Future Belongs to Matcha Tea Market

Updated: Jan 12, 2021

Matcha tea is among the fastest-growing health and wellness trend, says a Forbes article on the top ten market niches still worth investing in for their growth potential. There have been multiple industry assessment reports solely dedicated to highlighting the matcha green tea market potential in the next 5 to 7 years.

Market Growth Potential of Matcha Tea

The COVID-19 lockdown may have impacted significant businesses over the last year and still keeps impacting major economic decisions. But some niches have come out almost unscathed especially the ones which focus on at-home consumption. With a projected market size of $ 2.26 billion by 2025, green tea or matcha tea is a star among the steadiest growing tea trends among health and wellness freaks.

Geographic Expansion

With the current growth rate of 4.7%, the matcha tea market has taken over economic hubs in North America, Europe, Asia-Pacific, South America, and the Middle East and Africa. This has generated immense investment interest in countries like:

· Australia

· Brazil

· China

· France

· India

· Italy

· Japan

· Korea

· Russia

· Saudi Arabia

· United Kingdom

Currently, the best green tea brand market players include big names like DoMatcha, Aiya, AOI Seicha, MarushichiSeicha, Yanoen, ShaoXing Royal Tea, and ujimatcha. Additionally, Starbucks

Matcha Tea Segments by Application

The versatility of matcha tea adds to the product demand in four key areas of application:

1. Drinking tea

2. Baked desserts

3. Frozen desserts or Ice-cream

4. Beverage

Expanding on each of these application areas, a significant number of product lines have been introduced along with the matcha tea quality grading for each of these products. Three main matcha product categories can be found in supermarkets and online stores catering to the demand of matcha enthusiasts:

· Powder

· Ready-to-drink (RTD) beverage

· Instant mix

This makes it convenient for a consumer at his/her house to enjoy the health benefits of matcha tea at their own convenience and strengthen their immune system at the same time.

The matcha tea product quality grading branches out into three distinct types:

1. Classic

With Classic quality grade matcha tea, you can enjoy it by simply whisking into hot water and enjoying the frothy freshness.

2. Culinary

This quality grade is preferable when cooking different sweet or savory cuisines using matcha tea.

3. Ceremonial

This is the highest quality matcha tea used specifically in the traditional Japanese Tea Ceremony where one can enjoy the ritualistically sacred feeling attributed to drinking matcha tea.

Matcha Tea vs. Coffee

With global giants like Starbucks opting in this massively growing tea trend, matcha is here to stay for a long time. These coffee and tea chains have also elevated this healthy alternative to caffeinated-drinks into high-end products which makes it even more popular among global youth. You can find endless posts on comparisons between matcha tea and coffee which boil down to some key findings:

· Matcha has better caffeine highboosting cardiovascular health

· Matcha fights viruses and bacteria

· Matcha has the highest quantity of cancer-fighting antioxidants

For all these benefits and the specific taste profile preferred by the consumer, choose only the best quality matcha products to get maximum benefits.

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