PRODUCT PROFILE Instant tea is a form of tea that is derived from brewed tea. Its dried granulated form can be made into a beverage with the addition of cold or hot water. Instant tea is typically lower in antioxidants than traditional tea and comes in a variety of flavors. Instant tea may be formulated for use in making either hot or iced tea. It quickly dissolves in water. Some instant teas contain sweeteners. Tea is the second most consumed beverage in the world, playing second fiddle only to water. It is in almost every culture, and there are literally thousands of varieties. Instant tea comes in many flavors. Popular instant tea flavors include lemon, cinnamon, fruit juice and other flavorings. Green, black, white and herbal teas are all available in instant form. There are four main types of tea which are, white, green, oolong, and black, all which are born from the same species of plant. Product characteristics Description -Reddish brown free flowing powder Solubility in Water In water at 70 Â °C Rate of Solution 0.6 to 0.7 gm in 100 ml water at 7° C. Clarity Clear (at 70°C) - Clear Benefits • Promotes a healthier immune system and can help ward off infection. • Is good for the heart by lowering blood pressure and cholesterol. • Can increase thermo genesis which may help aid in natural weight loss. • Promotes younger looking skin by destroying free radicals. • Shows evidence of preventing and destroying certain tumors and cancer cells. • Can even help reduce the buildup of bacteria causing plague and lead to a brighter smile. Global demand The term instant tea is key to the successful marketing of the product. India produces almost 30% of the world’s tea it exports less than 20% of the worlds supply. To stimulate the industry, the government allowed a higher investment allowance (40%) for the tea industry enabling tea companies to invest in rejuvenation and replanting of tea bushes and undertaking developmental programs under schemes approved by the Tea Board of India. The traditional leading per capita tea consuming regions, like Asia, remain less likely to drink instant, so the product is oriented to export globalization. The U.S. alone receives approximately 70% of India’s exported instant, with the remaining 30% going to 22 other nations. Darjeeling and Assam account for 75% of tea output, leaving about 25% to southern states. India consumes about 80% of the total output. Auctions account for some 60% of tea sales and despite problems, it is envisaged that this share will be maintained. Exports of tea from India rose from 178.8 million kg in 2007 to 196 million kg in 2008, registering a growth of about 10%. In value terms, the growth was more impressive at 22% valued at Rs 22.8 billion during the period. Tea exports from India had touched 203 million kg in 2006. Therefore the scope for this product is very bright. An entrepreneur venturing into this project will find it very lucrative.