Here’s the tea: there’s a global shortage of matcha that’s impacting businesses both within and outside Japan—and Instagram trends are to be blamed for it
Japan’s iconic powdered green tea, matcha, was elevated to the status of a global sensation over the past decades. Once exclusive to traditional tea ceremonies, it has morphed into a popular luxury treat for everyday indulgence and has made its way into lattes, cocktails, desserts and even skincare products worldwide.
But behind the versatility of the powder lies a growing concern: Japan’s matcha industry is struggling to keep up with the growing international demand.
Japan’s Ministry of Agriculture, Forestry and Fisheries (MAFF) stated in 2025 that matcha production has increased from 1,471 tons to 4,176 tons between 2010 and 2023, or around a 185 per cent increase. In other words, the global demand for the tea powder has increased by almost threefold in thirteen years. The ministry also stated that more than half of the matcha produced in Japan was now exported internationally—including Hong Kong.
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Above Matcha latte in a glass (Photo: Getty Images)
When cousins Cara and Laura Li founded the café Matchali in Hong Kong in 2020, matcha wasn’t as popular as it is today. “At the time, we identified a gap in the market,” they said in a call with Tatler. “Hong Kong had either very traditional tea shops, or coffee shops that were selling what we considered mediocre matcha at the time. Since then, we have established ourselves in the scene very well, but we really felt a shift mid-2024.”
It’s during that time that they first heard about the global shortage of matcha, which was predicted to continue at least until June 2025. Soon after, their retail products got sold out for the first time in half a decade, they faced higher demand from tourists and had to adapt to production delays from their matcha farm source. On top of this, the farm increased its prices by about 5 per cent.
“We think the reason for matcha’s [newfound] popularity is that people are finally becoming aware of its health benefits,” Cara says.
Matcha, a superfood
As the two cousins explain, the uniqueness of the matcha lies in its duality: Japanese monks used to drink it to stay mellow during meditation, and samurai consumed it before battle, because it helped them stay alert and focused.
“Matcha delivers you caffeine minus the crash,” Cara says. “It’s also very high in antioxidants, promotes a healthy digestion, reduces blood sugar and cholesterol, boasts anti-ageing properties, fat-burning effects and more. Also, it tastes good.”
Motivated by these health benefits, many people are switching from coffee to matcha, and according to the cousins: it marks a lifestyle choice. “I think people prioritise their wellness much more these days,” Cara continues. “There’s a sharp difference between taking a moment of your day to have a matcha versus having a quick coffee on the go.”
Drinking matcha as a lifestyle
The rise of matcha has become synonymous with a post-pandemic surge in wellness and self-care, capturing the hearts and feeds of many across social media. This phenomenon is underscored by a staggering 1.2 million posts featuring the hashtag #matchalover on Instagram in April 2025, highlighting its widespread appeal.
On social media, wellness is a curated concept, one which is often associated with “clean girl aesthetics”. This movement centres around the idea of effortless elegance, primarily among women, who embrace daily rituals, mindful practices and a pristine, minimalist approach to life. One of the must-have elements that complements this clean girl aesthetics is an inclination to drink endless cups of matcha—and post about it on Instagram.
This is because no beverage epitomises “mindful” lifestyle as much as a cuppa of matcha latte, with its balance of health benefits and “on trend” street creds.
“Consumers are also increasingly drawn to matcha sets to recreate the experience at home, rather than relying solely on cafés,” Laura says. This trend is particularly noteworthy as enthusiasts take their passion a step further, with many travelling to Japan to source premium matcha directly from its origins—in the Uji region, south of Kyoto. Problem: the sheer number of visitors seeking authentic matcha experiences has created a crowded market, leading to concerns about over-tourism.
Japan’s low yen and overtourism
Japan has been facing overtourism issues for some time, but efforts to address them have been scaled up since 2024. The city of Fujikawaguchiko installed a large barrier to block a crowded view of Mount Fuji and Kyoto’s Gion district put up signs banning tourists from entering private alleyways, among other measures.
Despite these challenges, Japan is experiencing an unprecedented travel boom, linked to its current weak currency: the value of the yen has tumbled so much that it is back to where it was in 1990, making visits more affordable for foreign tourists. In the first three months of 2025, the country welcomed 10.54 million visitors, a pace that could surpass last year’s record of 36.87 million.
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Beyond Japan’s renowned soft power and stunning landscapes, the Japanese yen’s historic lows have spurred an all-time high in tourism and matcha purchases. But travellers in Japan to sample authentic matcha have reported difficulty finding it in some stores.
A YouTuber with 135k subscribers named pigallisme shared a video showing the different notices she found around Japan, explaining that some shops have temporarily suspended the sales of certain products, or that other available products would be limited to one matcha item per person per day, as an effort to keep stocks for the local demands as well.
“Can’t Japan produce more matcha then?” some comments read under the video. Well, it‘s more complicated than that.
What are the alternatives to matcha?
Can Japan produce more matcha? It’s a valid question, one that reflects the broader expectations for the country to adapt to a burgeoning market. However, the reality is more nuanced and requires a closer examination of the intricacies of matcha production.
Matcha involves two main processes: growing the leaves and grinding them into powder—and both steps face significant limitations in scaling up quickly.
While there’s sufficient land available for tea cultivation, it takes up to five years for tea shrubs to mature, meaning current expansions wouldn’t address the shortage immediately. After harvesting, the leaves must be dried and ground. To maintain freshness, it’s preferable to keep tencha leaves whole until needed, but grinding machines operate slowly, producing only 40 grams of matcha per hour—enough for just 10 to 12 matcha lattes.
Compounding these challenges is a declining number of tea farmers. Data from the Ministry of Agriculture, Forestry and Fisheries reveals a drop from over 53,000 farmers in 2000 to just 12,353 in 2020, as many ageing farmers struggle to find successors among younger generations, leading to abandoned tea farms.
Then, are there any alternatives?
Varieties like hojicha powder, mate, and tulsi (or holy basil) are readily available and can help alleviate the pressure on matcha farms amid our growing obsession. And, of course, cultivating patience and moderation in our consumption could further support sustainable practices.





