Matcha tea is taking the world by storm, appearing in everything from Starbucks beverages in the UK to Krispy Kreme treats in Singapore. This surge in popularity is largely fueled by social media, especially TikTok, where the "#MatchaTok" hashtag has garnered millions of views. The increasing interest in matcha is also tied to Japan's post-pandemic tourism surge, with the country's weak currency attracting international visitors and heightening cravings for its traditional products.
However, the escalating demand is straining supply chains. Lauren Purvis, a tea importer from the US, disclosed that her customers are witnessing a month’s supply of matcha deplete in mere days, with some cafes placing orders as high as one kilogram daily to meet customer needs. "They’re desperate to keep up," stated Purvis, of Mizuba Tea Co.
This frantic demand comes as Japan's matcha production is hindered by adverse weather conditions, such as record-breaking heatwaves that have affected crop yields in the Kyoto area, known for its rich matcha heritage. Additionally, an aging farming population and a shortage of younger workers willing to enter the industry add further complications.
Shops in Uji, a city acclaimed for matcha, often sell out quickly as eager tourists flock to purchase the prized powder. In response, many retailers have begun to limit customers to just one tin at a time. "Visitor numbers here have doubled in the past year," noted Atsuko Mori, director of the Camellia Tea Ceremony.
Tea master Rie Takeda, from the Chazen tea ceremony chain in Tokyo, has also experienced delays in matcha orders, with delivery times extending beyond a week. This shortage has compelled her establishment to raise prices by about 30% this year. "The demand is a good thing for introducing Japanese culture," she remarked.
The matcha trend has sparked initiatives promoting mindful consumption, with some advocates criticizing hoarding behaviors and urging enthusiasts to appreciate the tea's nuanced flavors, rather than using premium matcha in cooking. The Global Japanese Tea Association is now promoting the use of lower-grade matcha for culinary applications, as high-grade varieties often lose their delicate taste in mixed beverages.
The situation may worsen as new import tariffs on Japanese goods, including matcha, loom. A recent trade agreement between the US and Japan announced a 15% tax on Japanese imports, raising concerns among distributors like Purvis. With orders having spiked by over 70% prior to the tariff deadline, she remains hopeful that specialty teas will receive an exemption: "There is no American industry under threat that tariffs need to protect."
Despite current pressures, some in the industry believe that as the market adjusts, prices for low-quality matcha might stabilize. "There's a boom now, but we expect demand to cool over the next few years," expressed Masahiro Nagata, co-founder of Matcha Tokyo.
