In 2012, Cay Isletmeleri Genel Müdürlügü continued to lead the Turkey tea market, accounting for 42% of off-trade value sales. Cay Isletmeleri Genel Müdürlügü is a government-owned company and is a pioneer of tea production in Turkey, which was a monopoly until 1984. It has the best distribution network and plant facilities in the country; however, its value share went down from 53% in 2010 as its production decreased. Private companies tend to import tea from abroad as well as use locally-produced tea. Cay Isletmeleri Genel Müdürlügü, however, depends only on local tea production.
In 2012, off-trade volume sales saw 4% growth whilst the on-trade achieved 2% growth. After the financial crisis that hit the country in mid-2008, consumers started to spend more time at home instead of spending money in foodservice outlets. This trend was further supported by the smoking ban in enclosed areas, which became effective in July 2009. The stay-at-home trend continued in 2012 and resulted in off-trade sales increasing more quickly than on-trade sales.
Over the forecast period, total volume sales are expected to continue to demonstrate positive growth at a CAGR of 2%, which is a slightly lower rate than during the review period. The expected low growth of tea is due to the maturity of black standard tea sales in the country, which will continue to represent the bulk of total tea sales. On the other hand, other forms of tea will demonstrate dynamic growth thanks to the increasing number of new products with different flavours.
For more information on the Turkey tea market, please click here: Turkey tea market
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