Continued…

Technomic reports that chai, at 4.1%, was the fastest-growing tea category on menus in the US in 2023. In Canada, chai offerings grew by 25% over two years, with specialty tea menu items up by 19.8% and hot tea up by 18.3%.

Technomic asked consumers why they order hot tea away from home. The most common response was “to get a pick-me-up” at 23%, followed by “wash down my food” at 19% and relax or unwind with family and friends (18%). Survey respondents cited “quench my thirst” as the fourth most common reason to order tea, while 18% said they order tea with snacks or indulge in a dessert/treat.

Transparency Market Research (TMR) projects the tea market will expand to $33.9 billion by 2032, growing at a combined average rate of 5.9%. “Rising disposable incomes and growing health awareness in countries like Brazil, South Africa, and the Middle East present opportunities for expansion,” writes TMR.

Researchers also cite growing demand for premium teas such as single-origin, organic, and artisanal blends. Customers are willing to pay a premium for high-quality, sustainable, ethically sourced tea.

Technavio projects the US market for organic tea to grow by $93.9 million through 2029. Drivers include organic matcha and premium organic black tea, which are projected to grow at a 5.2% CAGR.

Technavio writes that consumers increasingly seek teas rich in antioxidants like epicatechin gallate and catechins. “organic matcha green tea is leading the trend.”

FDA Ban Imposed in 1990 Extended to Include Food and Beverages

By Dan Bolton

Cherry red erythrosine (known commercially as Red Dye No. 3) is widely used to color beverages, snack foods, and candy but is not commonly used to color tea.

In 1990, the US Food and Drug Administration (FDA) banned Red Dye No. 3 in cosmetics and personal care products. On January 15, 2025, the FDA extended the ban to include food products and ingested drugs.

Concerns were first raised about the safety of Red Dye No. 3 during the 1980s when studies linked it to thyroid tumors in laboratory animals. No conclusive studies have been conducted on the connection of dye to human cancer, but Australia, Japan, and the European Union have instituted bans out of caution.

Over the years, ongoing research identified additional potential health risks regarding its role in hormone disruption and cancer risk.

The 2025 ban reflects growing caution over the potential long-term effects of synthetic additives on health, particularly for children who are most likely to consume products containing the dye.

These products include maraschino cherries, PEZ candy, Brach’s candy corn, Jelly Belly candies, strawberry-flavored beverages, toaster pastries, ice pops, frozen fruit bars, the red icing on some cookies, and snack cakes.

Manufacturers must remove the dye from their products by January 2027. In recent years, formulators have replaced synthetic colors and additives with natural alternatives such as beet juice, red cabbage pigment, or carmine, a coloring made from insects.

BIZ INSIGHT — The National Confectioners Association expressed concerns about the cost of reformulations, given that Red Dye No. 3 has not been shown to cause human cancer. Jim Jones, the FDA’s deputy director for human foods, told NBC News that “the FDA cannot authorize a food additive or color additive if it has been found to cause cancer in humans or animals.” Once announced, the confectioners released this statement: “Food safety is the number one priority for US confectionery companies, and we will continue to follow and comply with FDA’s guidance and safety standards.”

Argentina’s Misiones Tea Region is Awarded GI Status

By Horacio Bustos

Argentine tea produced in Misiones and northern Corrientes has been awarded a Geographical Indication (GI) from the European Union (EU).

Tea from these provinces is the southernmost tea produced on the planet.

GI’s recognition of “Argentine Tea” protects the authenticity of its origin and attests to its quality worldwide, enhancing its cultural value and opening up opportunities in international markets.

Designations of origin and traditional production methods are part of a system that protects products tied to specific geographical areas. Introduced in 1992, the system began a broader effort to safeguard traditional foods and agricultural products from misuse and imitation.

It was the work of a whole year led by the General Directorate of Yerba Mate and Tea of the Ministry of Agriculture and Production, with the support of the Undersecretariat of Agri-Food Markets and International Insertion of the Secretariat of Agriculture, Livestock, and Fisheries of the Nation.

The effort was coordinated with the Argentine Tea Association, INTA Cerro Azul, and INTI Misiones. The presentation and defense of the request for the GI of Argentine tea before the National Advisory Commission on Geographical Indications and Denominations of Origin for Agricultural and Food Products was carried out virtually.

It is important to highlight that the GI is an intellectual property right that operates under the jurisdiction of the National Secretariat of Agriculture and is regulated by law.

Adriana Yánez, representing the Argentine Tea Association, detailed in her presentation the particularities of the tea from this region. These teas are notable for their high polyphenol content, which gives them antioxidant power; their liquor is reddish or coppery (in black tea) and bright yellow or greenish (in green tea), with good shine and transparency even in cold infusion.

The teas are balanced and smooth in flavor, with low to medium astringency and a certain sweetness, while floral and vegetal notes predominate in the aroma.

These qualities are achieved thanks to the orthodox production process, using rollers and rotor vanes, which has also contributed to its international recognition for its safety.

Studies characterizing Argentine products were also included to support the presentation, with comparisons of the distinct Misiones terroir with other teas worldwide and a compilation of publications and different essays.

BIZ INSIGHT – The first GI in the European Union was granted in 1992 to the French “Roquefort” cheese, a blue cheese made from sheep’s milk and produced in the Roquefort-sur-Soulzon region of southern France.

FEATURE

Lessons From Japan’s Deep Engagement with Tea

By Dan Bolton

In medieval times, Japanese commanders bestowed teaware on valiant survivors at banquets, explains historian Morgan Pitelka. Later, in the early modern period, tea culture permeated every walk of life in the imperial capital of Kyoto. The prevalence of Chanoyu in the Shogun era, a time of social upheaval and war, provides relevant insights into coping with stressful times today. Pitelka reveals tea’s unique role in Bringing Communities Together during war and peace. 

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Hot Tea Gains Marketing Momentum | FDA Bans Red Dye No. 3 in Foods and Beverages | Argentina’s Misiones Tea Growing Region is Awarded Geographic Indication Status | Episode 201 | 17 January 2025

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