Introduction – Current State of Play: The Green Tea Sector in Indonesia
The green tea market in Indonesia is brewing with fresh momentum—and a fair bit of heat.
In 2025, the sector is being shaped by a whirlwind of policy changes, global trade dynamics, and evolving consumer preferences. The Indonesian government recently increased import tariffs on industrial raw tea materials from 20% to 40%. This move is meant to protect local growers and encourage domestic production. However, it also places more pressure on local suppliers to meet rising demand—especially as international trade agreements like AIFTA and RCEP open the door to increased imports from other tea-producing countries like Vietnam and India.
On the supply chain front, Indonesia is embracing agri-tech. Tea farmers are now equipped with IoT sensors, drones, and satellite imagery to improve yield and quality. Cold storage innovations, powered by renewable energy, are also helping preserve premium green teas for export and local consumption.
Climate change is another pressing concern. Unpredictable rainfall and rising temperatures are forcing tea producers to adopt sustainable and climate-resilient farming practices. At the same time, there’s a growing thirst for green tea among Indonesian consumers who are more health-conscious than ever, fueling demand for antioxidant-rich, ready-to-drink beverages and flavored blends.
In such a fast-moving market, businesses need to stay informed and adaptable. Platforms like Freshdi are becoming essential tools—not just for verifying suppliers, but also for tracking RFQ trends, monitoring demand shifts, and getting real-time insights.
Deep Dive – Market Movers: Recent Developments and Consequences
Indonesia’s green tea market is on an upward trajectory. The projected growth from USD 1.8 billion in 2025 to USD 3.9 billion by 2031 signals a booming industry.
This growth is being driven by several recent developments:
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New Entrants and Investments: Thai beverage giant Ichitan recently entered the Indonesian market with green tea products in innovative flavors like apple, blackcurrant, and honey lemon. This signals growing competition and innovation in the RTD (ready-to-drink) space.
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Export Surges: International markets are showing strong interest in Indonesian tea, especially in the U.S. and Russia, opening new doors for local suppliers.
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Supply Chain Modernization: From cold storage powered by solar energy to precision agriculture tools, the green tea supply chain is becoming more tech-enabled, boosting efficiency and quality.
With these shifts, the market is ripe for both opportunity and disruption. Now more than ever, buyers need to align with suppliers who are agile, innovative, and deeply embedded in this evolving landscape.
Top 8 Verified Green Tea Suppliers in Indonesia – Adapting to Today’s Market
Based on supplier verification, export performance, and buyer reviews on Freshdi, here are the top 8 green tea suppliers in Indonesia as of August 2025:
- The Tropical Spa
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Known for combining green tea with coconut oil in wellness products, this supplier is active in the natural cosmetics and personal care sector.
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A trusted name in herbal and wellness products, offering a variety of green tea-based items with strong export credentials.
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Specializes in green tea with jasmine aroma in convenient tea bag formats, catering to both domestic and international markets.
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Offers high-quality “Gopek Green Tea,” known for its traditional processing and rich flavor profile.
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Focuses on broken tea varieties ideal for both retail and foodservice use, with a reputation for consistent quality.
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Specializes in green tea extracts used in supplements, cosmetics, and functional beverages.
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A leader in organic loose-leaf green tea with international certifications and a strong sustainability focus.
- Offers artisan green tea blends in pyramid bags, tailored to high-end cafés and hotels.
Dynamic Ranking Note:
Supplier rankings on platforms like Freshdi are dynamic and may change monthly based on recent RFQ trends, buyer ratings, and new certifications. Be sure to check their “Suppliers of the Month/Quarter” section for the latest updates.
Market Navigation – Strategic Responses to The Prevailing Green Tea Landscape
With the market heating up, businesses sourcing green tea from Indonesia must be more strategic than ever. Here’s how to adapt:
Opportunities to Grab:
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Health and Wellness: Consumers are prioritizing well-being, making antioxidant-rich green tea a prime product.
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Product Innovation: Flavored teas (like mint or lemon) and functional blends (with added vitamins or herbs) are trending.
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Convenience is King: RTD green teas are gaining popularity, especially among younger, urban consumers.
Challenges to Watch:
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Price Sensitivity: While demand is growing, many consumers still hesitate at premium price points. Balancing quality with affordability is key.
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Flavor Fit: Green tea’s slightly bitter taste may not be for everyone. Suppliers need to be creative with flavor profiles to match local palates.
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Supply Chain Gaps: Aging tea plants and limited processing capacity can create bottlenecks, especially during peak export seasons.
Sourcing Strategy Shifts:
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Invest in Local Cultivation: It’s time to back up sustainable farming and help rejuvenate Indonesia’s tea plantations.
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Go Organic: Certifications can open up premium export markets and appeal to eco-conscious consumers.
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Partner Locally: Building strong relationships with farmer cooperatives ensures a steady, traceable supply.
Regional Focus:
- West Java and Central Java remain prime green tea production zones, thanks to optimal elevation and climate.
- These regions are also seeing more investment in cold storage and digital farming, making them ideal for long-term partnerships.
Conclusion – Key Takeaways for Businesses in a Dynamic Market
The green tea market in Indonesia is evolving quickly—and there’s no slowing down. With policy changes protecting domestic growers, rising demand for health-focused beverages, and a new wave of technological innovation, both opportunities and challenges abound.
If you’re sourcing green tea from Indonesia, here’s your checklist:
✅ Buyer’s Checklist:
- Stay updated on import/export regulations and trade agreements.
- Prioritize suppliers with modern farming and processing capabilities.
- Diversify your product line with flavored, functional, or RTD green tea.
- Monitor consumer sentiment—flavor and format preferences are shifting fast.
- Use platforms like Freshdi for:
- Verified supplier sourcing
- Export readiness assessment
- Real-time RFQ trends
- Market analytics and alerts
By keeping a close eye on evolving conditions and partnering with agile suppliers, businesses can ride the wave of Indonesia’s green tea boom into 2026 and beyond.
Looking Ahead: The Future of Indonesia’s Green Tea Market
Indonesia’s green tea sector is expected to see:
– Continued growth in exports,
– More tech-driven farming practices,
– A stronger push toward organic certification,
– Further innovation in flavors and formats.
Platforms like Freshdi will play a vital role in navigating this landscape, helping buyers make informed choices with reliable insights, supplier reviews, and real-time demand tracking.
FAQs
1. What are the health benefits of green tea that are driving demand in Indonesia?
Green tea is rich in antioxidants, particularly catechins, which support metabolism, help with weight management, and may reduce the risk of chronic diseases. These benefits are pushing more health-conscious consumers toward green tea.
2. Why did Indonesia raise its import tariffs on tea in 2025?
To protect local tea producers and reduce dependency on imported raw materials, the government increased tariffs from 20% to 40%, aligning with WTO policies and promoting local industry growth.
3. What makes a green tea supplier stand out on Freshdi?
Suppliers with verified certifications, strong buyer reviews, consistent exports, and the ability to meet evolving product demands (like flavored or RTD teas) are ranked higher and featured more prominently.
4. Are flavored green teas more popular in Indonesia now?
Yes. Flavors like lemon, mint, and berries, especially in RTD formats, are becoming increasingly popular among younger consumers looking for both taste and health benefits.
5. How can businesses ensure a stable green tea supply from Indonesia?
By partnering with verified suppliers, investing in local cultivation, and leveraging tools like Freshdi to monitor supply chain trends and RFQ activity, buyers can secure more reliable and consistent sourcing.
References
- ResearchGate – Indonesian Tea Development Outlook
- Actual Market Research – Indonesia Tea Market
- Pmarketresearch – Reprocessed Tea Market
- Mongabay – Climate Change and Tea
- Mobility Foresights – Indonesia Green Tea Market
- APFFTC – Indonesian Tea Supply Chain
- Global Tea Auction – Tea Business in Indonesia
- Heaptalk – Ichitan Green Tea Launch
- Indonesia Sentinel – Tea Export Popularity