Unpacking the Matcha Shortage: An Insightful Look

By the time autumn 2024 rolled around, rumors of a significant “matcha shortage” began circulating globally. Since then, we have received numerous inquiries on the subject. While it is not unusual for matcha reserves to dwindle during the colder months, replenished only with the new harvest, this time something felt different. At the same time, we were puzzled by the international buzz around a shortage, especially when high-quality matcha was still readily available from various producers.

Now, as we find ourselves in the midst of winter, the situation is starting to clarify. While matcha reserves are indeed getting lower, the spring harvest is just around the corner.

So, what exactly has happened? The truth is, no one has a definitive answer. However, it is clear that matcha’s popularity has surged exponentially in recent years. Whether it is the vibrant green color, the numerous health benefits it is known for (though many other teas share similar properties), or the influence of marketing and social media, matcha has become a trendy and visually appealing item in a wide range of recipes and life-styles.

Over the past decade, exports of Japanese tea have grown rapidly – from just 1% of total production in the early 2000s to around 10% by the end of 2023. Meanwhile, Japan has seen an influx of tourists since reopening its borders after the COVID-19 pandemic, with matcha being a popular and accessible souvenir in places like Kyoto. In many cases, tourists are even purchasing matcha in bulk, as the prices in Japan are often much lower than what they would find in their home countries.

This surge in demand led two well-known Japanese tea brands, Ippodo and Marukyu Koyamaen, both with popular stores in Kyoto, to experience a serious matcha shortage, forcing them to either stop or regulate sales – something unprecedented.

But is there really a total shortage of matcha? Not exactly. The unique and seasonal nature of matcha production makes it inherently limited. High-quality matcha can only be made from spring tea leaves. Moreover, not all Japanese tea produced in spring becomes matcha – in fact, matcha accounts for only about 6% of Japan’s total tea production. This makes it naturally scarce. To add to that, matcha must be ground into powder, and the grinding process takes time. Usually, tencha tea (the leaf material used for matcha) is ground gradually, not all at once. When demand suddenly spiked, grinding facilities could not keep up, requiring more time than the market was willing to spare.

In response, the Ministry of Agriculture, Forestry and Fisheries is encouraging increased production of tencha and inviting tea farmers to focus more on it, rather than other types of tea. Subsidies to support this shift have already been announced, though the whole process will take time and effort. Whether the matcha craze will last remains uncertain.

In the meantime, there’s no need to worry: the spring harvest is just around the corner, and fresh matcha will soon be produced. However, we hope that tea drinkers come to appreciate the uniqueness and preciousness of this tea. Should we ride the wave of trendiness, drinking matcha at breakneck speed, or sip it mindfully and savour it fully? As always, we do not have all the answers, but we leave the debate open – though with some satisfaction that Japanese tea is gaining well-deserved attention on the global stage.

 

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