Why Is Matcha Tea So Expensive? A Complete Breakdown

Matcha is a lot more costly than regular green tea, and it's not only because of the brand. The price of matcha tea can be explained by the method of growing the tea plants, shading, harvesting, processing, grinding, storing and shipping.

For cafés, beverage companies, restaurants and food producers, the question that needs to be answered is whether a matcha provides the colour, flavour, consistency and cost per serving for the desired product.

Why Is Matcha Tea So Costlier Than Green Tea?

Regular green tea is steeped in water, followed by removal. Matcha is green tea ground into a fine powder after undergoing a special processing method, which includes tencha leaves being processed, deveined, destemmed, dried, and then ground into a fine powder.

Weakness in colour, taste, aroma and texture is more apparent, as the whole powder is added to a drink or recipe. To create a reliable matcha, it is crucial to keep a close watch on almost every step.

1. The More Shade Grows, the More Labor Is Added

Matcha tea plants are shaded prior to picking. This has an impact on the development of the leaves and their contribution to the color, scent, sweetness, bitterness and ‘umami' of matcha.

The growers are responsible for the coverings, timing, airflow, weather and condition of plants. These additional measures increase costs before picking the leaves.

Matchia's explanation of what matcha shading is, and why it is important, is available here.

2. When to Harvest: It Affects the Price

The young leaves from the earlier harvests are more limited than later harvested leaves. They may be softer, more colourful and different flavoured.

For higher-cost matcha, the earlier harvested material is used. Later harvest matcha is still suitable for baking, sauces, food production and lattes.

The differences between Matchia's first, second and third harvest matcha can be compared.

3. More or Less 30% Yield Loss Due to Tencha Processing

Matcha doesn't start out as a regular green tea. The leaves are first turned into tencha.

Stems and veins are cut off with the softer leaf material being milled. This will decrease the powder output from the harvest and increase the quality control, labor and equipment costs.

4. Finely Grinding Them Is A Slower Process

Matcha is made by the traditional stone milling method, which takes a long time. If the grinding is too fast, it can produce excessive heat and cause the aroma, colour and taste to be altered.

The reduction in output results in fewer kg being produced per day. More finely milled is the matcha for use in whisk or specialty drinks, as well, which necessitates careful milling to ensure the particles are fine.

Matchia has written an article about the fineness of matcha, which informs about the matcha mesh size and how it affects the texture and mixing.

5. Grade Has a Major Effect on Cost

There is no one global grading system for terms like ceremonial, premium, latte, barista and culinary. Several different suppliers might label the same product as the same type, but have very different properties.

Don't assume that a product that is expensive is necessarily a good fit for your business.

A café that offers milk beverages might find the Latte Matcha or Premium Matcha to be a better value than a light ceremonial matcha. The culinary matcha might require a special culinary matcha that retains its color and taste when mixed with other foods and ingredients, for example, bakery and manufacturing.

The ceremonial, barista and culinary guide to matcha puts grades into context with practical applications.

6. Origin, Storage, and Packaging Matter

The higher costs for Japanese matcha could be due to the farming practices, processing, labor, land, and export handling. Another example of single-origin matcha is that it might be more expensive due to the smaller source.

Matcha is light-, air-, moisture-, and heat-sensitive and is sensitive to strong odors. It is protected from spoilage and deterioration of the color and aroma by sealed packaging, controlled storage, and proper handling of the inventory.

Matchia is located in Hayward, CA, has local storage and ships from their home base. This allows the U.S. buyer to get domestic inventory.

Read how to keep matcha fresh and vibrant to find out how to store it.

7. Demand Can Pressure Limited Supply

Matcha has surged in popularity in various outlets, from cafés, boba parlors, ready-to-drink, desserts, to packaged items. Appropriate tea plantations, tea makers, milling facilities and quality of tea leaves are still limited.

With higher demand than supply, prices may go up, especially for early harvest and higher quality matcha.

What to Consider When Comparing the Cost of Business Products?

For commercial buyers, it is more convenient to use cost per serving instead of price per kilogram. The lower-quality matcha may need more to make up for the lack of color or taste when added to milk.

Buyers should compare:

• Intensity of the flavour in the final product.
• Color after mixing.
• Bitterness and astringency.
• Dose per serving.
• Mixing performance.
• Batch consistency.
• Storage needs.
• Repeat orders are available.
• Supplier support/documentation.

One of the most convenient ways of choosing a grade is to test samples of the actual menu item or product.

Why Matchia Is a Strong Wholesale Matcha Partner?

Matchia is a wholesale supplier based in the USA that provides Matcha to cafés, coffee shops, boba shops, restaurants, beverage brands, food manufacturers and food distributors.

It encompasses a range of matcha types, such as Ultra Ceremonial Matcha, Ceremonial Matcha, Premium Matcha, Latte Matcha, Culinary Matcha, Single Origin Matcha, Hojicha, organic and conventional matchas.

The products begin at 1kg for wholesale orders; volume discounts are available and private label service is available from 20kg. Matchia can also provide repeat supplies on a weekly/monthly basis.

15g samples are available for $5 per grade plus $6.99 standard shipping to businesses. This is a sample fee which will be credited towards the first wholesale order. Matchia also conducts regular SGS testing and COA documents.

Conclusion

Therefore, what is the reason that matcha tea is priced so high? It is sold at a price that takes into account the shade-grown, selective harvesting, tencha processing, slow grinding, limited production, storage requirements, Japanese sourcing and market demand.

For business buyers, it is not the purpose to acquire the highest quality grade. It is up to the individual to select the matcha that suits their flavor, color, texture and price per serving.

If you aren't certain about your grade, just select the most appropriate one. Use Matchia's sample program as a starting point to make a comparison of several options in the product that you are making, dessert or a drink, before ordering wholesale.

Frequently Asked Questions (FAQs)

Is expensive matcha always better?

No. A higher-priced matcha can be a softer matcha, be brighter in color, and/or be finer in texture; however, not every application may require it. Higher or lower quality grades are frequently required for milk drinks, desserts and milk manufacture.

Why is ceremonial matcha more costly?

Younger leaves are typically used to make ceremonial matcha and are chosen for use with water. The price can be increased due to limited supply and taste, color, and leaf selection and processing.

Is bulk matcha less expensive?

If there are volume discounts, bulk buying can decrease the cost per kilogram. This final value is still based on the grade, serving size and performance of the recipe.

Which grade of matcha can be used in cafes?

Ceremonial Matcha might be appropriate for traditional service. Premium or Latte Matcha might be more useful for milk-based beverages, while Culinary Matcha can be used in baking and food production.

Are there any tests that businesses can perform on matcha before bulk purchasing?

Yes. Matchia has 15g samples available for purchase at $5 per grade, with standard shipping costing $6.99. Companies can sample a number of grades in their beverages or recipes before they choose a wholesale product.