Iced tea market size in India | Insights, Trends & Growth Analysis 2025

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Code: MTA10046

Publication Date: Oct 2025

What is the growth rate of the India Iced Tea Market?

According to 6Wresearch internal database and industry insights, the India Iced Tea Market is expected to grow at a CAGR of 15% during 2025-2031.

The prominent reasons responsible for this expansion include rising consumer preference for convenience in ready-to-drink beverages, escalating health consciousness, growing retail & e-commerce distribution channels, and new product development in flavoured and functional iced tea categories and options.

Growth Factors for India Iced Tea Industry

Rising demand for ready-to-drink iced tea in urban and semi-urban markets.
Health awareness is driving consumers from carbonated drinks to tea-based drinks.
Innovation in ingredients includes flavours, natural sweeteners, and low-calorie formulations.
Expansion of modern trade and of the online channel.
Promotional marketing and seasonal campaigns stimulates trial and repeat purchases.

India Iced Tea Market Trends

The India iced tea market trend shows increasing consumption of ready-to-drink iced tea in bottled, canned, tetra type, etc. Consumers are gravitating towards herbal iced tea, fruit-infused iced tea, sugarless iced tea, etc. Premium iced tea products and clean-label products are also increasing in acceptance. Brands are using social media, influencer partnerships, and regional marketing campaigns to appeal to the younger generation of consumers. E-commerce and direct-to-consumer platforms are also becoming significant distribution channels, particularly for niche iced tea and artisanal iced tea.

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Emerging Developments in the India Iced Tea Market

The India iced tea market developments include formulation of functional iced teas enriched with vitamins, probiotics, and botanicals to differentiate in the competitive landscape. Companies are launching subscription models and sampler packs to increase consumer retention. Packaging innovations like sustainable PET, eco-friendly cartons, and smaller pack sizes are being adopted. Regional flavour customization and tie-ups with cafÃ©s and foodservice are expanding distribution and awareness.