Domestic green tea production volume in Japan 2010-2019

In 2019, the domestic production volume of green tea in Japan amounted to around 81.7 thousand tons, a decrease from about 86.3 thousand tons in the previous year. While Japan covers a share of its demand through green tea import from overseas, the majority is domestically produced.

Green tea market

Apart from sales as tea leaves or finely grounded matcha powder, the hot drink is also distributed as a bottled ready-to-drink (RTD) product. Popular as a refresher on the go, green tea is a staple of the soft drink market, showing the highest production volume among RTD teas. While major beverage manufacturers such as Suntory Holdings, Asahi Holdings, and Kirin Beverages entered the domestic market to aim for a slice of the pie, Ito En leads the market with a steady share above 30 percent.

Green tea consumption

Green tea is the most popular type of tea consumed in Japan. While coffee relegated the brewed beverages to second place in recent years, it remains a consumer favorite among non-alcoholic beverages in Japan. The powdered product has a long tradition within the Japanese tea ceremony, in which it is prepared with traditional confectionery (wagashi) on the side.