Australian oat farmers are setting their sights on the thriving Asian bubble tea market following the development of a healthier variation of the beloved beverage that incorporates oats as a partial substitute for sugar.
Originating in Taiwan in the 1980s, bubble tea, also known as boba or pearl milk tea, has gained widespread popularity globally. While cherished for its sweet tapioca pearls, the beverage’s high sugar content has raised concerns regarding its impact on health, including associations with diabetes, obesity, and dental issues.
Researchers at the Australian Export Grains Innovation Centre (AEGIC) have successfully integrated oat-derived beta-glucan, a nutritious soluble fiber, into tapioca, effectively reducing the drink’s sugar content.
Jack King, AEGIC’s barley and oat quality program manager, explained the innovation: “Tapioca, inherently, contains relatively high sugar content. The brilliance of this approach lies in maintaining the flavor profile while introducing a health-enhancing ingredient without altering the taste or texture.”
Expanding into the Global Market
AEGIC’s venture into the bubble tea market follows previous successes in developing oat-based alternatives, including noodle and rice substitutes.
“We’ve created 100% oat noodles and oat rice products, collaborating with West Australian company My Plant Co Real Oats to pave the way for these products,” stated King. “Given the widespread popularity of bubble tea in Asian markets, it presented an opportunity we couldn’t overlook.”
With the global bubble tea market valued at over $4 billion, including a $90 million estimate for the Australian market in 2023, King emphasized the potential for sustained growth, projecting a 10% annual expansion over the next six years. This growth trajectory could significantly benefit Australia’s cereal producers, provided oat-based bubble tea enters the market.
While AEGIC has successfully developed oat-based bubbles in its Perth laboratories, commercialization remains pending. King expressed optimism about exploring avenues to bring these products to market.
Welcoming Opportunities for Cereal Growers
The prospect of accessing new domestic and global oat markets has been met with enthusiasm by cereal growers, offering a chance to bolster their smaller, occasionally volatile market.
Nick Panizza, a grain and cereal grower from Williams, located two hours south of Perth, sees the projected growth in bubble tea demand as a source of stability for oat farmers, contingent upon the adoption of oat-based products.
“For oats, which currently occupy a smaller market share, sustained growth in markets over an extended period could prove advantageous,” remarked Panizza. “Given the demand, oats could find a niche within this burgeoning market.”
As the bubble tea industry continues its upward trajectory, oat farmers remain hopeful for the incorporation of oat-based alternatives, anticipating a prosperous avenue for their produce in this evolving market landscape.
