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Global matcha market set to double by 2035: Future Market Insights
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Monday, 23 June, 2025, 15 : 00 PM [IST]
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Our Bureau, Mumbai
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The global matcha market is poised for remarkable growth, expected to rise from USD 3,373.6 million in 2025 to USD 6,717.5 million by 2035, expanding at a steady CAGR of 7.1% over the forecast period, according to Future Market Insights.
This surge in demand reflects a transformative shift in global consumer preferences toward functional, antioxidant-rich products that align with holistic health, mindfulness, and energy-enhancing lifestyle trends.
Matcha, a finely milled green tea powder derived from specially cultivated Camellia sinensis leaves, has transcended traditional boundaries to become a modern-day superfood staple. FMI’s analysis shows that health-conscious millennials, Gen Z consumers, and working professionals are increasingly incorporating matcha into their diets for its wide-ranging benefits, including calm energy, detoxification, immunity support, and mental focus.
The growing popularity of clean-label ingredients, plant-based diets, and caffeine alternatives is also accelerating matcha’s global appeal across both foodservice and retail channels.
The food and beverage sector remains the largest application area for matcha, accounting for a dominant share of global revenues. FMI reports a rapid uptake in ready-to-drink (RTD) matcha beverages, lattes, smoothies, and cold brews, particularly in urban centres.
Innovative launches in matcha-based chocolates, cakes, snacks, and dairy products are further amplifying category expansion. Brands are leveraging matcha’s unique umami flavour and vibrant green hue to enhance sensory appeal while delivering functional nutrition.
The proliferation of vegan and organic products in this space underscores matcha’s alignment with evolving dietary and sustainability expectations.
While Asia Pacific—especially Japan, China, and South Korea—continues to lead global consumption, North America and Europe are quickly catching up. FMI attributes this rise to a confluence of factors including rising awareness of adaptogens, increased café culture, and digital wellness influencers.
In US, matcha has become a staple in third-wave coffee shops and wellness retail chains, often positioned as a better-for-you alternative to coffee. Similarly, demand is surging in UK, Germany, and Nordic countries, where clean eating movements and Zen-inspired routines are gaining mainstream acceptance.
With consumers becoming more discerning about product sourcing and quality, brands are responding through direct-to-consumer (D2C) platforms, subscription models, and influencer-led storytelling. Organic certifications, origin-traceability (notably Uji and Nishio varieties), and eco-friendly packaging are emerging as key purchase drivers.
E-commerce platforms now offer a broad spectrum of matcha grades—ceremonial, premium, and culinary—catering to diversified use cases. FMI notes that top players are investing in brand transparency and sustainability claims, which directly influence customer loyalty in this segment.
Beyond beverages and foods, matcha is penetrating nutraceuticals and beauty & personal care categories, driven by its potent anti-aging and anti-inflammatory properties. Innovation is underway in matcha capsules, facial masks, serums, and soaps, appealing to wellness-centric consumers seeking multifunctional products.
FMI also identifies technological advancements in microencapsulation and cold processing that preserve matcha’s bioactive compounds, thereby enhancing its efficacy and shelf life across formats.
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