Matcha Mania: How the Global Demand for This Super Tea is Draining Supplies

Matcha is taking the world by storm. This vibrant green tea from Japan is popping up everywhere, from lattes at Starbucks to doughnuts at Krispy Kreme.

Social media is fueling this matcha trend. Influencers post brewing tips, reviews, and recipes, garnering millions of views under the hashtag “Matcha Tok.”

Japan’s tourism rebound is also boosting matcha’s popularity. With a weak yen, many people are flocking to Japan, increasing the demand for its products.

Lauren Purvis, a tea importer from the U.S., reports her customers are exhausting their matcha supplies rapidly. “Some cafes ask for a kilo every day. They’re desperate to keep up,” she says, noting a huge increase in orders.

But rising demand, combined with smaller tea crops due to heatwaves and U.S. tariffs on Japan, is pushing matcha prices up.

Matcha’s appeal lies in its unique flavor and health benefits. This ancient tea is made from specially grown green tea leaves called tencha. These leaves are shaded for weeks, developing their signature “umami” taste. After being harvested, the leaves are dried and ground into a fine powder using traditional stone mills.

However, growers are facing challenges. Record temperatures have hurt crops, especially in Kyoto, which produces about a quarter of Japan’s tencha. An aging farming population adds to the problem, as fewer young people are entering the industry. Shops in Uji, known for matcha, often have empty shelves within minutes of opening.

To manage the shortages, retailers are placing limits on customers. For instance, customers can only purchase one tin of matcha at some stores, as visitor numbers have doubled in the past year.

Tea master Rie Takeda explains that before, her orders would arrive in days, but now they can take over a week. Price hikes are also significant; tea prices at her chain have increased by about 30% this year.

Despite the challenges, matcha’s production is on the rise. Since 2010, production has nearly tripled, according to Japan’s agricultural ministry. In 2022, green tea exports surged by 25%, reaching 36.4 billion yen (approximately $250 million), indicating a growing global interest.

With this surge in popularity comes calls for mindful consumption. Advocates urge people not to hoard matcha or profit excessively from its popularity. It’s essential to savor matcha in its pure form instead of using it solely in recipes.

The Global Japanese Tea Association encourages using lower-grade matcha, which is more plentiful and better for cooking. High-quality matcha can lose its delicate flavor when mixed into drinks like lattes.

Meanwhile, anticipated U.S. tariffs on Japanese imports, including matcha, might exacerbate price increases. Despite this, some insiders believe the current matcha fad will stabilize in two to three years as demand calms down.

Even with these fluctuations, there’s hope for the matcha market. The future could see adjustments that maintain fair prices while celebrating this treasured Japanese tea culture.

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