Japan’s Matcha Shortage: Can Supply Keep Up With the Hype?

Matcha has become more than just a trendy ingredient—it’s a global sensation. From Instagram-worthy lattes to wellness-boosting smoothies, the finely ground green tea powder is everywhere. But Japan, the world’s top producer, is struggling to keep up with skyrocketing demand, and now, a matcha shortage is brewing.

How the Shortage Started

The first signs of trouble appeared in 2024 when two of Japan’s most respected tea companies, Ippodo and Marukyu Koyamaen, imposed strict purchase limits on their matcha powder. Soon after, products vanished from store shelves across Japan, fueling speculation of an impending shortage. The situation has been especially dire for first-flush matcha, a premium-grade powder harvested only once a year. Traditionally reserved for tea ceremonies, it has now become a daily staple for matcha lovers worldwide.

(According to Japan Times)

Global Demand vs. Local Decline

Japan is producing more matcha than ever—4,176 tons in 2023 compared to just 1,471 tons in 2010, according to government data. Yet, much of this tea is leaving the country. Ironically, while the rest of the world can’t get enough matcha, domestic consumption in Japan is declining. More than half of the country’s matcha is now exported, leaving local shelves emptier than ever.

The Social Media Boom and Matcha’s Health Appeal

So, what’s fueling this frenzy? A mix of health-conscious consumers and social media trends. Unlike coffee, matcha provides a jitter-free energy boost, packed with antioxidants and other wellness benefits. Platforms like TikTok and Instagram have propelled matcha into mainstream culture, with influencers showcasing everything from vibrant green lattes to matcha-infused desserts.

Why Making More Matcha Isn’t So Easy

Even if Japan wanted to ramp up production overnight, it’s not that simple. Matcha farming requires patience—tea shrubs take nearly five years to mature. Once harvested, the leaves must be carefully stored and slowly ground into powder. The process is painstaking: a single grinding machine produces only enough matcha for about 10 to 12 lattes per hour. On top of that, Japan faces a shortage of skilled matcha farmers and the special stone mills needed for grinding.

What’s Next for the Matcha Industry?

The next harvest arrives in April 2025, offering a temporary supply boost, but long-term challenges remain. Japan’s government is considering shifting policies to support tencha production (the leaves used for matcha), but there’s also a risk—if the global matcha craze fades, an industry-wide adjustment could backfire.

For now, matcha remains one of the hottest beverages on the planet—and if you can still find a tin of high-quality Japanese matcha, consider yourself lucky.