International News

Global Matcha Craze Sparks Supply Shortages and Rising Prices

Global Matcha Craze Sparks Supply Shortages and Rising Prices

Matcha Madness: A Global Obsession

The world is experiencing a full-blown matcha mania, with the vibrant green Japanese tea infiltrating everything from Starbucks lattes in the UK to Krispy Kreme doughnuts in Singapore. Social media, especially TikTok’s “#MatchaTok,” has amplified its popularity, turning matcha into a global wellness trend with millions of fans    

Demand Skyrockets as Tourism and Trends Collide

Japan’s post-pandemic tourism boom, combined with a weak yen, has significantly boosted global demand for authentic Japanese matcha. Tourists are flocking to cities like Uji in Kyoto, known for its premium matcha, often clearing shelves within hours of store openings.

Lauren Purvis, owner of Mizuba Tea Co. in the U.S., confirms the trend: “Some cafes are even asking for a kilo a day. They’re desperate to keep up.”

Climate, Tariffs, and Labour Woes Hit Supply Chain

Matcha is made from tencha—green tea leaves shaded for weeks before harvesting to achieve its signature umami flavor. But this intricate process is now under strain.

  • Record-breaking heatwaves in Japan have severely impacted crop yields, especially in Kyoto, which supplies about 25% of the nation’s tencha.

  • Aging farmers and a shrinking agricultural workforce are compounding the problem.

  • US tariffs—a 15% import tax under a new trade deal—have raised fears of further price hikes.


Prices Soar, Cafes and Ceremonies Affected

Shortages are driving prices up sharply. Chazen, a tea ceremony chain in Tokyo, has seen matcha prices rise by 30% in 2024.
Customers at Kyoto’s Camellia Tea Ceremony are now limited to one tin of matcha per person due to skyrocketing demand.

Tea master Rie Takeda shares, “Orders that used to arrive in days now take over a week.”


From Hoarding to Mindful Sipping

The Global Japanese Tea Association and industry experts are urging consumers to appreciate matcha respectfully:

  • Use lower-grade matcha for lattes, baking, and smoothies.

  • Reserve high-grade matcha for ceremonial or pure sipping to preserve its delicate taste and traditional value.

Matcha advocates criticize hoarding and price gouging. “It’s sad to see premium matcha misused or resold,” says Camellia’s director Atsuko Mori.


What’s Next for the Matcha Market?

Despite growing pains, matcha production has nearly tripled between 2010 and 2023, and Japan’s green tea exports surged 25% last year to ¥36.4 billion ($250 million USD).

Still, experts like Masahiro Nagata, co-founder of Matcha Tokyo, expect the current boom to level off:
“Demand is high now, but the market will calm down in two to three years. Quality will matter more than hype.”

Key Takeaways:

  • Matcha demand is outpacing supply due to global trends, climate change, and tariffs.

  • Prices are rising as production struggles to meet rapid consumption.

  • Calls for mindful use and appreciation of matcha are growing stronger.

  • Future market correction may bring more stability and quality focus.


Tags: Matcha Shortage 2025, Japanese Green Tea, Matcha Prices Rising, Matcha Tariffs US-Japan, Kyoto Tea Supply, Matcha Trend TikTok, Matcha Health Benefits, Global Matcha Boom, Tea Ceremony Japa

Doshab Hussain

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