Matcha Market By Nature Type (Organic, Conventional), By Grade (Ceremonial Grade, Premium Grade, Culinary Grade), By End-User (Food Processing, Beverage Processing, Personal Care), And Region For 2024-2031
Report ID: 39064|No. of Pages: 202
Matcha Market Valuation – 2024-2031
The Matcha Market is seeing a tremendous spike in popularity, green tea powder is becoming increasingly popular for a variety of reasons. People are becoming more health-conscious, which has drawn interest in matcha’s potential benefits. Its high content of antioxidants is said to improve metabolism, cognitive function, and overall health. This emphasis on healthy alternatives is leading people away from sugary beverages and toward matcha as a natural and tasty substitute. The market size surpass USD 3.76 Billion valued in 2023 to reach a valuation of around USD 7.38 Billion by 2031.
Matcha’s adaptability is extending its popularity. It is no longer merely appreciated as a conventional tea; it is also used in a range of culinary concoctions. From lattes and baked goods to smoothies and savory foods, matcha’s vibrant green color and distinct flavor profile entice customers to experiment and discover new ways to incorporate it into their diet. This innovation in the food and beverage business is driving up the demand for matcha. The rising demand for cost-effective and efficient matcha is enabling the market grow at a CAGR of 8.78% from 2024 to 2031.
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Matcha Market: Definition/ Overview
Matcha is a finely crushed powder made from green tea leaves that have been specifically produced and processed. The leaves are usually shade-grown for three to four weeks before harvest, which boosts chlorophyll levels and gives the leaves a darker green color. After harvesting, the leaves are steamed, dried, and ground to a fine powder.
This process maintains the leaves’ minerals and antioxidants, resulting in a highly concentrated version of green tea. Matcha is traditionally used in Japanese tea ceremonies, where powder is whisked with hot water to produce a frothy, brilliant green beverage. Its current applications include flavoring for sweets, ice cream, smoothies, and even savory foods.
Matcha’s future appears optimistic because of its health benefits and adaptability. As consumers become more health-conscious, the demand for natural and functional foods grows. Matcha, which is high in antioxidants, vitamins, and minerals, fits right into this trend, providing benefits such as increased mental clarity, metabolism, and detoxification. Matcha’s popularity is expected to expand further as people become more interested in plant-based diets and superfoods.
Furthermore, matcha’s particular taste profile and brilliant color make it an intriguing ingredient for new culinary creations and beverages. With continued study into its health advantages and a growing global market, matcha is expected to remain a popular and flexible component in both traditional and modern uses.
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How Do Product Diversification Driving the Matcha Market?
Product diversification will fuel matcha market expansion. Matcha’s adaptability, which allows it to be used in various food and beverage products besides regular tea, is a major reason for its growing market presence. According to Mintel, matcha-flavored food and drink releases increased by 202% globally in 2014 and 2018, indicating a strong trend in product diversity. This expanding spectrum of applications meets the growing customer desire for innovative and health-conscious products, driving market growth.
The matcha market will develop as the café culture expands. The rise of café culture and specialty tea stores has considerably increased matcha consumption, according to a survey conducted by the Tea Association of the United States, which discovered that specialty tea sales have climbed by 60% over the last decade. Matcha has emerged as one of the category’s most rapidly increasing segments. This trend reflects increased customer demand for distinctive and premium beverages, making café culture a crucial driver of the matcha market’s growth.
E-commerce growth will propel the matcha market forward. The proliferation of e-commerce platforms has greatly enhanced matcha’s accessibility to consumers worldwide. According to Statista, the online tea and coffee market is expected to reach USD 29.77 Billion by 2025, with specialty teas such as matcha playing a big role in this expansion. The COVID-19 pandemic has expedited this trend, with the Tea Association of the United States claiming an 18.5% increase in online tea sales in 2020. This change to internet shopping is a major factor in the growing matcha market.
How Does Lack of Standardization Impact the Growth of the Matcha Market?
In the matcha market, the absence of standardization may impact the growth. Without defined quality criteria and certification systems, consumers may find large differences in matcha quality, resulting in inconsistent experiences and potential mistrust of the product. This unpredictability can undermine consumer confidence and hamper market expansion, since purchasers may be hesitant to invest in a product of unknown quality. Setting precise criteria for matcha production and grading would assist in assuring consistency, increasing consumer trust, and supporting long-term market growth.
The limited availability of matcha can have an impact on the market’s growth. Matcha production is labor-intensive and requires specific cultivation conditions found primarily in Japan. This limited supply may limit the market’s ability to fulfill rising global demand, resulting in increased prices and possible supply shortages. Such obstacles may dissuade new customers and impede general adoption, thus reducing market growth. Expanding cultivation regions and upgrading production processes may help reduce these constraints and support the matcha market’s continued growth.
Category-Wise Acumens
Will Organic Farming Boost Growth in the Conventional Matcha Category of the Market?
Conventional matcha holds the larger market share. Organic farming has the potential to drive the conventional matcha segment’s market growth. As customers become more health-conscious and environmentally conscientious, the demand for organic products, such as matcha, increases. Organic matcha, free of synthetic pesticides and fertilizers, appeals to those looking for natural and sustainable alternatives. This shift in customer tastes may enhance the total matcha market, driving conventional producers to embrace organic agricultural practices to satisfy rising demand.
Increase in availability of matcha in supermarkets may encourage growth in the conventional matcha sector. As more stores offer matcha products, consumer accessibility improves and impulse purchases increase, making it easier for customers to incorporate matcha into their diets. This visibility clarifies the product for people who are unfamiliar with it, extending its appeal and recruiting new customers. As a result, the ease of acquiring matcha in everyday grocery stores can considerably contribute to the expansion of the traditional matcha market, encouraging wider consumer adoption and improving overall sales.
The organic segment is experiencing the fastest growth. This can be related to consumers’ growing interest in health and fitness. Organic agricultural procedures eliminate the use of synthetic pesticides and fertilizers, which resonates with consumers who want a more natural and potentially healthier product.
Will the Finest Texture of Ceremonial Grade Matcha Boost the Matcha Market Growth?
The ceremonial grade dominates the matcha market. The finest texture will promote expansion in the ceremonial grade matcha market. Ceremonial grade matcha is valued for its ultra-fine texture, brilliant color, and outstanding flavor, making it ideal for traditional tea ceremonies and high-end culinary applications. Consumers are increasingly appreciating the distinctions in matcha quality, creating a desire for premium products that provide a true experience. As people become more aware of the complexities of matcha, the attractiveness of ceremonial grade matcha, which is known for its exquisite texture and flavor, is projected to expand in popularity and add to the segment’s growth rate.
This top-tier matcha has a vibrant green color and a smooth, somewhat sweet flavor. It is traditionally used in Japanese tea rituals, where the highest quality is required. However, its dominance stems primarily from its purported health benefits. Ceremonial matcha is thought to have the highest concentration of antioxidants and nutrients, attracting health-conscious customers who value quality over price.
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Country/Region-wise Acumens
Will Production of Hub Propel the Growth of Market in Asian Pacific
The Asia-Pacific region holds the largest market share in matcha market. The matcha market in Asia Pacific will be driven by the production center, mainly in Japan. Japan’s prominence as the principal producer of high-quality matcha has a substantial impact on market growth, as indicated by its 2020 production of 69,800 tons and its huge tea plantation land of around 41,900 ha. Major places such as Uji in Kyoto and Nishio in Aichi increase the availability of premium matcha, which helps to keep pricing competitive. The Asia Pacific matcha market is primarily driven by the availability of locally produced, high-quality matcha.
Deep-rooted tradition will fuel the Asia Pacific matcha market. Matcha consumption has a deep cultural legacy, particularly in Japan and China, which contributes significantly to demand sustainability. Furthermore, the Japanese domestic shipment value of green tea reached 102.1 billion yen (about USD 934 Million USD) in 2019, with matcha playing a considerable role. In China, 85% of the population drinks tea, including matcha, daily. Furthermore, research discovered that 76.8% of Japanese people attend tea ceremonies at least once a year, highlighting matcha’s cultural importance. This knowledge and respect for matcha contributes to a strong consumer base, which drives consistent market growth in the region.
Will Rising Health Awareness Enable North America Lead the Matcha Market?
North America is experiencing the fastest growth in the matcha market. Rising health awareness will propel the matcha market in North America. Matcha’s perceived health benefits are consistent with the growing importance of health and wellness among consumers. The usage of green tea supplements, including matcha, among US adults increased from 0.2% in 2002 to 1.1% in 2012, indicating an increasing interest. According to studies, drinking green tea reduces the risk of cardiovascular disease by 20-30%, adding to its attractiveness. Matcha’s popularity continues to grow, with 87% of millennials consuming tea and a sizable proportion actively pursuing antioxidant-rich goods. This trend, fueled by media and influencer advertising, has helped grow the North American matcha market.
Innovation and experimentation will boost the matcha market in North America. The food and beverage industry’s emphasis on unusual flavors has increased the popularity of matcha-infused dishes, with 63% of consumers more likely to buy such products, according to the National Restaurant Association’s 2021 study. The USDA Economic Research Service reported a 10.7% increase in specialty food sales, including novel matcha products, from 2016 to 2018, totaling $148.7 billion. Furthermore, a Mintel poll discovered that 35% of U.S. customers actively seek out new flavors, establishing matcha as a popular ingredient. Between 2015 and 2020, the FDA reported a 200% growth in the number of matcha-containing food and beverage products launched in the United States.
Competitive Landscape
The matcha market is a dynamic and competitive space, characterized by a diverse range of players vying for market share. These players are on the run for solidifying their presence through the adoption of strategic plans such as collaborations, mergers, acquisitions, and political support.
The organizations are focusing on innovating their product line to serve the vast population in diverse regions. Some of the prominent players operating in the matcha market include:
ITO EN Ltd., Tata Global Beverages Ltd., Starbucks Corporation, The Hain Celestial Group Inc. ,Unilever PLC, Aiya-Co. Ltd., The AOI Tea Company, McCormick & Company Inc., Matchaah Holdings Inc., The Republic of Tea, Clearspring Ltd., Andrews & George Company Limited, Green Foods Corporation, Marukyu-Koyamaen Co. Ltd., Foodchem International Corporation
Latest Developments
- In February 2024, Aiya Matcha bought a majority ownership in OMGTea with the goal of bringing matcha to the public. This alliance intended to grow and establish a stronger presence in the United Kingdom.
- In February 2024, Ippodo Tea launched Premium Select Matcha, a limited blend of high-quality matcha. The product is ready to drink, with an umami and sweet flavor.
- In December 2023, Matcha Direct, operated by Tsuji Riichi Honten Co., Ltd., introduced Decaff Matcha to its online store.
Report Scope
REPORT ATTRIBUTES | DETAILS |
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Study Period | 2018-2031 |
Growth Rate | CAGR of ~8.78% from 2024 to 2031 |
Base Year for Valuation | 2023 |
Historical Period | 2018-2022 |
Forecast Period | 2024-2031 |
Quantitative Units | Value in USD Billion |
Report Coverage | Historical and Forecast Revenue Forecast, Historical and Forecast Volume, Growth Factors, Trends, Competitive Landscape, Key Players, Segmentation Analysis |
Segments Covered |
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Regions Covered |
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Key Players |
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Customization | Report customization along with purchase available upon request |
Matcha Market, By Category
Nature Type:
- Organic
- Conventional
Grade:
- Ceremonial Grade
- Premium Grade
- Culinary Grade
- Classic Grade
End-User:
- Food Processing
- Beverage Processing
- Personal Care
- Foodservice
- Institutional
- Household
Region:
- North America
- Europe
- Asia-Pacific
- South America
- Middle East & Africa
Research Methodology of Verified Market Research:
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Reasons to Purchase this Report
• Qualitative and quantitative analysis of the market based on segmentation involving both economic as well as non-economic factors
• Provision of market value (USD Billion) data for each segment and sub-segment
• Indicates the region and segment that is expected to witness the fastest growth as well as to dominate the market
• Analysis by geography highlighting the consumption of the product/service in the region as well as indicating the factors that are affecting the market within each region
• Competitive landscape which incorporates the market ranking of the major players, along with new service/product launches, partnerships, business expansions, and acquisitions in the past five years of companies profiled
• Extensive company profiles comprising of company overview, company insights, product benchmarking, and SWOT analysis for the major market players
• The current as well as the future market outlook of the industry with respect to recent developments which involve growth opportunities and drivers as well as challenges and restraints of both emerging as well as developed regions
• Includes in-depth analysis of the market of various perspectives through Porter’s five forces analysis
• Provides insight into the market through Value Chain
• Market dynamics scenario, along with growth opportunities of the market in the years to come
• 6-month post-sales analyst support
Customization of the Report
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Frequently Asked Questions
1 INTRODUCTION OF GLOBAL MATCHA MARKET
1.1 Overview of the Market
1.2 Scope of Report
1.3 Assumptions
2 EXECUTIVE SUMMARY
3 RESEARCH METHODOLOGY OF VERIFIED MARKET RESEARCH
3.1 Data Mining
3.2 Validation
3.3 Primary Interviews
3.4 List of Data Sources
4 GLOBAL MATCHA MARKET OUTLOOK
4.1 Overview
4.2 Market Dynamics
4.2.1 Drivers
4.2.2 Restraints
4.2.3 Opportunities
4.3 Porters Five Force Model
5 GLOBAL MATCHA MARKET, BY NATURE TYPE
5.1 Overview
5.2 Organic
5.3 Conventional
6 GLOBAL MATCHA MARKET, BY GRADE
6.1 Overview
6.2 Ceremonial Grade
6.3 Premium Grade
6.4 Culinary Grade
6.5 Classic Grade
7 GLOBAL MATCHA MARKET, BY END-USER
7.1 Overview
7.2 Food Processing
7.3 Beverage Processing
7.4 Personal Care
7.5 Foodservice
7.6 Institutional
7.7 Household
8 GLOBAL MATCHA MARKET, BY GEOGRAPHY
8.1 Overview
8.2 North America
8.2.1 U.S.
8.2.2 Canada
8.2.3 Mexico
8.3 Europe
8.3.1 Germany
8.3.2 U.K.
8.3.3 France
8.3.4 Rest of Europe
8.4 Asia Pacific
8.4.1 China
8.4.2 Japan
8.4.3 India
8.4.4 Rest of Asia Pacific
8.5 Rest of the World
8.5.1 Latin America
8.5.2 Middle East & Africa
9 GLOBAL MATCHA MARKET COMPETITIVE LANDSCAPE
9.1 Overview
9.2 Company Market Ranking
9.3 Key Development Strategies
10 COMPANY PROFILES
10.1 ITO EN Ltd.
10.1.1 Overview
10.1.2 Financial Performance
10.1.3 Product Outlook
10.1.4 Key Developments
10.2 Tata Global Beverages Ltd.
10.2.1 Overview
10.2.2 Financial Performance
10.2.3 Product Outlook
10.2.4 Key Developments
10.3 Starbucks Corporation
10.3.1 Overview
10.3.2 Financial Performance
10.3.3 Product Outlook
10.3.4 Key Developments
10.4 The Hain Celestial Group, Inc.
10.4.1 Overview
10.4.2 Financial Performance
10.4.3 Product Outlook
10.4.4 Key Developments
10.5 Unilever PLC
10.5.1 Overview
10.5.2 Financial Performance
10.5.3 Product Outlook
10.5.4 Key Developments
10.6 Aiya-Co. Ltd.
10.6.1 Overview
10.6.2 Financial Performance
10.6.3 Product Outlook
10.6.4 Key Developments
10.7 The AOI Tea Company
10.7.1 Overview
10.7.2 Financial Performance
10.7.3 Product Outlook
10.7.4 Key Developments
10.8 McCormick & Company, Inc.
10.8.1 Overview
10.8.2 Financial Performance
10.8.3 Product Outlook
10.8.4 Key Developments
10.9 Matchaah Holdings, Inc.
10.9.1 Overview
10.9.2 Financial Performance
10.9.3 Product Outlook
10.9.4 Key Developments
10.10 The Republic of Tea
10.10.1 Overview
10.10.2 Financial Performance
10.10.3 Product Outlook
10.10.4 Key Developments
11 KEY DEVELOPMENTS
11.1 Product Launches/Developments
11.2 Mergers and Acquisitions
11.3 Business Expansions
11.4 Partnerships and Collaborations
12 Appendix
12.1 Related Research
Report Research Methodology
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Exploratory data mining
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Data Collection Matrix
Perspective | Primary Research | Secondary Research |
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Econometrics and data visualization model
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Different members of the market’s value chain such as suppliers, distributors, vendors and end consumers are also approached to deliver an unbiased market picture. All the interviews are conducted across the globe. There is no language barrier due to our experienced and multi-lingual team of professionals. Interviews have the capability to offer critical insights about the market. Current business scenarios and future market expectations escalate the quality of our five-star rated market research reports. Our highly trained team use the primary research with Key Industry Participants (KIPs) for validating the market forecasts:
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The aims of doing primary research are:
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Industry Analysis Matrix
Qualitative analysis | Quantitative analysis |
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