The popularity of the ‘teafe’ (tea and café) culture and the introduction of new varieties of tea has fuelled the growth of tea-based startups.
The tea market is primarily driven by the several health benefits associated with consumption as well as the increase in awareness related to carbonated drinks. Moreover, the popularity of the "teafe" (tea and café) culture, rise in disposable income, change in tastes, and introduction of additional healthy ingredients in tea by different market players have also fuelled the market growth.
Startups across the country are now bringing a variety to tea connoisseurs. In India, tea consumption occupies more than 79-percent share in the non-alcoholic beverage market, and is valued at more than $30 billion.
Exploring this market opportunity, the startups listed below are catering to the growing demand for this beverage:
Chai Point has raised $30 million from Paragon Partners, Eight Roads Ventures, Saama Capital, DSG Consumer Partners, InnoVen Capital, and Everstone Capital.
Besides the above-mentioned startups, there are also companies where next-generation entrepreneurs are taking the legacy ahead.
Delhi-based Vahdam Teas is one such company. It targets the world market by shipping out tea leaves as close to the time as they have been harvested. It works with about 175 tea plantations and small growers in Darjeeling, Assam, the Nilgiris, Arunachal Pradesh, Himachal Pradesh, Sikkim, and Bihar, as well as in Nepal.
There is also The Tea Trove, which traces its roots back to 1917, when the Kanoi family owned and managed 42 tea gardens in Assam. Rishab Kanoi, the next-generation entrepreneur after profitably exiting the family business, launched The Tea Trove Café for Kolkata’s tea lovers in 2012. The Tea Trove offers a variety of teas and blends through its kiosks in Kolkata and New Delhi.