and is consumed on a daily basis. However, in Western countries, barley grain is mainly associated with animal feed or beer brewing rather than drinks. Most of the individuals in such countries are unfamiliar with the health advantages and taste profile of barley (slightly bitter and nutty), which makes the adoption of barley-sourced tea difficult. Thus, this minimal awareness impedes the growing potential of the market.

Strong competition from renowned beverages is another restraint in the global market. The barley drinks sector faces tough competition from energy drinks, coffee, and the soft drinks industry, which limits the global market expansion.

MARKET OPPORTUNITIES

Adoption of Modern Technologies in the Tea Market Offers Growth Opportunities

The utilization of advanced technologies opens lucrative growth opportunities in the global industry. To improve the quality of beverages, the manufacturers should use cold-plasma technologies and high-pressure processing, which is helpful in deactivating microbes without heat damage. These techniques can be utilized in preserving cold-brewed and fresh-roasted flavor in RTD tea while extending the shelf life. Moreover, inline spectroscopy is another modern technology that aids in detecting contaminants. The companies can adopt this technology along with machine-learning models to assist in assuring batch-to-batch consistency and fuel new product development. Additionally, nanoencapsulation is gaining popularity in the market and is beneficial in protecting fortified minerals, vitamins, and probiotics from heat, sensory impact, and oxidation.

BARLEY TEA MARKET TRENDS

Surging Inclination toward Flavored Tea is the Ongoing Trend

The global market is experiencing a substantial inclination toward flavored beverages. In this modern era, most individuals are inclined toward healthy drinks that offer numerous health advantages, along with appealing flavors. To captivate the consumer’s attention, a few enterprises are experimenting with flavored barley blends (floral, roasted nut notes, and citrus) and a cold brewing process to enhance the smoothness. Predominantly, the flavored version is highly preferred by consumers as it strengthens the natural taste and attracts consumers who may find the original flavor too bland. Moreover, the producers are focusing on introducing barley tea infused with hibiscus, lemongrass, and ginger to fulfill the demand from health conscious consumers, looking for unique drinks.

Download Free sample to learn more about this report.

Segmentation Analysis

By Product Type

Bulk/Loose Leaf Segment Dominated the Market Owing to its Superior Flavor

On the basis of product type, the market is segmented into bulk/loose leaf, tea bags, ready-to-drink tea, and instant/powdered concentrates.

The bulk/loose leaf segment led the global barley tea market share in 2024. This item offers a strong flavor as coarse grains release flavor gradually in comparison to paper-wrapped tea bags and instant forms. Moreover, the bulk form can be easily customized and individuals can easily control the dose, which boosts its acceptance. Additionally, loose leaf has a prolonged shelf life and can be widely utilized for culinary purposes.

The tea bags segment secured the second position in the global market in terms of share.

By Flavor

Flavored Category Leads the Market Due to its Broader Mass-Market Appeal  

Depending on the flavor, the market is segmented into flavored and original.

Of these, the flavored segment led the market in 2024. Compared to original/unflavored tea, the flavored segment captivates a large consumer base, particularly those who dislike the plain, nutty, and roasted notes. Especially in Western markets, most individuals are inclined toward fruitiness or sweetness and are willing to pay extra for unique flavor combinations as well as seasonal editions. Moreover, these flavors carry functional components such as ginger, honey, lemon, and chamomile, making it easier to position in the health & wellness space.

The original segment is expected to flourish at a high CAGR of 4.49% during the study period.

By Packaging

Bottles Segment Led the Market in 2024 Due to their Convenience

Based on packaging, the market is distributed into bottles, cans, sachets/boxes, and bulk bags/pails.

The bottles segment led the global market in 2024. Bottled tea is considered a part of ready to drink segment, which requires zero preparation before consumption. This bottled tea provides single-serve portion control and is easily portable. Moreover, they have an extended shelf life and appeal to mainstream individuals who are unfamiliar with the tea. Additionally, this tea aligns with the trend of on-the-go consumption and is widely available across the global market. 

The cans segment is anticipated to grow at a high CAGR of 8.65% during the study period.

By Distribution Channel

To know how our report can help streamline your business, Speak to Analyst

Supermarkets/Hypermarkets Segment Led the Market due to their Numerous Advantages

On the basis of distribution channel, the market is distributed into supermarkets/hypermarkets, convenience stores, specialty stores, online retail, and others.

The supermarkets/hypermarkets segment dominated the market in 2024. Supermarkets/hypermarkets are recognized as a one-stop shop that offers a vast range of products in various pack sizes. This channel provides better support for family/bulk shopping and also allows consumers to inspect the freshness and packaging of finished drinks. Moreover, easier exchange and returns and in-store sampling of items further add value to the segment’s growth.

The online segment is anticipated to grow at a high CAGR of 6.90% during the study period.

Barley Tea Market Regional Outlook

On the basis of region, the market is segmented into North America, Europe, Asia Pacific, South America, and the Middle East & Africa. 

Asia Pacific

To get more information on the regional analysis of this market, Download Free sample

Asia Pacific dominated the market and held the highest share in 2024. In this region, barley tea is considered an everyday beverage, especially in countries such as Japan, South Korea, and China. The majority of Asian consumers are aware of its original flavor and are looking to experiment with new flavors. To attract consumers, Asian manufacturers are aiming to introduce a flavored version of tea that provides health benefits along with flavors. Moreover, the growing demand for caffeine-free and antioxidant-rich functional beverages drives the consumption of barley tea. Additionally, the expanding e-commerce network and surging on-the-go lifestyles necessitate producers to launch a convenient format of tea. Besides this, the enhanced urbanization and rising trend of premiumization further propel the regional growth.

North America and Europe

Other regions, such as North America and Europe, are predicted to witness considerable growth in the future. During the forecast period, North America is predicted to record a growth rate of 5.30%, which is the second highest amongst all the regions. This growth is driven by rising cultural influences, innovation in product offerings, and the surging demand for functional drinks. The U.S. is the leading country in the North America region. The growing inclination toward caffeine-free alternatives and the strong influence of social media boost the market’s potential.

After North America, Europe ranked third in the global industry in 2024. The growing launches of eco-friendly packaged tea and the growing trend of health consciousness bolster the market growth.

South America and the Middle East & Africa

Over the forecast period, South America and the Middle East & Africa are predicted to witness moderate growth in the near term. The increasing awareness of unique flavors and potential health benefits of barley tea strengthens the region’s potential.

COMPETITIVE LANDSCAPE

Key Industry Players

Active Players Concentrate on Product Developments to Improve their Profitability

Key players in the market include Suntory Holdings Limited, ITO EN, Sugimoto Tea, and others. Enterprises in the global market are aiming at new product launches to cater to the evolving consumer demands. Predominantly, the manufacturers are focusing on introducing flavored tea, which appeals to consumers and escalates their profit margin.

List of Key Barley Tea Companies Profiled

• Suntory Holdings Limited (Japan)
• The Canadian Barley Tea (Canada)
• Sugimoto Tea (Japan)
• ITO EN (Japan)
• Ocha Yamashiro (Japan)
• HAITAI (U.S.)
• Harada Tea Processing Co., Ltd. (Japan)
• SANEI KOSAN CO., LTD. (Japan)
• JIN-DA CO., LTD. (Taiwan)
• Ten Ren’s Tea (Taiwan)

KEY INDUSTRY DEVELOPMENTS

• August 2022: Deer Creek Malthouse, a U.S.-based specialty malt and ingredients company, announced the launch of its barley tea, produced from organic sprouted whole grains. This product is packaged in nitro-dosed sleek cans and is available in numerous flavors.
• April 2022: The Canadian Barley Tea Company, a tea enterprise founded by two sisters in Canada, released its latest mo’mugi roasted barley grains-based tea. This tea is convenient to use and is available on Amazon across Canada and the U.S.
• January 2020: National Foods and Beverages, an Indian importer of Korean and Japanese foods, unveiled a barley tea through its brand, House. The packaging of tea comprises 16 pouches, each of 20 grams, and can be purchased from Indian retailers.

REPORT COVERAGES

The market report includes quantitative and qualitative insights into the market. It also offers a detailed analysis of market size and growth rate for all possible segments. Various key insights presented in the market research report are an overview of related markets, competitive landscape, recent industry developments such as mergers & acquisitions, the regulatory scenario in critical countries, and global market trends.

To gain extensive insights into the market, Download for Customization

Report Scope & Segmentation