South Africa: Tea Market Overview 2020

Tea Market Size in South Africa

The revenue of the tea market in South Africa amounted to $X in 2018, picking up by X% against the previous year. Over the period under review, tea consumption continues to indicate buoyant growth. The pace of growth appeared the most rapid in 2009 with an increase of X% y-o-y. Over the period under review, the tea market attained its peak figure level in 2018 and is expected to retain its growth in the immediate term.

Tea Production in South Africa

In value terms, tea production amounted to $X in 2018 estimated in export prices. Over the period under review, tea production continues to indicate a perceptible slump. The most prominent rate of growth was recorded in 2013 when production volume increased by X% against the previous year. Tea production peaked at $X in 2007; however, from 2008 to 2018, production remained at a lower figure.

Average yield of tea in South Africa amounted to X tonne per ha in 2018, remaining stable against the previous year. Over the period under review, the tea yield continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2015 with an increase of X% y-o-y. Tea yield peaked at X tonne per ha in 2007; however, from 2008 to 2018, yield stood at a somewhat lower figure. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2018, approx. X ha of tea were harvested in South Africa; going down by -X% against the previous year. Over the period under review, the tea harvested area continues to indicate a deep contraction. The growth pace was the most rapid in 2013 when harvested area increased by X% year-to-year. Tea harvested area peaked at X ha in 2007; however, from 2008 to 2018, harvested area remained at a lower figure.

Tea Exports

Exports from South Africa

Tea exports from South Africa totaled X tonnes in 2018, reducing by -X% against the previous year. Over the period under review, tea exports continue to indicate a slight decrease. The growth pace was the most rapid in 2008 with an increase of X% year-to-year. In that year, tea exports reached their peak of X tonnes. From 2009 to 2018, the growth of tea exports remained at a lower figure.

In value terms, tea exports totaled $X in 2018. Over the period under review, the total exports indicated a perceptible increase from 2007 to 2018: its value decreased at an average annual rate of -X% over the last eleven-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, tea exports decreased by -X% against 2015 indices. The pace of growth was the most pronounced in 2010 when exports increased by X% y-o-y. Exports peaked at $X in 2015; however, from 2016 to 2018, exports stood at a somewhat lower figure.

Exports by Country

The UK (X tonnes), Botswana (X tonnes) and Mozambique (X tonnes) were the main destinations of tea exports from South Africa, with a combined X% share of total exports. These countries were followed by Chile, Namibia, Zimbabwe, Zambia, Swaziland, Germany, Lesotho, the Netherlands and the U.S., which together accounted for a further X 2007 to 2018, the most notable rate of growth in terms of exports, amongst the main countries of destination, was attained by Chile, while the other leaders experienced more modest paces of growth.

In value terms, the largest markets for tea exported from South Africa were Botswana ($X), the UK ($X) and Mozambique ($X), together accounting for X% of total exports. Zimbabwe, Namibia, Swaziland, Chile, Zambia, Lesotho, the U.S., Germany and the Netherlands lagged somewhat behind, together comprising a further X recorded the highest rates of growth with regard to exports, in terms of the main countries of destination over the last eleven years, while the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2018, the average tea export price amounted to $X per tonne, jumping by X% against the previous year. In general, the export price indicated a prominent increase from 2007 to 2018: its price increased at an average annual rate of +X% over the last eleven-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, tea export price increased by +X% against 2013 indices. The pace of growth appeared the most rapid in 2009 an increase of X% y-o-y. Over the period under review, the average export prices for tea attained their maximum in 2018 and is likely to see steady growth in the immediate term.

There were significant differences in the average prices for the major foreign markets. In 2018, the country with the highest price was the U.S. ($X per tonne), while the average price for exports to the Netherlands ($X per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was recorded for supplies to the U.S., while the prices for the other major destinations experienced more modest paces of growth.

Tea Imports

Imports into South Africa

Tea imports into South Africa totaled X tonnes in 2018, rising by X% against the previous year. The total import volume increased at an average annual rate of +X% from 2007 to 2018; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being observed in certain years. The most prominent rate of growth was recorded in 2009 with an increase of X% against the previous year. Imports peaked in 2018 and are likely to continue its growth in the immediate term.

In value terms, tea imports totaled $X in 2018. Over the period under review, the total imports indicated a resilient expansion from 2007 to 2018: its value increased at an average annual rate of +X% over the last eleven-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2009 when imports increased by X% y-o-y. Imports peaked at $X in 2013; however, from 2014 to 2018, imports remained at a lower figure.

Imports by Country

In 2018, Malawi (X tonnes) constituted the largest tea supplier to South Africa, with a X% share of total imports. Moreover, tea imports from Malawi exceeded the figures recorded by the second-largest supplier, Zimbabwe (X tonnes), fourfold. The third position in this ranking was occupied by Tanzania (X tonnes), with a X% share.

From 2007 to 2018, the average annual growth rate of volume from Malawi stood at +X%. The remaining supplying countries recorded the following average annual rates of imports growth: Zimbabwe (+X% per year) and Tanzania (-X% per year).

In value terms, Malawi ($X) constituted the largest supplier of tea to South Africa, comprising X% of total tea imports. The second position in the ranking was occupied by Sri Lanka ($X), with a X% share of total imports. It was followed by Tanzania, with a X% share.

From 2007 to 2018, the average annual rate of growth in terms of value from Malawi totaled +X%. The remaining supplying countries recorded the following average annual rates of imports growth: Sri Lanka (+X% per year) and Tanzania (+X% per year).

Import Prices by Country

In 2018, the average tea import price amounted to $X per tonne, declining by -X% against the previous year. Over the period under review, the import price indicated a temperate expansion from 2007 to 2018: its price increased at an average annual rate of +X% over the last eleven years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2010 when the average import price increased by X% against the previous year. Over the period under review, the average import prices for tea reached their maximum at $X per tonne in 2013; however, from 2014 to 2018, import prices failed to regain their momentum.

Prices varied noticeably by the country of origin; the country with the highest price was Sri Lanka ($X per tonne), while the price for Zimbabwe ($X per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by Tanzania, while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox AI Platform