Matcha market surging
The global matcha market hit $3.43 billion in 2025 and analysts project roughly a 7% CAGR from 2026–2035 — a growth curve that predicts more matcha cafés and specialty shops across North America, Europe and Asia. Expect more menu experimentation and investment in functional matcha offerings as demand scales (openpr.com).
Record heatwaves in Japan’s main growing regions pushed 2025 matcha output sharply lower, with industry officials and regional press reporting weather‑related yield declines in Uji and Kyoto. (straitstimes.com) Kyoto tencha — the steamed leaf milled into matcha — hit record prices at auction in 2025, with reports of a roughly 170% year‑over‑year spike to about ¥8,235 per kg in some lots. (sustainabilitymag.com) Asia‑Pacific still accounts for the plurality of global matcha demand (reported around 57.8% share in 2024), while research firms flag North America and Europe as the fastest expanding retail and café markets for matcha products. (polarismarketresearch.com) Market research firms list ready‑to‑drink formats, culinary premixes, nutraceuticals and personal‑care applications as the fastest growing product channels, and name e‑commerce and specialty retailers as primary distribution accelerants. (omrglobal.com) Commercial brands are translating demand into shelf and store deals: Jade Leaf launched a Pistachio Matcha Latte Mix with Target in January 2026, and MatchaBar continues to scale café footprints while selling bottled and farm‑sourced matcha products online. (refreshmentmag.com) Facing tightened supplies, some large Japanese suppliers capped allocations to new wholesale accounts in 2024–2025, prompting buyers to pursue farm‑direct sourcing, inventory hedging and supplier consolidation strategies. (tezumi.com)