Green Tea and Matcha Market Size, Share, Growth, and Industry Analysis, By Type (Green Tea and Matcha), By Application (Supermarkets and Hypermarkets, Specialty Stores, Convenience Stores, Online Stores and Others), and Regional Insights and Forecast to 2033

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GREEN TEA AND MATCHA MARKET OVERVIEW

The green tea and matcha market size was valued at approximately USD 3.4 billion in 2024 and is expected to reach USD 5.9 billion by 2033, growing at a compound annual growth rate (CAGR) of about 6.05% from 2025 to 2033.

Green tea is processed from the Camellia sinensis plant and is planted and grown under sunlight, the leaves of green tea are heat treated through steaming after they have been plucked to prevent them from oxidizing thus taking on the green colour and fresh flavour. It is made by immersing varying tea leaves or tea sachets in hot water, deriving flavours and nutrients, whereupon the brewed leaves are always discarded. The taste sensation variations of the tea are light and floral or grassy, depending on the cut of the tea leaves and its type. Green tea is nutrition-enhanced and contains catechins of antioxidants of around 63mg per serving and L-theanine, which is calming, of around 7mg. It possesses mild to moderate stimulatory effects given that it contains caffeine between 30 and 50 milligrams per cup.

Matcha is prepared from tea leaves grown under shade till the leaves are plucked, to achieve this, it covers the leaves to produce more chlorophyll to make them green. Green tea from Camellia sinensis is selectively steamed to stop oxidation, while for matcha, the whole leaf is ground to a fine powder with the mixture either in hot water or milk. This gives matcha a delicious and delicious taste with a somewhat stringent flavour and enhances the tea's nutritional profile. They contain about 134mg of catechins, 45mg of L-theanine, and 70mg of caffeine more than other teas, so one is not jittery.

COVID-19 IMPACT

"Pandemic led to significant supply chain disruptions in the market "

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to the market’s growth and demand returning to pre-pandemic levels.

The lockdown affected the availability of green tea and matcha since many companies were forced to shut down especially those originating from countries such as Japan and China. Increased consumer consciousness emphasized health nutrition thus demanding health-oriented products. As the world shifted towards becoming medical-oriented, shipping complications such as the deficiency in shipping services, scarcity in human resources, and restrictions in import and export affected supply causing temporary stock-outs. Since matcha is more niche and frequently obtained directly from Japan, procuring it was more challenging than regular green tea. These disruptions underscored the rising global interest in antioxidant-rich beverages, pushing producers and distributors to explore more resilient supply chains and local sourcing options to meet growing demand effectively.

LATEST TREND

"Increasing consumer inclination towards health-conscious products to drive the market"

With a growing consumer focus on fitness and wellness, both green tea and matcha have received considerable recognition as health-conscious beverage choices. Green tea is valued for its rich antioxidant content, mainly catechins, which aid cardiovascular fitness, weight control, and immunity. Matcha, also gives even greater health advantages because of its higher awareness of antioxidants, together with as much as 134 milligrams of catechins per serving. This effect also increases metabolic rates, boosts cognitive functionality and induces relaxation thanks to the L-theanine in the formulation. This blend helps to boost the metabolism rate, strengthen brain activity, and reduce stress levels through the help of L-theanine. This reason has made matcha known as the healthiest green tea since people can get body, soul and dental health in one cup.

GREEN TEA AND MATCHA MARKET SEGMENTATION

By Type

Based on type, the global market can be categorized into Green Tea and Matcha

• Green Tea:The green tea market is divided into flavoured and non-flavoured green teas where green tea with lemon and cinnamon has become popular. It comes in many forms such as tea bag, loose tea, instant mix and flavoured ready-to-drink one where tea bag type is most common owing to its convenience. Its benefits include being a natural antioxidant, assisting in weight loss management and increasing consumer preferences towards the product. Supermarkets and hypermarkets are the most important distribution channels because they bring the products within easy reach of customers. Furthermore, health consciousness remains a key driver of market growth.

• Matcha: Matcha is a high-quality product with health benefits and a delicate taste different from conventional green tea. It has been extensively adopted for various uses and applications such as baking products, making smoothies, or even desserts thus diversifying its market. This has increased the demand for matcha because of the health benefits that come with it, such as the antioxidants and nutrients. The global matcha market is projected to expand significantly, and its growth will geared up for that in upcoming years. Sustainability in sourcing is slowly becoming valuable, which aligns with the current trend in consumption patterns, where consumers are now going for green products.

By Application

Based on application, the global market can be categorized into Supermarkets and Hypermarkets, Specialty Stores, Convenience Stores, Online Stores and Others

• Supermarkets and Hypermarkets: Supermarkets and hypermarkets are the largest sales channels for green tea and matcha since they offer a variety of brands and products. Their convenience allows consumers to purchase multiple items in one trip. Promotional offers, discounts, and bulk options appeal to price-sensitive buyers. Dedicated health sections increase visibility for organic and speciality teas. Physical product inspection enhances consumer confidence in choosing high-quality tea.

• Specialty Stores: Specialty stores provide focused premium green tea and matcha products emphasising quality and authenticity. Friendly and informed staff acquaint customers with various teas and offer suitable suggestions. These stores often feature unique blends and high-grade matcha unavailable in supermarkets. Tastings and demonstrations enhance the shopping experience, allowing consumers to sample products. Speciality stores significantly consume premium tea because they focus on quality customer needs.

• Convenience Stores: Convenience stores are important places for green tea and matcha where a specific focus is given to ready-to-drink products for busy customers. Though selection is limited, strategically placed products near checkout drive impulse buys. Health-conscious trends have led to expanded offerings of bottled green tea in many stores. These outlets appeal to younger demographics prioritizing convenience and healthy choices. Convenience stores play a growing role in meeting demand for accessible health-oriented beverages.

• Online Stores: Online stores are leading green tea and matcha, offering extensive product variety. Consumers benefit from price comparisons, reviews and detailed information from home. Subscription services provide regular deliveries and discounts, enhancing convenience. Exclusive online-only products attract customers seeking unique or special items. E-commerce is driven by technology and the change in customer’s habits and attitudes towards online shopping.

• Others: Other distribution channels include health foods stores, catering services, café, restaurants, and direct consumer channels. Health foods mainly revolve around natural and environmentally friendly products when it comes to teas for health-conscious consumers. Various cafes and restaurants have implemented this green tea in drinks and food to cater to those who love this special flavour. Direct selling through company-owned websites strengthens customer bonds and product visibility. These channels effectively expand the green tea and matcha market by targeting consumer segments.

MARKET DYNAMICS

Market dynamics include driving and restraining factors, opportunities and challenges stating the market conditions.

Driving Factors

"Cultural appreciation and globalization boost the market "

The increasing trend and appreciation of Japanese culture across the globe such as the tea ceremonies that use matcha has enhanced the green tea and matcha market growth. Moreover, integrating matcha into western culture has broadened its applicability beyond the traditional settings and now many chefs and new customers use it in their food, sweets and drinks recipes. Matcha has also gained popularity with the young people and this has been made possible through celebrity endorsements and partnerships with big brands. This cultural influence is further enhanced by social media where recipes and most of the content shared have green tea and matcha associated with them making them more popular. This cultural shift reflects globalization and the fusion of culinary traditions, driving the demand for diverse and unique beverage options.

"E-commerce growth and digital strategies expand the market "

E-commerce stores have become the perfect marketing channels for green tea and matcha since they are easier to arrange and access. Today, the internet is more widely used and people are more aware of various products and their impact on the health of consumers hence, it becomes easier for such brands to circulate awareness among the target market. By offering frequent delivery services, subscription services for premium teas offer immense convenience and build brand loyalty. Influencers use lifestyle content to market green tea and matcha through social media platforms, often emphasizing their properties. Moreover, online platforms increase supply chain transparency for sourcing, thus becoming loved by consumers who care about the origin and quality of their products.

Restraining Factor

"Lack of awareness and limited availability hamper the market"

The major challenges green tea and matcha products face include low awareness and limited product access, especially in developing countries and rural areas. Some consumers have not associated these products with their health and diet thus hampering the market. This gap is further elaborated by the fact that matcha is mainly produced in certain geographical locations especially Japan, making it scarce in the market. Lack of access to good-quality matcha can be due to supply chain disruptions, price changes, poor agricultural sector conditions, and the absence of specialized shops in some regions. These barriers can only be addressed by raising awareness and outreach to consumers.

Opportunity

"Product innovation and expanding culinary applications create a market opportunity"

Product innovation within products is important in the green tea and matcha market. Many new blends and innovative flavours and formats have appeared on the market, besides, matcha has become famous among baristas, bakers, smoothie makers and chefs adding its flavour to lattes, pastries, smoothies, and even desserts. This trend has also helped expand the market in a way that was limited to only tea consumers. Other trends contributing to these objectives include creative marketing, creating partnerships with food brands, and going straight to the consumer. The popularity of ready-to-drink matcha drinks is another advantage because they are convenient and easy to consume. Furthermore, constant developments in packaging and sustainable concepts are becoming more significant due to the increasing number of environmentally conscious customers.

Challenge

"Competition from other beverages to challenge the market"

The green tea and matcha markets share competition risks with similar health-conscious foods and beverages such as herbal teas and functional drinks. These products are usually made available at lower prices as they provide health-related benefits to the target population. With more and more choices available for the consumers, the beverage market might not solely be dominated by green tea and matcha thus reducing their market share. Other threats include established brands in different beverage categories, mostly because they have better marketing muscle and entrenched brand recognition in the consumer’s memory. They must give new ideas for products, improve them to meet market needs and ensure that the end-user's benefits are well understood, especially concerning their health.

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GREEN TEA AND MATCHA MARKET REGIONAL INSIGHTS

North America

North America has emerged as one of the fastest-growing green tea and matcha markets. This demand has been driven by the rising consciousness of people of their health benefits and the introduction of matcha-based beverages and foods due to Japanese influence, especially in the cities of the United States. Technological advancements have made access to these products easy by selling food and other products through e-commerce platforms, and the change to a healthy lifestyle has encouraged people, especially youth, to use the products. This growing interest presents significant opportunities for innovation in matcha products.

Europe

European consumers are now developing a taste for green tea and matcha due to an increased focus on healthy dietary habits. Organic and sourced green tea is growing with this change, and matcha is used in desserts, smoothies, baked goods, and more, appealing to the foodies. The niche coffee and tea outlets with niche tea products in their portfolio are a part of this growth, primed by younger consumers looking for healthy alternatives.

Asia

The Asia Pacific region dominates the green tea and matcha market share because of its strong penetration in green tea culture for Japan and China. Tea has been consumed for centuries in these nations, especially in Japan where it is a crucial part of tea ceremonies and has given matcha the prestige of being a high-end product. Also, health-conscious people in these countries such as India Singapore and Australia have even boosted the consumption of matcha due to its antioxidants. The favourable climate in the region also makes it possible to produce high-quality tea and new major producers consolidate their leadership in the market. This trend will continue to rise mainly because of growing disposable income and the changing habits of consumers opting for better brands of beverages.

KEY INDUSTRY PLAYERS

"Key industry players emphasize quality and sustainability with premium offerings driving market expansion "

Key industry player’s focus on quality and genuineness has emerged as a strong trend in the green tea and matcha market, where firms have started to produce higher-quality goods to meet customer expectations. Global brands have introduced a unique selling proposition of speciality brands that brings the taste of Japan, the most credible source of matcha because of better production processes. Further, there is advanced consciousness towards material sourcing and many brands have sought certification for organic foods and belong to consumer’s environmental attitude and sensibility. This trend may go hand in hand with another, which is a global trend towards transparency in the relationship between the supplier and customer, and, in this particular case, the consumer of the product.

List Of Top Green Tea And Matcha Companies

• Soar Organics (Canada)
• Arizona Beverage Company (U.S.)
• Frontier Natural Products Co-Op (U.S.)
• The Coca-Cola Company (U.S.)
• Unilever (U.K.)
• Grace Matcha (Japan)
• Aiya Matcha (Japan)
• Numi Organic Tea (U.S.)
• Metropolitan Tea Company (Canada)
• Encha (Japan)
• Yogi Tea (U.S.)
• Celestial Seasonings (U.S.)
• AOI Tea Company (Japan)

KEY INDUSTRY DEVELOPMENTS

January 2025: Japan's Ministry of Agriculture, Forestry and Fisheries is capitalizing on the global matcha boom to boost green tea exports by encouraging farmers to shift from sencha to tencha production. Tencha, used for matcha, is popular in Europe and the U.S. The ministry plans subsidies for tencha farming and enhanced promotion via social media to counter declining domestic consumption and ageing farmer challenges.

REPORT COVERAGE

The study encompasses a comprehensive SWOT analysis and provides insights into future developments within the market. It examines various factors that contribute to the growth of the market, exploring a wide range of market categories and potential applications that may impact its trajectory in the coming years. The analysis takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth.

The green tea and matcha market is poised for significant growth, driven by increasing health consciousness, cultural globalization, and expanding culinary applications. Matcha, often regarded as the healthiest form of green tea, has gained prominence due to its high antioxidant content and versatile usage in beverages, desserts, and baked goods. Key industry players are focusing on premiumization, sustainability, and innovative product offerings to meet evolving consumer demands. Challenges such as competition from alternative beverages and limited availability in certain regions persist, but opportunities in e-commerce, creative marketing, and sustainable practices offer strong potential for market expansion. Regional growth is fueled by rising awareness, technological advancements, and shifting dietary preferences.