Japan Can’t Produce Enough Matcha Tea for Wholesale and Bulk To Meet Global Demand. Here’s Why?

May 18, 2025

Matcha has taken the world by storm. From iced matcha lattes in big coffee chains to premium ceremonial blends used in traditional Japanese tea ceremonies, this vibrant green powder is in high demand. But there is a growing concern within the tea industry: Japan cannot produce enough matcha to keep up with the global craze. For businesses looking to buy matcha in bulk or find a reliable matcha powder wholesale distributor, this is a big issue.

In this article, we will explore the five major reasons behind the global matcha shortage, and what bulk matcha buyers and wholesale customers need to know. We will also answer some common questions such as:
"Why is there a Global Matcha Shortage?"
and "Is matcha good for health?"

Making this article perfect for coffee shop owners, bakery managers, smoothie brands, and anyone interested in the matcha supply chain. Whether you're searching for a Japanese matcha supplier or wondering where to buy matcha wholesale, we've got you covered.

Reason 1: Limited Growing Regions in Japan

Matcha is made from shade-grown green tea leaves called tencha, and the highest quality matcha comes from specific regions in Japan such as Uji in Kyoto, Nishio in Aichi, and Shizuoka. These regions have ideal soil, climate, and traditional farming methods that have been perfected over centuries.
(Discover the most expensive matcha in the world here)

However, Japan is a relatively small country with limited farming space. Tea farms in Japan are not like massive plantations; most are small, family-run farms. As global demand for matcha powder wholesale increases, these farms are struggling to produce enough supply. According to a 2023 report by the Japan Tea Central Association, the amount of land used to grow tencha hasn’t increased much in the last decade. That means even as more people buy matcha in bulk, there is no new farmland to meet demand.

For a bulk matcha supplier in Japan, it becomes a challenge to scale production. When businesses worldwide ask where to buy matcha wholesale, the answer is often "Japan," but the actual quantity available is limited.

Reason 2: Labor Shortages and Aging Farmers

The average age of tea farmers in Japan is over 65. This is a serious problem. Younger generations are not entering the tea farming industry, and many farms are being abandoned. Matcha production requires a lot of manual labor, including shading the plants, hand-picking the leaves, and stone-grinding them into fine powder.

Without enough skilled workers, matcha production slows down. Some Japanese matcha suppliers have started using machines for harvesting, but that can reduce the quality of the final product. High-quality matcha for tea ceremonies or premium drinks still relies on traditional methods.

As a result, there is a bottleneck. Even if a wholesale matcha distributor has demand from businesses around the world, they may not have enough product to ship. This affects matcha tea wholesale pricing and availability.

Reason 3: Increasing Global Demand

Matcha is now trending in the United States, Europe, Australia, Canada, and even in the Middle East. Health-conscious consumers love matcha for its antioxidants, natural caffeine, and calming effects from L-theanine. Influencers on TikTok and Instagram post colorful matcha latte recipes daily.

So, why is matcha popular? Simple. People want a healthy alternative to coffee, and matcha offers a clean, green solution. It has less caffeine than coffee, but the caffeine is released slowly over time. This gives people energy without the crash. Plus, matcha is used in everything: smoothies, ice cream, cookies, skincare, and even cocktails.

All this attention is great for business, but it also means that bulk matcha tea orders are at an all-time high. Matcha suppliers in Japan are overwhelmed with orders from cafes, restaurants, wellness shops, and large food brands.

Reason 4: Climate Change and Unpredictable Weather

Tea plants are very sensitive to climate. Matcha farms depend on steady rainfall, specific temperatures, and the right amount of sunshine and shade. But in recent years, Japan has seen unusual weather patterns including early frosts, typhoons, and heatwaves.

These changes in climate affect the quality and quantity of matcha leaves. A bad weather season can reduce matcha yields by 30% or more. In 2022, Kyoto experienced one of the driest spring seasons in decades, causing lower matcha harvests.

As a result, matcha powder bulk pricing increases, and there’s less product available. For buyers asking, "Where to buy matcha wholesale?" the answer becomes complicated. Even big distributors may face stock shortages during off-seasons.

Reason 5: Strict Quality Standards and Slow Production Process

Matcha production process is not fast. To make high-quality matcha powder wholesale, it takes months of preparation. First, farmers cover the tea plants for several weeks before harvest to increase chlorophyll. Then, the leaves are picked, steamed, dried, and deveined.

Finally, the leaves are ground into powder using granite stone mills. This step is very slow, it takes an hour to grind just 40 grams of matcha. That’s why authentic bulk matcha powder from Japan is more expensive and harder to produce in large quantities.

Some suppliers outside Japan try to copy the process, but the quality is not the same. For customers looking for a matcha supplier Japan-based, they must understand that real matcha can’t be rushed.

What Does Matcha Taste Like?

Matcha has a rich, creamy, and slightly grassy taste. Good matcha is not bitter. It has umami, which is a savory flavor unique to Japanese green tea. The taste depends on the grade and quality.

Cafes and restaurants often ask, "What matcha is good for latte?" The answer is culinary or premium grade matcha, these mix well with milk or oat milk and create a vibrant green latte with a smooth flavor.

What Are the Health Benefits of Matcha?

Many studies support matcha’s benefits. According to the National Institutes of Health (NIH), matcha contains high levels of catechins, especially EGCG, a powerful antioxidant that may reduce inflammation and support heart health.

Other health benefits include:

- Natural energy from caffeine

- Improved brain function

- Calming effect from L-theanine

- Supports metabolism and weight loss

- May protect against certain cancers (Source: PubMed Central)

These benefits explain why more people want to buy matcha in bulk for health-related products.

Matcha Caffeine Content: How Does it Compare?

Does matcha have caffeine? Yes, it does, about 35mg per half teaspoon. That’s less than coffee but more than regular green tea. What makes matcha special is how it delivers caffeine slowly over time, avoiding the jitters or crashes.

This makes matcha ideal for cafes, wellness drinks, and energy products. Many businesses now search for matcha tea wholesale options to add healthier caffeine drinks to their menu.

LEARN MORE HERE ABOUT:

Why the Caffeine Content in Matcha is a Better Choice Than Coffee

Where to Buy Matcha Wholesale or in Bulk?

Due to the shortage, it’s important to work with a reliable bulk matcha supplier in Japan. At AKI MATCHA, we supply organic Japanese matcha powder wholesale and retail worldwide and across the USA.

Whether you run a coffee shop, bakery, smoothie bar, restaurant, or online store, we have matcha solutions for your needs. We handle small to large orders and offer competitive bulk matcha powder pricing.

If you want to buy matcha in bulk, we recommend placing orders in advance, especially before busy seasons. This ensures we can secure your quantity directly from our farms.

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