STiR coffee and tea magazine

Volume 3, Number 2

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62 STiR tea & coffee industry international onsumers are increasingly seeking healthy, low calorie drinks to replace the former beverage superstars, carbonated soft drinks. Traditional sodas have faced nearly a decade of dropping sales as customers reach for refreshment that not only tastes good, but can support a more healthful lifestyle. Tea made from Camellia sinensis has benefited from this trend, but so have herbal and botanical drinks. These products are shouldering their way onto grocery store shelves, establishing themselves as serious players in the drink sector. The Journal of the American Medical Association (JAMA) reports that two-thirds of adults and one-third of American children are overweight. These shocking numbers have corresponded with an upsurge in related conditions such as diabetes, hyperten- sion, and heart disease. The Institute of Medicine suggests sugary drinks play a major role in these developments, as standard soda bottles have grown from 6.5 ounces to 20 ounces over four decades and the caloric intake each day from sugary drinks hit 9%. Consumers have responded to these health warnings by seeking other alternatives. Bottled water saw double digit increases every quarter from the early 1990s until 2005. Beverage Marketing Corporation notes that water sales will likely pass soda sales by 2020. Sales of tea as a whole have taken off with 50% of that market canned and bottled ready-to-drink tea products. Market research firm Canadean reports North America had net volume growth of 74 million gallons (280 million liters) in 2013. The $5.1 billion U.S. market for RTD tea is expected to increase to $5.3 billion in 2014 with a projected growth rate of 6% through 2018. The carbonated soft drink manufacturers have taken notice, with Nestlé buying Sweet Leaf Tea and Coca-Cola buying Honest Tea in 2011 and many companies refo- cusing on juice and RTD tea. A Fresh Look at Botanicals Field of South African Rooibos. By Katrina Ávila Munichiello C

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