Teh tarik remains Malaysia's favorite drink, but younger generations seek new tea experiences

Teh tarik, the beloved frothy milk tea, continues to hold its crown as Malaysia's favorite beverage, embodying a cherished symbol of national unity. Yet, the landscape of tea consumption is rapidly evolving, with younger demographics like Gen Z and Gen Alpha charting new preferences.

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The preparation of teh tarik has also evolved into a performing art, with tearistas preparing it rhythmically to music and even incorporating choreographed stunts.

While teh tarik's dominance is undeniable, with black tea and milk comprising about 80% of local tea consumption, a significant shift is underway. Malaysia Tea Association deputy president Liew Choon Kong notes a growing inclination among younger consumers towards premium teas, the practice of home brewing, and the allure of trendy "new tea drink" (NTD) beverages. This signals a diversification beyond the traditional roadside stalls and mamak shops where teh tarik has long been a staple.

The COVID-19 pandemic accelerated these changes, fostering a greater appreciation for home tea brewing and premium loose-leaf varieties. Today's young consumers are also demanding greater transparency and traceability in their tea, wanting to understand the origins and cultivation methods. The NTD segment, which blends tea with ingredients like milk, fruits, and herbs, is also rapidly reshaping the market.

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Young consumers today demand transparency and traceability. They want to know exactly where and how their tea is grown.

Despite these evolving tastes, the Malaysian tea industry, which produces around 3.2 million kg of black tea annually, faces considerable headwinds. Major producers like Boh Plantations and Bharat Tea Plantations are grappling with labor shortages, escalating logistics, fertilizer, and energy costs, alongside climate-related disruptions impacting crop consistency. In response, companies are investing in regenerative agricultural practices and efficient land management to ensure the sector's sustainability.

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Malaysia may not be a major tea-producing nation globally, but the industry continues to play a role in the country’s agricultural heritage, domestic consumption and tourism economy.