20/JUL/2025 - Matcha Supply Shortage in Japan Posted on 20 Jul 14:07
Japan’s premium powdered green tea, matcha, is facing a severe supply shortage in 2025. Production of tencha—the steamed leaf used to make matcha—has fallen sharply in Kyoto by 40% for hand-picked Uji Tencha and 18% for machine-harvested first-flush tencha, due largely to record heatwaves and erratic rainfall. An aging farming population and labor shortages further constrain hand-picked high-grade yields. Meanwhile, global demand has surged—driven by health trends and social-media “MatchaTok”—causing exports to jump 16% by volume and 25% by value in 2024, and prompting order caps from leading tea houses.
Kyoto auction prices for tencha have climbed 170% since 2016, and retail matcha prices overseas have doubled, leading distributors to ration premium stocks. To mitigate the crisis, the Japanese government is boosting subsidies, and cooperatives are planting new bushes in Kagoshima and Shizuoka (which need 3–5 years to mature). Research into heat-tolerant cultivars and improved shading is underway, and agritourism efforts aim to attract younger farmers.
Although the 2025 spring harvest provided temporary relief, experts warn tight supplies will persist through late 2025, with full recovery unlikely before the 2026 harvest. Continued stability depends on consistent climate conditions, revitalized farm labor, and balanced demand growth. By combining sustainable practices, innovation, and consumer education, Japan hopes to secure matcha’s future.
Read More → Matcha Supply Shortage in Japan: Causes, Impacts, and Outlook