Tea beverages have become the primary drink of Taiwanese people.
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Release date:
2012-04-26
"Among Taiwan's population, 60% regularly drink tea. The island produces 16,000 tons of tea annually, yet only about 1,000 tons are exported—leaving a domestic demand of roughly 45,000 tons each year. To meet this demand, Taiwan imports around 30,000 tons of tea annually, and the country’s domestic market continues to grow steadily." These clear statistics on Taiwanese tea consumption were presented in the "2011 Straits Tea Industry Development Report," unveiled today at the report’s launch event.
The report highlights that over the past two decades, Taiwan’s tea industry has undergone a significant transformation—from being export-oriented to increasingly focused on meeting domestic demand within Taiwan itself. As a result, consumption, production, and market dynamics for Taiwanese tea have gradually shifted: tea consumption continues to rise, and tea-based beverages have now become the primary drink of choice among Taiwanese consumers. Meanwhile, with the shrinking global market for Taiwanese tea exports, only a handful of major tea exporters remain—most have already pivoted to other industries. Similarly, the number of large-scale tea factories has dwindled considerably, making way for smaller, artisanal tea-production facilities run by local workshops.
Surveys reveal that 60% of Taiwan's 23-million population regularly drink tea. The island produces 16,000 tons of tea annually, yet only about 1,000 tons are exported abroad. Meanwhile, Taiwan's domestic market has an annual demand of roughly 45,000 tons, requiring imports of approximately 30,000 tons—and demand in the local market continues to grow steadily.
Since 1991, Taiwan has been both an exporter and importer of tea. Today, Taiwanese tea consumption has reached an impressive average of 1.6 kilograms per person annually—surpassing even the Japanese—and firmly placing Taiwan among the world's leading tea-drinking regions. This figure is significantly higher than Fujian's per capita consumption of just 0.33 kilograms, while Taiwanese tea culture activities are thriving as never before.
Currently, Taiwan boasts over 5,000 tea houses and beverage shops of various sizes, with cold-brewed tea shops making up the majority. From cafes to tea houses, the trend is shifting—from Western-style ambiance to an immersive Eastern experience. Cafes are now selling tea, while tea houses are increasingly offering coffee—creating a delightful fusion that has become all the rage in Taiwan today.
Tea-drinking habits range from oolong and pouloong teas to green and black teas. Among these, spherical and semi-spherical pouloong tea accounts for 21.2%, while strip-style pouloong tea makes up 11.99%, black tea 11.73%, and green tea 6.71%. Notably, green tea comprises nearly half of all packaged liquid teas.
The price of purchased tea ranges from a maximum of $28 to $57 per kilogram, accounting for 44.19%. Next, teas priced above $57 per kilogram make up 26.34%, while those priced between $20 and $11 per kilogram represent 21.47%. Teas costing less than $10 per kilogram are the least common, comprising only 8.00%.
The tea-drinking population is gradually becoming younger. Light and fragrant oolong varieties are gaining widespread popularity, such as Qingxin Oolong, used to produce high-mountain teas, as well as newer cultivars like Jin Xuan, Cui Yu, and Si Ji Chun. Meanwhile, imported black teas and Gongfu red teas are increasingly on the rise.
Meanwhile, the report also notes that Taiwan’s rapidly growing tea consumption has led the island to rely heavily on imports to meet domestic demand.
In 2010, Taiwan imported a total of 32,392 tons of tea, with imports totaling US$58.697 million. During the same period, the island exported 10,651 tons of tea, generating export revenues of US$30.605 million. This highlights that while maintaining its tea import activities, Taiwan has effectively leveraged its relatively advanced tea-processing technologies to export high-quality teas. Notably, the average import price for tea was US$1.81 per kilogram, whereas the average export price soared to US$2.87 per kilogram—significantly higher than the import price.
The report highlights that Taiwan's tea export market does not look promising in the future. With China increasing its green tea production and offering more affordable prices—coupled with other factors—Taiwan is losing ground in the green tea market. Meanwhile, Japan has already achieved self-sufficiency in green tea production, eliminating its need to import from Taiwan. As a result, Taiwan currently faces the absence of both a domestic green tea market and an export market. At the same time, as living standards rise, the tea industry is shifting away from large-scale corporate tea factories toward smaller-scale operations led by individual farmers who produce, process, sell, and even integrate tea into tourism and leisure activities. Consequently, demand for mid- to low-grade teas—and specialty teas—is declining, making imported teas increasingly essential.
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