Matcha Market Report: USD 5.8 Bn by 2034 at 6.1% CAGR

Overview

New York, NY – May 28, 2025 – The Global Matcha Market is experiencing strong growth, driven by rising health consciousness and demand for natural superfoods. Valued at USD 3.2 billion in 2024, the market is projected to reach USD 5.8 billion by 2034, expanding at a CAGR of 6.1% from 2025 to 2034.

In 2024, Regular matcha commanded a 63.9% share in the By Product Type segment of the Matcha Market. Its dominance reflects strong consumer preference due to affordability and wide availability. Powdered matcha held a dominant 92.4% share in the By Form segment of the Matcha Market in 2024. Its versatility in tea, culinary, and beverage applications, from smoothies to baking, fuels its widespread use.

Classic Grade matcha secured a 47.8% share in the By Grade segment of the Matcha Market in 2024. Its affordability and balanced flavor make it ideal for daily tea and culinary uses. Regular Tea led the By Application segment of the Matcha Market in 2024 with a 57.3% share. Its cultural significance and versatility in hot, iced, and latte beverages drive widespread consumption. Hypermarkets and supermarkets captured a 43.7% share in the By Distribution Channel segment of the Matcha Market in 2024. Their extensive reach, diverse product offerings, and promotional strategies drive sales.

US Tariff Impact on The Matcha Market

Silvia Mella, owner of Sorate, a New York City teahouse, describes matcha’s vibrant green color as stunning, noting its surge in popularity. However, matcha is already scarce, and a 24% tariff on Japanese imports, effective April 9, 2025, is set to drive prices higher. The U.S. government is proposing tariffs of 10% to 34% on all Japanese goods, including green tea and matcha, as part of a broader political strategy. Though not finalized, these tariffs could significantly impact U.S. matcha businesses and consumers.

➤ Curious about the content? Explore a sample copy of this report – https://market.us/report/global-matcha-market/request-sample/

Prices for authentic, ceremonial-grade matcha may spike by 20% or more, making it less affordable. The tariffs could also lead to job losses across matcha supply chains, fulfillment, and retail, while potentially forcing many small businesses to close due to the financial burden. Additionally, low-quality matcha alternatives from non-Japanese sources might flood the market, deceiving consumers and diluting the authentic matcha experience, flavor, and health benefits.

Key Takeaways

• Global Matcha Market is expected to be worth around USD 5.8 billion by 2034, up from USD 3.2 billion in 2024, and grow at a CAGR of 6.1% from 2025 to 2034.
• Regular matcha held a dominant 63.9% market share, reflecting strong consumer preference for standard products.
• Powdered matcha captured a substantial 92.4% share, indicating its widespread use in diverse applications.
• Classic Grade accounted for 47.8% of the market, driven by its balanced flavor and versatility.
• Regular tea applications dominated 57.3% of the matcha market, supported by rising demand for functional beverages.
• Hypermarkets and supermarkets led the distribution channel with a 43.7% share, emphasizing accessibility and convenience.
• The Matcha Market in Asia-Pacific achieved a substantial 51.1% share, totaling USD 1.6 Bn.

Report Scope

➤ Directly purchase a copy of the report – https://market.us/purchase-report/?report_id=148010

Key Market Segments

By Product Type Analysis

• In 2024, Regular matcha commanded a 63.9% share in the By Product Type segment of the Matcha Market. Its dominance reflects strong consumer preference due to affordability and wide availability. Regular matcha’s versatility in traditional tea, beverages, and food products drives its popularity. The health and wellness trend further boosts demand, ensuring its leading position in retail and foodservice channels through the forecast period.

By Form Analysis

• Powdered matcha held a dominant 92.4% share in the By Form segment of the Matcha Market in 2024. Its versatility in tea, culinary, and beverage applications, from smoothies to baking, fuels its widespread use. Powdered matcha’s authenticity, nutrient retention, and vibrant color drive consumer preference. Its ease of use and storage convenience support strong demand, maintaining its market dominance.

By Grade Analysis

• Classic Grade matcha secured a 47.8% share in the By Grade segment of the Matcha Market in 2024. Its affordability and balanced flavor make it ideal for daily tea and culinary uses. Consistent quality and availability across the retail and foodservice sectors drive its popularity. Broad consumer appeal and easy access in stores and online platforms solidify its leading position.

By Application Analysis

• Regular Tea led the By Application segment of the Matcha Market in 2024 with a 57.3% share. Its cultural significance and versatility in hot, iced, and latte beverages drive widespread consumption. Growing health awareness and matcha’s antioxidant benefits boost demand. Expanded availability in tea shops, supermarkets, and online platforms ensures Regular Tea’s dominant role in the market.

By Distribution Channel Analysis

• Hypermarkets and supermarkets captured a 43.7% share in the By Distribution Channel segment of the Matcha Market in 2024. Their extensive reach, diverse product offerings, and promotional strategies drive sales. One-stop shopping convenience and dedicated health-focused sections increase matcha visibility. Strategic product placement and urban accessibility reinforce their dominance as the top distribution channel for matcha products.

Regional Analysis

• Asia-Pacific led the Matcha Market in 2024, securing a dominant 51.1% share valued at USD 1.6 billion. This strong position is fueled by the region’s deep-rooted tea culture and growing use of matcha in culinary applications. North America shows steady growth, driven by demand for health-focused beverages and specialty teas.
• Europe sees increased matcha uptake due to the wellness trend and more matcha-based offerings in cafés. The Middle East & Africa are gradually embracing matcha as a premium health drink, while Latin America experiences rising interest among health-conscious consumers seeking antioxidant-rich products. Asia-Pacific’s leadership continues to shape the global Matcha Market, with traditional tea products anchoring its demand.

Top Use Cases

• Traditional Tea Beverages: Matcha is widely used in traditional tea preparations, especially in Asia-Pacific, where it holds cultural significance. Its rich flavor and antioxidant properties make it a popular choice for hot and iced teas, driving demand in homes, tea houses, and cafés globally.
• Culinary Applications in Food: Matcha is increasingly incorporated into desserts, baked goods, and savory dishes. Its vibrant color and unique flavor enhance cakes, ice creams, and noodles, appealing to food enthusiasts and boosting its use in restaurants and home cooking.
• Health and Wellness Products: Matcha’s high antioxidant content makes it a staple in health-focused products like smoothies, supplements, and energy bars. Its popularity in the wellness industry grows as consumers seek natural, nutrient-rich options for daily health routines.
• Cosmetics and Skincare: Matcha is used in skincare products like masks, creams, and serums due to its anti-inflammatory and antioxidant properties. Its ability to soothe skin and reduce redness drives demand in the beauty industry, especially among natural product enthusiasts.
• Beverage Innovations: Matcha is a key ingredient in modern beverages like lattes, energy drinks, and cocktails. Its versatility and health benefits fuel its adoption in cafés and bars, catering to consumers seeking trendy, functional drinks.

Recent Developments

1. Aiya America Inc.

• Aiya America, a leading matcha supplier, has expanded its ceremonial-grade matcha offerings, emphasizing organic and sustainably sourced products. The company introduced new single-origin matcha from Japan’s Nishio region, catering to premium tea enthusiasts. Aiya also launched matcha-based ready-to-drink (RTD) beverages, targeting health-conscious consumers. Their focus remains on quality control and traceability.

2. AOI Tea

• AOI Tea has enhanced its culinary-grade matcha line for baking and cooking, promoting its use in desserts and smoothies. The company introduced a barista-friendly matcha blend optimized for lattes, responding to café demand. AOI Tea also partnered with wellness brands to create matcha-infused supplements.

3. Breakaway Matcha LLC

• Breakaway Matcha specializes in small-batch, luxury matcha, sourcing rare cultivars from Japan. Recently, they launched a limited-edition seasonal matcha with unique flavor profiles. The company also introduced subscription-based matcha deliveries, ensuring freshness for regular consumers.

4. DoMatcha

• DoMatcha has strengthened its organic and ceremonial matcha portfolio, emphasizing stone-ground authenticity. They expanded into functional matcha blends with added probiotics and adaptogens. The brand also improved its eco-friendly packaging to reduce environmental impact.

5. Encha

• Encha focuses on 100% USDA Organic matcha, recently introducing a new latte-grade matcha for creamy beverages. They launched a farm-direct initiative, ensuring transparency from harvest to cup. Encha also expanded into matcha-based skincare products, leveraging its antioxidant properties.

Conclusion

The Matcha Market is set for strong growth, driven by its cultural roots and rising global demand for health-focused products. Fueled by traditional tea consumption and culinary uses. The popularity of powdered matcha and health trends in North America and Europe boosts its appeal. With increasing use in beverages, food, and cosmetics, matcha offers significant opportunities for innovation and market expansion through 2034.

Discuss Your Needs With Our Analyst

Please share your requirements with more details so our analyst can check if they can solve your problem(s)

Request a Sample Download PDF