FAO calls for promoting tea based on cultural identity

The Food and Agricultural Organisation (FAO) of the United Nations headquartered in Rome has urged the tea producing nations to promote tea drinking based on the cultural identity of the societies across the world.

In its document circulated to the members of the Inter- Governmental Group on Tea, the FAO has observed, “Promoting ‘tea culture’ based market development and immersion in the cultural identity of societies across the world should be one of the strategies to sustain and expand consumption”.

It has said that ‘innovative developments from non traditional players in the retail and service sectors’ could expand tea demand significantly in the next decade.

“The demand for tea has accelerated due to the ongoing retail revolution and the growing investment into tea education bringing new clientele to know more about tea, where it is sourced, the benefits of drinking tea and how to properly brew it”, the FAO has recorded.

“Due to this, loose tea has seen a new relevance in the US”, it says.

The FAO observes that new growing markets are building on product innovations and diversifications into new segments of consumers.

The bulk of the tea consumed in the US today is iced tea accounting for 85 per cent of the consumption but hot tea has been growing in popularity, FAO notes.

Viewed differently, Ready-to-drink tea accounts for 48.6 per cent of the market and speciality loose tea 17.5 per cent. “These two market segments have experienced large growth rates while other segments like instant tea and tea bags are experiencing stagnant levels of growth”, notes FAO.

“Greater cohesion in the efforts of producing countries and collaboration with consuming nations is needed towards harmonising market requirements and reducing cost of compliance”, the FAO has observed.

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