Tea production in Malaysia is concentrated on three plantations — Bo, Bharat (Cameron Highlands), and Sabah (Mount Kinabalu). In general, from 2018 to 2022, the volume of tea produced in Malaysia decreased. In 2022, the country produced 1.4 thousand tons of tea, which is 13.2% less than in 2021. In total, almost 20 km2 (1,970 ha) of agricultural land has been allocated for tea plantations in the country.
In 2022, the total volume of consumption increased by 26.9% compared to 2021 and amounted to a record 29.6 thousand tons. Most of the tea consumed in Malaysia is imported from Asian countries. The average consumption growth rate for 2018-2022 was 4.4% annually, while production for the same period decreased annually by an average of 13.2% per year.
The majority of tea consumption in Malaysia in 2022 accounted for black tea — 67.0%. Other teas (oolong, pu-erh, white and other types) made 28.3% of consumption. The share of consumption of green tea and fruit/herbal tea by the end of 2022 was 4.0% and 0.7%, respectively.
In the structure of tea consumption in Malaysia in 2022, the most popular packaging was 25-50 g (30.8% of consumption) and 250-400 g (26.9%). Tea was also sold in packages of 75-100 g (16.3%) and 125-200 g (14.7%). The least popular was volume of more than 500 g — 11.3% of the volume of consumption.
The most commonly used type of tea packaging was flexible plastic (48.0% of the volume of sales in Malaysia) and a folding cardboard box (25.6%).
Aluminum bags accounted for 14.2% of tea consumption, and doy-pack packaging accounted for 7.6%. Metal cans also accounted for 4.4% of consumption. Most rarely, combined containers (0.3%) were used for tea packaging.
The main share (40.2%) in the Malaysian tea market in 2022 was held by BOH Plantations. The second largest in terms of sales was a branch of the international conglomerate Unilever Malaysia, which accounted for 28.9% of the market. In total, the two above-mentioned companies accounted for 69.1% of the Malaysian tea market In 2022. Malaysian tea imports amounted to 32.5 thousand tons by 79.3 million US dollars, which is 16.6% (+4.6 thousand tons) more than the level of 2021 in volume and 10.7% (+9.5 million US dollars) in value. During 2018-2022, tea imports on average increased annually by 5.3% by weight and by 0.6% by value.
The basis of tea imports during 2018-2022 was black tea (fermented). In 2022, Malaysia imported 27.2 thousand tons of black tea worth 52.5 million US dollars. Imports of green tea (unfermented) in 2022 amounted to 5.2 thousand tons for 26.9 million US dollars.
In the structure of Malaysian tea imports in 2018-2022, Indonesia occupied a leading position, which in 2022 supplied 8.8 thousand tons of products to Malaysia (27.2% of imports). China took the second place with a share of 24.3% (7.9 thousand tons). During the year, Malaysia increased purchases of tea from all major supplier countries, except Argentina. The most noticeable increase was in shipments from Vietnam (by 1.5 thousand tons or 39.0%), and India (by 1.1 thousand tons or 73.6%).
Among the top 10 tea suppliers to Malaysia in 2018-2022, the largest growth was demonstrated by Kenya, whose tea exports since 2018. Increased by 4.0 times. The average annual growth rate of Kenyan tea supplies to Malaysia in 2018-2022 amounted to 41.6%.
The leading exporter of tea to Malaysia in value terms was China, which in 2022 supplied products worth 27.9 million US dollars (35.1% of Malaysian imports). Indonesia's share in the structure of imports in value terms in 2022 amounted to 17.1%, the volume of deliveries increased by 3.8% compared to 2021 to 13.6 million US dollars. Japan also entered the top three suppliers of tea in value terms with a share of 7.6% (6.0 million US dollars). The largest volume growth in value terms in 2022 occurred in Sri Lanka (+67.5% or +1.3 million US dollars by 2021) and Kenya (+53.2% or +2.1 million US dollars). USA).
Over the past five years, Kenya has also demonstrated a noticeable increase in tea exports in value terms — by 4.4 million US dollars or 3.8 times.
In 2022, the average import price of black tea decreased by 19.1% to $1,926 per ton. The most expensive products were supplied from the UAE at a price of $ 13,635 per ton, which is 7.1 times higher than the average import price. Taiwan (4.8 times higher than the average price) and Sri Lanka (3.0 times higher) also supplied more expensive products. The cheapest products came from Vietnam — US$ 717 per ton (62.8% lower than the average price), Argentina — US$ 883 per ton (54.2% lower) and Zimbabwe — US$ 926 per ton (51.9% lower).
In 2022, the average import price of green tea decreased by 17.5% to $5,154 per ton. The most expensive products were supplied from Sri Lanka at a price of 30,107 US dollars per ton (5.8 times higher than the average import price), Japan (2.6 times higher).
The cheapest products were purchased from Saudi Arabia — US$ 500 per ton (90.3% lower than the average price) and Myanmar — US$ 667 per ton (87.1% lower).
