Japan looks to cash in on matcha boom to boost green tea exports


  • Japan
  • Saturday, 25 Jan 2025

TOKYO (Bernama-Kyodo): The Japanese government is considering measures to encourage green tea farmers to shift more production to "tencha" leaves, which can be ground into matcha powder, from "sencha," commonly consumed in Japan, to boost tea exports, according to farm ministry sources.

Kyodo News Agency reported that Japan seeks to capitalise on the booming overseas market for matcha, often used in desserts and drinks, to offset falling green tea consumption at home.

Tencha is made by steaming and drying tea leaves grown in the shade, which are then processed into a fine powder to produce matcha. Sencha, by contrast, is made by steaming, kneading, and drying sun-grown leaves.

The Ministry of Agriculture, Forestry and Fisheries plans to earmark subsidies to help tea farmers prepare for tencha production in its fiscal 2025 budget.

Japan's green tea exports had surged nearly ninefold to a record 29.2 billion yen ($185 million) over the 15 years through 2023, lifted mainly by matcha on the back of the increased popularity for Japanese food among health-conscious consumers in Europe and the United States, the ministry said.

Japan's tea production, on the other hand, dropped by over 20 per cent during the same period, reflecting the ageing farm population and a nearly 40 per cent decline in the average annual spending on green tea per household, according to government data.

The shift to tencha will be stipulated in the farm ministry's basic policy for tea production, which is set to be revised in spring during its first review in five years.

"Production of high-value-added tea is important. We will advance our discussions so that all parties concerned can reach a broad common understanding,” a ministry official said, as members of a ministry panel discuss the basic policy.

The government is intensifying efforts to promote matcha-related information through social media. Its tea promotion account on Instagram, managed by the Japan Food Product Overseas Promotion Centre, has gained more than 30,000 followers. - Bernama-Kyodo

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Japan , green tea , matcha , sencha , desserts , big in demand

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