Matcha has quickly become one of Australia’s most popular drinks, appearing on café menus, in smoothies, desserts and home kitchens. But this growing demand has also created a major challenge: a matcha shortage in Australia.
The shortage is closely connected to supply problems in Japan, where most of the world’s premium matcha is produced. Strong global demand, difficult weather conditions, limited harvests and an ageing tea-farming workforce have all put pressure on supply.
Table of Contents
Why Is There a Matcha Shortage in Australia?
Australia is not running out of all green tea. The main issue is the availability of high-quality Japanese matcha, particularly grades used for lattes and premium drinks.
Demand has grown much faster than producers expected. Australian cafes have reported significant increases in matcha orders, while some suppliers have faced delays and difficulty securing their usual quantities.
Japan also cannot increase production immediately. Matcha requires specialised growing and processing methods, including shading the tea plants before harvest. Weather conditions and limited agricultural labour can further affect production.
How Japan’s Supply Problems Affect Australia
Australia relies heavily on Japanese matcha for its premium products. When Japanese supply becomes tighter, Australian importers, wholesalers, cafes and consumers can all feel the impact.
The pressure became particularly visible during 2025, when Japanese tencha, the tea leaf used to produce matcha, reached record prices. Reuters reported that extreme heat affected tea production in Japan, while global demand continued to rise.
Australian suppliers have also reported longer lead times and higher purchasing costs. Some businesses have started ordering months in advance to secure enough stock for their customers.
Why Has Matcha Demand Grown So Quickly?
Social media has played a major role in matcha’s popularity. Iced matcha lattes, colourful drinks and matcha-based recipes have become common across Instagram and TikTok.
Travel has also influenced demand. More Australians visiting Japan have experienced freshly prepared Japanese matcha and developed an interest in using higher-quality products at home.
The result is a much broader matcha market than before. Matcha is no longer limited to traditional tea preparation. Cafes now use it in lattes, desserts, smoothies and other recipes.
Is Matcha More Expensive in Australia?
The shortage has contributed to higher prices, particularly for Japanese matcha with strong quality and origin credentials.
SBS reported that Australian matcha businesses were facing substantial price increases, while some suppliers experienced gaps in availability between harvests.
For consumers, this can mean paying more for premium ceremonial matcha or seeing smaller package sizes and limited-stock notices. However, price alone does not determine matcha quality.
When buying matcha in Australia, it is worth checking the origin, grade, harvest information, ingredient list and how the product has been stored.
Will the Matcha Shortage Continue?
There is no simple date for when the shortage will end.
Japan is increasing efforts to respond to growing demand, but tea production cannot be expanded as quickly as demand can grow. Weather conditions, farming labour and the time required to produce quality tencha all affect the available supply.
The situation may therefore continue to vary between suppliers and matcha grades. Some products may remain readily available while others sell out quickly.
How Can Australians Buy Matcha During a Shortage?
If your preferred matcha is temporarily unavailable, avoid automatically switching to the cheapest option. Instead, look for suppliers that clearly explain where their matcha comes from and how it is sourced.
Buying from an Australian supplier can also make the process easier because the product is already imported and available locally. For example, some Australian matcha businesses source directly from Japanese farms and provide information about harvests, testing and origin.
For everyday lattes and cooking, a good culinary or latte-grade matcha can be practical. If you prefer traditional preparation with water, a high-quality ceremonial matcha may be a better choice.
Also Read :The Best Razor Blades for Women Are Not the Same for Everyone
What Does the Matcha Shortage Mean for Australian Consumers?
The current matcha shortage in Australia highlights how quickly a global food trend can affect a specialised agricultural supply chain.
For consumers, the biggest changes are likely to be availability, price and greater variation between products. Rather than buying large quantities simply because a product is available, it makes sense to choose a reliable supplier and store matcha correctly once purchased.
As demand continues to grow, Japanese producers and international suppliers will need to balance increased production with the time, climate and traditional methods required to make quality matcha.
The shortage may eventually ease, but matcha’s popularity in Australia is unlikely to disappear. What was once a niche Japanese tea has become a regular part of Australia’s modern café and home-drinking culture.
