The global blue tea market size was valued at USD 297.10 million in 2024. The market is projected to grow from USD 331.91 million in 2025 to USD 762.91 million by 2032, exhibiting a CAGR of 12.63% during the forecast period. Asia Pacific dominated the blue tea market with a market share of 68.97% in 2024.
Blue tea is an herbal-infused tea produced from the butterfly pea flower (Clitoria ternatea) and is gaining global traction owing to health attributes, pleasant appearance, and increased demand for functional drinks. It contains no caffeine, is versatile in blends, and is widely utilized in functional and wellness drinks in home and commercial applications. The product’s expansion via online and international e-commerce channels facilitate penetration into new countries and younger consumers. In January 2025, Blue Tea, India's Shark Tank-starred herbal tea company, marked its growth to reach approximately USD 12 million in annual revenues by the financial year (FY26) as the global wellness market sustains its healthy growth pace. This achievement reflects the brand's continued growth spurt driven by changing consumer trends, strategic collaborations, and phenomenal online performance.
The industry is dominated by key players, such as Blue Tea Co., Dilmah Ceylon Tea Company, Pukka Herbs, Yum Cha Tea Company, Butterfly Pea Co., and others. These players introduce new blends, flavors in terms of herbal, floral, and fruit, adaptogen variants, and functional ingredients to address changing consumer trends and add value to the product.
Global Blue Tea Market Key Takeaways
Market Size & Forecast:
- 2024 Market Size: USD 297.10 million
- 2025 Market Size: USD 331.91 million
- 2032 Forecast Market Size: USD 762.91 million
- CAGR: 12.63% from 2025–2032
Market Share:
- Asia Pacific dominated the blue tea market with a 69.16% share in 2024, supported by long-standing cultural consumption in Thailand, Malaysia, and Vietnam, along with the rising popularity of functional and natural beverages across the region. By product type, loose leaves held the largest share in 2024 at 53.68%, driven by demand for premium flavor, aroma, and customization preferred by health-conscious consumers and specialty tea enthusiasts.
Key Country Highlights:
- United States: The U.S. market was valued at USD 27.29 million in 2024 and is projected to grow significantly, driven by rising demand for natural, functional beverages and expanding retail and online channels. Growth is further supported by strong social media influence, wellness trends, and product innovations introduced by U.S.-based tea brands.
- Germany: Germany continues to experience steady adoption of blue tea, driven by health-oriented consumer behavior and expanding café culture that supports premium herbal and specialty tea offerings.
- India: India remains a fast-growing market, supported by strong online penetration and the success of brands such as Blue Tea Co., which is expanding rapidly through functional blends, RTD innovations, and increasing presence in retail and cafés.
- China: China’s growing interest in herbal and functional teas contributes to rising consumption, supported by a strong tea culture and increasing demand for visually attractive wellness beverages.
- Brazil: Brazil’s market is expanding moderately due to growing consumer interest in natural beverages and the influence of global herbal tea trends reaching South American markets.
- South Africa: South Africa is witnessing gradual market penetration led by niche consumer segments and increased availability of functional and specialty teas through online and modern retail channels.
- Europe: Europe shows consistent growth driven by premiumization, clean-label preferences, and strong café culture across countries such as the U.K.,
- Germany, France, Spain, and Italy.
- Asia Pacific: Asia Pacific maintains market leadership, supported by centuries-old usage, rising disposable incomes, expanding foodservice sector, and strong demand for functional wellness drinks.
MARKET DYNAMICS
Market Drivers
Popularity of Functional Beverages and Nutrition Provided by Blue Tea Drives its Demand
The demand for blue tea is driven by the increasing consumer preference of functional drinks. Functional drinks such as herbal teas provide health benefits over and above basic nutrition, which fit perfectly with the consumer trend of wellness and health. Blue tea is packed with antioxidants in the form of anthocyanins, providing stress relief, anti-inflammatory properties, and skin care. As health awareness increases among consumers, there is demand for natural, plant-based drinks such as blue tea, which offers general well-being, relaxation of mind, and a distinct visual attraction from its volatile blue color that alters with acidity.
- According to the Agriculture and Agri-Food Canada organization, sales of natural fruit/herbal tea in the U.S. increased from USD 584.0 million in 2021 to USD 630.3 million in 2022. The rise in herbal tea sales boosts consumer openness to trying innovative blends such as blue tea, often marketed as premium, functional, and artisanal products.
Market Restraints
Limited Awareness and Raw Material Availability Deter Market Growth
The product awareness and its benefits are still limited beyond Southeast Asia and some Western markets. A lack of exposure to blue tea influences consumers to be reluctant to try it, unlike more established herbal teas such as green tea or matcha. The premium cost of the product, compared to conventional teas further deters price-conscious consumers. Limited knowledge hinders trust, particularly when there are inconsistencies in quality and adulteration because of unregulated supply chains. Additionally, production is constrained in terms of restricted large-scale farming and unstable raw material availability. Recent supply chain disruptions and trade tariffs have also raised procurement expenses and resulted in stock shortages, leading manufacturers to seek alternative sourcing areas.
Market Opportunities
Manufacturers Shift Toward Developing Ready-To-Drink (RTD) Formats Unlock New Opportunities
The market is witnessing a strategic shift as key players are moving toward production of ready to drink (RTD) formats to unlock new growth opportunities. RTD blue tea offerings are gaining popularity since they provide the health benefits of blue tea in an easily consumable form, which appeals to the younger population, consumers who follow an active lifestyle and health-conscious individuals. Major players are capitalizing on these aspects by introducing RTD blue tea offerings to target convenience-driven consumers and tap into increased health awareness.
- For instance, in May 2025, Blue Tea, an Indian herbal tea brand, outlined plans to increase its presence in 2026 with the launch of a ready-to-drink (RTD) blue tea and its foray into offline retail outlets and cafés. The initiative would broaden the company's current direct-to-consumer (D2C) business, which has grown significantly since its debut on the reality show Shark Tank India.
Blue Tea Market Trends
Social Media Popularity Coupled with Premium and Clean-Label Positioning Shapes the Industry
Social media sites, particularly Instagram and wellness influencer collaborations, have greatly increased exposure and demand for blue tea by showcasing its health advantages and attractive indigo color, which is specifically of interest to young consumers and health-aware consumers. The high-end positioning of blue tea brands is supported by direct procurement from farmers, fair trade, and organic certifications, which are good reasons for a premium price and enhances consumer confidence. Clean label trends require the demand for pure and natural ingredients without additives, matching consumers' need for transparency and healthier product options in functional drinks such as blue tea.
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SEGMENTATION ANALYSIS
By Product Type
Richer Flavor and Aroma Created by Loose Leaves Amplifies its Demand
On the basis of product type, the market is sub-segmented into loose leaves, tea bags, and others.
The loose leaves segment held the largest blue tea market share in 2024 with a 53.68%, and projected CAGR of 12.58%. Loose leaves offer a purer, more authentic tea-drinking experience that appeals to health conscious consumers. Blue tea made with loose leaves retain more natural flavor and vibrant color compared to processed forms such as tea bags, allowing consumers to customize brewing strength and enjoy the unique sensory qualities of butterfly pea flowers.
The tea bags segment is expected to grow significantly in the forecast period with a CAGR of 12.34%.
By Packaging
Growing Foodservice and Hospitality Industries to Lead Bulk Packaging Segment Growth
On the basis of packaging, the market is split into bulk packaging and retail packaging.
The bulk packaging segment is anticipated to maintain a significant position and secured USD 201.27 million in 2024. The segment dominates the market due to its cost-effectiveness, maintaining the freshness and quality, and its appeal among tea connoisseurs and premium consumers. Cafes, restaurants, and hotels increasingly provide specialty drinks such as blue tea to cater to increased customer demand for differentiated and functional beverages. Such outlets often buy ingredients in bulk to optimize costs and operations.
The retail packaging segment is expected to grow significantly at a CAGR of 12.38% during the forecast period.
By Nature
Price and Accessibility Fuels Conventional Segment’s Market Leadership
On the basis of nature, the market is segmented into organic and conventional.
The conventional segment leads and captured a substantial 74.12% share in 2024, primarily because conventional blue tea products are more readily available and competitively priced than organic ones, making them accessible to a wider consumer base. Conventional farming methods yield larger quantities of butterfly pea tea, ensuring a consistent supply and stable pricing. Additionally, established distribution networks and greater consumer familiarity with conventional products help maintain their market stronghold.
The organic segment is anticipated to grow at a CAGR of 14.74% during the forecast period as health-conscious consumer demand represents a smaller share because it is often more expensive and less widely distributed due to farming and certification constraints.
By Distribution Channel
Rapid Disease Control and Cost-Effectiveness Fuels Foliar Application Market Leadership
On the basis of distribution channel, the market is categorized into retail shops and food service providers.
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The retail shops segment accounted for 67.53% of the blue tea market share in 2024 and is expected to maintain this majority share through the coming years. The segment is further divided into supermarkets/hypermarkets, discount stores, specialty stores, online retail stores, and others. These stores provide convenient product availability for customers who like to shop personally, where products are visually examined before being selected. The channel is suitable for the majority of consumers as it provides immediate buying with the option of comparing the products immediately.
The food service providers segment is anticipated to grow at a CAGR of 12.07% during the forecast period.
Blue Tea Market Regional Outlook
Regionally, the report covers the global market analysis across North America, Europe, Asia Pacific, South America, and the Middle East & Africa.
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The blue tea market is currently dominated by Asia Pacific, which accounted for 69.16% of the market share in 2024. Its leadership is fueled by the centuries-old consumption of butterfly pea flower tea in Thailand, Malaysia, and Vietnam, as well as growing consumer awareness of its inclusion of antioxidants and cognitive benefits. Growing disposable incomes, natural and functional drinks trend, and the increasing availability on online platforms also contribute to the blue tea market growth.
North America, though smaller in size, is the leader in growth rate with a CAGR of approximately 14.04% during 2025-2032. The market was valued at about USD 27.29 million in 2024 and will grow to about USD 77.50 million by 2032. Drivers for growth are growing health awareness, demand for natural and functional beverages, and growing retail and online channels.
Europe demonstrates consistent growth driven by the trends in health and cafe culture, while South America growing moderately, driven by interest in natural beverages. The Middle East & Africa have greater challenges and relatively slower growth, with gradual market penetration driven by niche consumer segments.
COMPETITIVE LANDSCAPE
Key Industry Players
Strong Focus on New Product Launches to Support Market Growth of Key Players
The global blue tea market share is highly fragmented, with a combination of small regional brands and large international players addressing health-aware consumers. Blue Tea Co., Dilmah Ceylon Tea Company, Pukka Herbs, Yum Cha Tea Company, and Butterfly Pea Co. are some prominent companies. The major players are concentrated on product innovation, sourcing high-quality ingredients, and establishing strong brand names.
- In August 2025, Bigelow Tea, an American manufacturer of dried teas, expanded its Butterfly Pea Flower Tea line nationwide in the U.S. The new range is designed with high-quality butterfly pea flowers from small, woman-owned farms in Thailand.
Key Players in the Blue Tea Market
|
Rank
|
Company Name
|
|
1
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Blue Tea Co.
|
|
2
|
Dilmah Ceylon Tea Company
|
|
3
|
Pukka Herbs
|
|
4
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Yum Cha Tea Company
|
|
5
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Numi Organic Tea
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List of Key Blue Tea Companies Profiled:
KEY INDUSTRY DEVELOPMENTS:
- October 2024: Octavius, a premium quality Indian tea company, launched Butterfly Blue Pea Flower Tea. The new product is rich in antioxidants, which help reduce stress and anxiety, making it the perfect addition to a daily routine.
- October 2024: Bigelow Tea introduced two new caffeine-free herbal teas featuring butterfly pea flower: Butterfly Pea Flower Sapphire Bay and Butterfly Pea Flower Vanilla Midnight. Both highlight the mesmerizing color-changing properties of butterfly pea flowers and are sourced from small, women-owned farms in Thailand.
- March 2023: Rishi's Sparkling Botanicals launched a new product, Blue Tea Jasmine. The new range features a vibrant purple color derived from the butterfly pea flower of Thailand. Its natural blue infusion transforms to purple when lemon is added.
- December 2020: Purecise launched a new Blue Pea Green Tea. This tea blend combines butterfly blue pea flower with organic Indian green tea. It is noted for its antioxidant properties and is marketed as helping to improve the immune system and detoxify the body.
REPORT COVERAGE
The global blue tea market report analyzes the market in depth and highlights crucial aspects such as market trends, secondary research market dynamics, prominent companies, investment in research and development, and end-use. Besides this, the report also provides insights into the market analysis and highlights significant industry developments.
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Report Scope & Segmentation
| ATTRIBUTE |
DETAILS |
| Study Period |
2019-2032 |
| Base Year |
2024 |
| Forecast Period |
2025-2032 |
| Historical Period |
2019-2023 |
| Growth Rate |
CAGR of 12.63% from 2025 to 2032 |
| Unit |
Value (USD Million) |
| Segmentation |
By Product Type
- Loose Leaves
- Tea Bags
- Others
By Packaging
- Bulk Packaging
- Retail Packaging
By Nature
By Distribution Channel
- Retail Shops
- Supermarkets/Hypermarkets
- Discount stores
- Specialty stores
- Online Retail stores
- Others
- Food Service Providers
By Region
- North America (By Product Type, Packaging, Nature, Distribution Channel, and Country)
- U.S. (By Product Type)
- Canada (By Product Type)
- Mexico (By Product Type)
- Europe (By Product Type, Packaging, Nature, Distribution Channel, and Country)
- Germany (By Product Type)
- Spain (By Product Type)
- Italy (By Product Type)
- France (By Product Type)
- U.K. (By Product Type)
- Rest of Europe (By Product Type)
- Asia Pacific (By Product Type, Packaging, Nature, Distribution Channel, and Country)
- China (By Product Type)
- Japan (By Product Type)
- India (By Product Type)
- Australia (By Product Type)
- Rest of Asia Pacific (By Product Type)
- South America (By Product Type, Packaging, Nature, Distribution Channel, and Country)
- Brazil (By Product Type)
- Argentina (By Product Type)
- Rest of South America (By Product Type)
- Middle East & Africa (By Product Type, Packaging, Nature, Distribution Channel, and Country)
- South Africa (By Product Type)
- UAE (By Product Type)
- Rest of the MEA (By Product Type)
|
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