
In the 1830s, the British East India Company became concerned about the Chinese monopoly on tea, which constituted most of its trade and supported the enormous consumption of tea in Great Britain around one pound (by weight) per person per year. Tea plants have grown wild in the Assam region since antiquity, but historically, Indians viewed tea as a herbal medicine rather than as a recreational beverage. By 1994, the term had gained currency on the U.S. Originating in India the beverage has gained worldwide popularity, becoming a feature in many coffee and tea houses, with many using the term chai latte or chai tea latte for their version to indicate that it is made with steamed milk, much like that used to make a caffè latte but mixed with a spiced tea concentrate instead of espresso. In English, this spiced tea is commonly referred to as masala chai, or simply chai, even though the term refers to tea in general in the original language. The term chai originated from the Hindi word, chai (चाय), which was derived from the Chinese word for tea, cha (see Etymology of tea).

While some variants may also include the addition of aromatic herbs and spices, known colloquially as Masala chai, the most common preparation is unspiced. Chai is made by brewing black tea (usually CTC tea) in milk and water and then sweetening with sugar. 'mixed-spice tea', Hindi: मसाला चाय, Urdu: مصالحہ چائے), also known simply as chai, is an Indian beverage popular throughout South Asia.
