British-Dutch transnational consumer goods company Unilever has announced that it has started reviewing its global tea business.

Review of the company’s tea business was allegedly in response to the market for black tea in developed industries.

Unilever’s tea brands that are part of the review process include PG Tips and Lipton.

According to the company, demand for these products has seen a decline over the years due to changing consumer preferences.

However, its green tea business is performing well in the market, as consumers are shifting towards herbal tea.

Currently, Unilever offers its herbal tea products under the Pukka brand, which it acquired in 2017.

Unilever CEO Alan Jope said: “We are continuing to evaluate our portfolio and have initiated a strategic review of our global tea business.

“In 2020, our underlying sales growth is expected to be in the lower half of the multi-year 3-5% range and will be second-half weighted. While we expect an improvement from the fourth quarter of 2019 into the first half of 2020, first-half underlying sales growth will be below 3%.”

Review of its tea business, announced by Unilever in its full-year results report, was released by the company today.

In its full-year result, Unilever reported a 2.9% growth in sales in 2019 against 2018.

It posted revenues of $19.3bn in 2019 and a 1.5% growth compared with 2018.

Through this review, the company stated that it intends to evolve its tea business portfolio to higher growth spaces.

Unilever established its presence in the global tea business with brands such as Lipton, Brooke Bond and PG Tips. It has also expanded its presence in the premium, fruit and herbal market in recent years.