The matcha craze has taken the world by storm. Whether as latte, ice cream or chocolate, the Japanese green tea has been experiencing a boom for years, leading to surging demands among the people of every age.
The global matcha mania is being driven by social media, with several influencers sharing brewing and preparation tips and recipes.
The “Matcha Tok” hashtag has amassed tens of millions of views. Moreover, Andie Ella, who has more than 600,000 subscribers on YouTube, drew attention by starting her own brand of matcha products.
Genesis of matcha popularity
Matcha’s growing popularity is associated with Japan’s post-pandemic boom in the tourism industry. The country’s weak currency has made it not only an attractive destination but also boosted demands for Japanese goods, especially green tea.
Soaring demand outpaces global reserves
The latest casualty of social media hype is the matcha global supply chains. As the demand for the green powder has surged, the farmers in Japan are facing difficulties to keep up with the unprecedented demand of matcha. Consequently, the price of “green gold” has increased threefold.
In the Kyoto region, the hub of about a quarter of Japan’s tencha, poor climate conditions including heatwaves have led to the poor harvests. Moreover, the labour crisis driven by the aging population has also exacerbated the woes of the industry.
Shops and cafes in Uji, Kyoto, often see their shelves emptied by tourists. Resultantly, the retailers have set limits on the purchase of matcha.
Kyoto-based Camellia Tea Ceremony allows customers to purchase only one tin of matcha each as visitor numbers doubled over the last year, according to the director Atsuko Mori.
Thousands of kilometres away in Sayama, the northwest of Tokyo, Masahiro Okutami who runs his family’s tea company, has slashed the matcha orders on the website due to shortages.
Like Japan, the supply constraints have made headway into the western countries. The US-based tea importer Lauren Purvis told BBC about the dried up reserves of matcha.
“Some cafes are even asking for a kilo a day. They are desperate to keep up,” says Purvis.
The impact of tariffs
Another factor that would also spike the prices of matcha is the looming threat of tariffs on Japan. On July 22, the US administration and Japan announced a trade deal that will mean a 15 percent import tax on Japanese products going to the US.
The Oregon-based entrepreneur says orders skyrocketed by more than 70 percent in early July ahead of the trade agreement between two countries.
The rising industry in Japan
The rising demand of matcha also acts as a gateway for more people to know about Japanese culture.
According to Japan’s agricultural ministry, matcha production nearly tripled between 2010 and 2023, with green tea exports rising by 25 percent in 2024 to 36.4 billion yen.
Mindful consumption of matcha
The matcha boom has sparked the advocacy for the mindful consumption of green tea. The Global Japanese Tea Association is encouraging people to use lower-grade matcha from later harvests, which is better suited for cooking as high-grade matcha loses its flavour when it is used in the variety of drinks.
The association added: “Promoting awareness of these distinctions helps ensure the Japanese team is enjoyed with respect, while supporting the craft and tradition behind it.”